Percy Memorial Hospital

This case is designed to give students an opportunity to look at the decision points in creating a physician/hospital organization (PHO). Many of the issues are similar to those in creating an accountable care organization (ACO). There are many factors to consider: (1) how the hospital is positioned in the market, (2) why the physicians want to work with the hospital, (3)what the competition is doing with its physician/hospital integration strategy, and (4) how to analyze the external environment in the industry. The focus of the case is on how the hospital and the physicians must work together to strategically position themselves in the market.