Health Systems Double Down on Ambulatory Care: A Strategic Shift for growth and Access
The healthcare landscape is undergoing a significant conversion, and the epicenter of that change is increasingly outside the hospital walls. A recent report from KLAS Research & UPMC’s Center for Clinical Management reveals a decisive pivot by health systems towards robust ambulatory growth strategies – a move driven by the need to manage surging patient volumes, improve access, and bolster financial performance. This isn’t simply a trend; it’s a basic reshaping of care delivery.
As someone who’s spent years observing and advising healthcare organizations, I can tell you this shift is long overdue.For too long,hospitals have been the default setting for care,even when more efficient and patient-pleasant options exist. Now, leaders are recognizing the immense potential of a strategically developed ambulatory network.
Where the Money – and the Strategy – is Flowing
The report highlights a clear pattern: health systems are making deliberate, disciplined investments in high-demand markets and scalable care models. We’re seeing a concentration of capital flowing into three key areas:
* Multi-Specialty Clinics: These offer a convenient, integrated experience for patients, fostering loyalty and enabling coordinated care.
* Ambulatory Surgery Centers (ascs): ASCs are proving to be a game-changer, offering lower-cost, higher-patient-satisfaction alternatives to traditional hospital-based surgery.
* Virtual Care: Telehealth and remote monitoring are expanding access, notably in areas with significant geographic barriers or specialist shortages.
Importantly, these investments aren’t happening randomly. Organizations are strategically targeting geographies with demonstrable access gaps and strong potential for patient retention. This isn’t just about building new facilities; it’s about building lasting care ecosystems.
Balancing Mission and Margin: Prioritizing Key Service Lines
The choice of service lines is equally strategic, reflecting a thoughtful balance between fulfilling a healthcare system’s mission and achieving financial viability.Here’s what we’re seeing prioritized:
* Primary Care: Positioned as the crucial “front door” for patient engagement, driving referrals and preventative care.
* Cardiology & Oncology: These specialties offer both procedural complexity and significant revenue potential.
* Orthopaedics: Responding to the needs of an aging population, with many procedures ideally suited for the ASC setting.
* Gastrointestinal Services: A growing area of demand, facing increasing competition from private-sector providers.
Smart organizations are also actively streamlining their networks, consolidating or divesting underperforming locations to free up resources for these high-impact areas. This is a clear signal that efficiency and focus are paramount.
Beyond Bricks and Mortar: Leveraging Technology and Partnerships
The evolution of ambulatory care isn’t just about physical locations. Health systems are aggressively expanding care beyond the traditional clinic walls:
* Virtual Primary Care (including Pediatrics): Offering convenient, accessible care for routine needs.
* Hospital-at-Home Programs: Providing acute-level care in the comfort of patients’ homes,reducing strain on hospitals and improving patient outcomes.
* Post-Discharge Access Centers: Ensuring seamless transitions of care and preventing readmissions by providing timely follow-up.
Surgical strategies are also evolving, with a clear migration of low-acuity cases to freestanding ASCs. Crucially, organizations are deploying enterprise scheduling tools to gain system-level visibility into operating room availability, optimizing utilization and minimizing delays.
Recognizing that they can’t – and shouldn’t – do everything themselves, health systems are increasingly turning to partnerships. The KLAS report found that 21 leaders are partnering with autonomous physician groups and 18 with technology companies. These collaborations are filling critical gaps in staffing (urgent care, specialty clinics), telehealth coverage, behavioral health services, and even incorporating cutting-edge technologies like AI-powered triage and telestroke capabilities. The decision to partner frequently enough comes down to resource constraints, respecting physician autonomy, and accelerating time to market.
Measuring What Matters: A Holistic Approach to Performance
The way health systems are measuring success is also changing. While financial performance remains a cornerstone, leaders are now incorporating a broader range of metrics:
* Clinical Outcomes: Ensuring quality of care is paramount.
* Patient Satisfaction: The patient experience is a key differentiator.
* Access Metrics (Wait times, Appointment Availability): Reducing barriers to care.
* Referral and Retention Patterns: Building a loyal patient base.
* Staff Satisfaction:
