Written in plain language using nontechnical jargon, The Business of Medical Practice presents a progressive discussion of management and operation strategies. It incorporates prose, news reports, and regulatory and academic perspectives with Health 2.0 examples, and blog and internet links, as well as charts, tables, diagrams, and Web site references, resulting in an all-encompassing resource.

It integrates various medical practice business disciplines-from finance and economics to marketing to the strategic management sciences-to improve patient outcomes and achieve best practices in the healthcare administration field.

With contributions by a world-class team of expert authors, the third edition covers brand-new information, including:

• The impact of Web 2.0 technologies on the healthcare industry
• Internal office controls for preventing fraud and abuse
• Physician compensation with pay-for-performance trend analysis
• Healthcare marketing, advertising, CRM, and public relations
• eMRs, mobile IT systems, medical devices, and cloud computing

and more...

• Does Health 2.0 enhance or detract from traditional medical care delivery, and can private practice business models survive?
• How does transparent business information and reimbursement data impact the modern competitive healthcare scene?
• How are medical practices, clinics, and physicians evolving as a result of rapid health- and non-health-related technology change?
• Does transparent quality information affect the private practice ecosystem?

Answering these questions and more, this newly updated and revised edition of The Business of Medical Practice is an essential tool for doctors, nurses, and healthcare administrators; management and business consultants; accountants; and medical, dental, business, and healthcare administration graduate and doctoral students.

Praise for the previous edition:

"This comprehensive multi-authored text contains over 450 pages of highly specific and well-documented information that will be interest to physicians in private practice, academics, and in medical management. . . [Chapters are] readable, concise yet complete, and well developed. I could have used a book like this in the past, I will certainly refer to it frequently now." 4 stars

Carol EH Scott-Conner, MD, PhD, MBA American College of Physician Executives

TABLE OF CONTENTS

Contributing Authors

A Note From the Editor-in-Chief

Preface

Acknowledgments

About This Edition

SECTION ONE: QUALITATIVE ASPECTS OF MEDICAL PRACTICE

1. [R]evolving Health Care Industrial Complex: The Changing Health 2.0 Economics and Financial Ecosystem
2. Growing Tensions in Emerging Health 2.0 Markets: The Challenging Insurance, Political, IT, and Business Ecosystem
3. Crafting a Business Plan and Starting a Medical Practice: Understanding Business Models, the Entrepreneurial Spirit, and Obtaining Capital
4. Office Launch, Development, and Strategic Operations: Enhancing Entry Speed, Efficiency, and Organization
5. Lean Office Staffing and Management: Organizational Asset or Liability
6. Professional Human Resources Options: Understanding Professional Medical Employer Organizations
7. Medical Workplace Violence Issues: The Growing Impact
8. Restrictive Covenants and Practice Buy-Sell Agreements: Avoid Feelings of Anger and Betrayal
9. Medical Records, Insurance Billing, and Coding Guidelines: Basis for Payment and Reflections on the New Reality
10. Medical Practice Compliance and Programs: Accountability, Processes, and Implementation
11. Internal Marketing for the Health Care Practice: Understanding Old and New-Wave Patient Relationship Management Strategies
12. Process Improvement for Physicians and Health Plans: Aligning Incentives Among Stakeholders
13. Interoperable EMRs for the Small to Medium-Sized Office: On Being the CIO of Your Practice
14. Using Health Information Technology to Track Medical Care: Understanding Medical Informatics and Outcomes Reporting
15. Doctor-Patient Relationships in the Modern Era: Can We Talk? A Collaborative Shift in Bedside Manner

SECTION TWO: QUANTITATIVE ASPECTS OF MEDICAL PRACTICE

16. Cash Flow Analysis and Practice Enhancement: Medical Practice Lifeblood
17. Office Expense Costing and Modeling: Differentiating Managerial From Financial Accounting
18. Accounting for Mixed Practice Costs: Understanding Hybrid Overhead Costs
19. Medical Activity-Based Cost Management: Demonstrating the Cost-Effectiveness of Medical Care
20. Rethinking Capitation Reimbursement Economics: Subcapitation, Microcapitation, and Other Emerging Models
21. Analyzing and Negotiating Cost Volume Profit Medical Contracts: Profit Optimization Versus Revenue Maximization
22. Managing Accounts Receivable: Appreciating Asset Protection Strategies
23. Understanding Incurred but Not Reported Health Care Claims: An Unintended Liability of the Indirect Medical Payment System
24. Managing Revenue Cycle Performance: Enhancing Medical Practice Cash Conversion
25. Internal Controls and Fraud Prevention: Accounting Concerns for Medical Practices
26. Return on Practice Investment Calculations: Managerial Concepts for Physician Executives
27. Contemporary Physician Compensation: Modern Salary Trends, Approaches, and Projections
28. Financial Accounting and Medical Practice Benchmarking: Improving What's Measured
29. Direct Access, Private, and Concierge Medicine: Getting off the Grid With Boutique Practice and Retainer Medicine
30. The Science and Art of Medical Practice Valuation: Fair Market Value Appraisal Considerations

SECTION THREE: POLICY, ETHICS, AND LEADERSHIP IN MEDICAL PRACTICE

31. Medical Practice Sales Contracts: Reviewing Terms, Conditions, and Agreements
32. The USA Patriot Act: Understanding Financial Implications for Health Care Entities
33. Developing Productive Professional Relationships: The Contemporary Challenges of Health 2.0
34. New-Wave Physician Recruitment and Retention: About Physician Recruiters and Executive Search Firms
35. Medical Leadership and Self-Branding: Transforming the Next Generation of Physician Executives
36. Medical Ethics for Challenging Times: Finding Your Moorings in an Era of Dramatic Change
37. Selecting Practice Management Consultants Wisely: Deep Knowledge and Medical Specificity Required

Afterword

Index

David E. Marcinko, MBA, CFP, CMP Editor-in-chief and Hope Rachel Hetico, RN, MHA, CMP