Sg2 Blog

Sg2, a Vizient company, is pleased to announce the addition of Manuel Hernandez, MD, MS, MBA, CPE, as a Principal—Strategic Campus Planning in its consulting practice for Enterprise Strategy. “We are thrilled to welcome Manny to Sg2 Consulting. Manny brings tremendous credentials, a wealth of experience and an innate ability to connect with his clients and colleagues,” says Sg2...

Economic forces such as rising costs, labor shortages, consumerism and demographic shifts are driving the need for change and innovation. The health care industry is not immune to these forces. In fact, health care is further complicated by nonsustainable reimbursement models, digital disruption, an increasingly “sicker” population and rapid changes in ownership models. This has led to...

Editor’s note: this post was originally published on Sg2’s parent company Vizient Inc’s blog. What do Boeing, General Electric, Lowe’s and Walmart have in common? They are among a growing number of self-insured employers bypassing traditional benefit networks offered by insurers and instead contracting directly with health systems to deliver health care services to their e...

Environmental factors are adversely impacting provider financials and weakening providers’ positions in fee-for-service (FFS) contracting. Providers have been working to regain financial stability after pandemic-driven volume swings that were quickly followed by workforce shortages—now the health care industry can add inflation to the list of considerable challenges. These pressures have quickly ...

Note: Vizient's David Levine, MD, FACEP, Group Senior Vice President, Advanced Analytics and Product Management and Simrit Sandhu, Executive Vice President, Strategic Transformation and Clinical-Supply Solutions also contributed to this report. Health system leaders have faced unprecedented challenges over the past three years. The pandemic caused a sharp decline in inpatient volumes and a tempor...

Unpacking the recent exits and pivots from disrupters in health care Recent developments have seen numerous disrupters significantly alter their health care strategies or, in some cases, exit the sector entirely. Legacy providers watching from the outside are left feeling vindicated but also curious as to what they can learn from others’ struggles. If giants like Walmart and Walgreens, and ...

Virtual visit volumes have increased dramatically due to the COVID-19 pandemic. Many health systems have made strides in virtual health program implementation. However, virtual visits are only one element of a robust digital health program. Provider systems have yet to fully capitalize on the benefits of digital solutions, and the vast menu available can be confounding. Understanding how specific...

Health care organizations are currently trying to identify opportunities for enhanced revenue streams as they continue to struggle financially due to the COVID-19 endemic—hospital margins are expected to remain below pre-pandemic levels, with more than half of hospitals projected to have negative margins. And health care leaders have long understood how patient leakage also dramatically aff...

Each year Sg2 debuts the latest enrollment projections from our five-year Insurance Coverage Estimates (ICE) demand forecast. The team considers ZIP code level, age, federal poverty level, ethnicity and gender data to meaningfully distribute the population across financial groups. The following national trends were key inputs to the 2023 ICE model. Note: Numbers may not add due to rounding. Sourc...

Clinically integrated networks (CINs) gained a foothold more than a decade ago amid the backdrop of an unsustainable trajectory for fee-for-service (FFS) health care delivery. CINs could function as a vehicle for value-based care (VBC) models in providing an alternative for clinical and payment model advancement. Since then, CINs have become a cornerstone of care delivery, enabling clinical value ...