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January 2, 2025

Hospital Mergers Surge as Healthcare Costs and Staffing Shortages Drive Change

Cleveland Clinic
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Contributed by: Kate Gamble
Summary
Hospital mergers and acquisitions are increasingly common as healthcare organizations seek to manage rising costs, staffing issues, and regulatory pressures. Analysis shows that 40% of merging hospitals introduce new services after acquisition, aiming to enhance patient access and care quality while achieving financial viability. However, successful integration, particularly in technology, requires a structured approach. Craig Baker from Cleveland Clinic emphasizes the need for adaptable workflows and alignment of technology with service lines. His team utilizes a "pod" concept, which promotes collaboration among various healthcare disciplines to address integration challenges while standardizing processes across different facilities.

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