publication date: Feb. 7, 2014


CL40-06a.html

By Paul Goldberg

You might think of this as an event isolated to Columbus or central Ohio:

On Feb. 7, OhioHealth, a health system that operates not-for-profit, faith-based hospitals in central Ohio and competes with Ohio State University, said it would join the outreach network of MD Anderson Cancer Center, located almost 1,200 miles away.

Yet, this seemingly local event is just the latest manifestation of an aggressive national strategy being executed by MD Anderson as it seeks to strengthen its brand, develop national reach, and grow its revenues by striking affiliation deals.

These efforts are guided, at least in part, by a business plan created under a $1.6 million contract with McKinsey & Company, a consulting firm often engaged by financial institutions, pharmaceutical companies, and various other multinational corporations.

In a PowerPoint presentation marked “CONFIDENTIAL AND PROPRIETARY” and obtained by The Cancer Letter, McKinsey described a “robust national strategy” aimed primarily at non-academic hospitals and health systems. The schema describes tiers of affiliation that has a clear take-home message: an MD Anderson network institution—possibly sporting the MD Anderson sign on the building—can pop up anywhere in the U.S.

The proposal would place four to eight new partner institutions into tier 1 and tier 2 markets, and up to 30 affiliates into tier 3 markets over a decade.

The business strategy presentation, dated March 12, 2012, is posted on The Cancer Letter website.

According to an MD Anderson spokesman, McKinsey was hired to “provide recommendations to enhance outreach efforts in which we … Continue reading 40-06 An MD Anderson in Your Neighborhood?

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