Financial Strategic Planning in a Medical Group

Purpose:
To assess your ability to extrapolate effective strategic management practices from a simulation exercise.

Overview:
The purpose of this exercise is to consider the factors medical groups must consider when a managed care contract is essentially provided to them on a "take it or leave it" basis without realistic opportunities to negotiate.

Case Study:
A leading managed care organization contract arrives on the desk of the president of a large multi-specialty medical group practice with a three-week deadline to return it signed.

Action Items:

Read the case carefully.

Respond to the following question:

What are the factors the medical group needs to consider when making a decision to accept or reject the managed care contract? Support your reasoning.
Include your answers to the above question in a 2-3 page paper.
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