Merger/Acquisition/Collaboration Services

Financial and competitive pressures are causing both strong and weak health care organizations to look for ways to join together for mutual benefit. The management and facilitation of these efforts must begin long before the "letter of intent" is signed. Indeed, failure to address key organizational issues up-front causes many merger/collaboration initiatives to fail or, at the very least, not achieve the objectives that originally stimulated the discussions.

ACCORD, with assistance as needed from other allied consulting firms, helps to create lasting relationships through mergers, acquisitions, and other collaborative arrangements among potential "partners". These services include:

Design and Facilitation of the Entire Process

An organized approach for pursuing the merger or collaborative relationship must be established early in the process, including the formation of a joint steering committee, identifying other outside assistance required, developing a work plan, and identifying methods for involving key stakeholders. ACCORD assists in the above and then provides facilitation services in all major meetings and events related to the merger/collaboration process and documents the results of each step.

Readiness and Culture Compatibility Assessment

Norms, beliefs and values of the organizations must be examined to determine cultural compatibility and answer the critical question as to whether or not the arrangement is worth the effort. This assessment includes clarification of the benefits of collaboration as compared to the parties remaining independent. It also includes ensuring that the parties have a unified vision for the long-term evolution of the new organization being created.

Strategic and Financial Planning

A full array of strategic planning and financial analysis services are available, including: due diligence; valuations; recommendations for optimal consolidation of service lines; medical staff and support functions; identification of revenue enhancement opportunities; third party review of payer contracts; cost savings opportunities; debt capacity and capital structure planning; impact on operating and capital expenditures; volume and revenue projections; and comparison of financial results with and without the merger/collaboration arrangement.

Governance Structure Determination

Appropriate governance structures, policies and procedures that address the political and fiduciary requirements of the collaborating parties are critical ingredients in the long term success of the merger/collaborative arrangement. ACCORD works with the boards to design effective and efficient governance structures and processes, including identification of committee structures, clarification of role/responsibilities among boards and boards and management, and application of governance "best practices."

Implementation Planning

A merger is not a discrete, short-lived project, but rather, an ongoing change process that must be led and managed from initial discussions through a period of two to three years after the papers are signed. ACCORD helps to ensure that assignments and accountability for implementation are clearly spelled out.

Communications Counsel Throughout the Collaboration Process

During times of significant uncertainty and change, rumors fly, morale plummets, and internal productivity suffers. Externally, local news media and community leaders need to be informed and involved. ACCORD helps the collaborating organizations determine when confidentiality is required, and when open communications are needed, ACCORD can provide professional assistance in this important area.