What EY can do for you
Unlocking value in transactions is not a new concept. However, the track record of health care organizations in defining and achieving value through M&A has been underwhelming during the transaction boom of the last decade. Today, vertical mergers and new business model combinations, often enabled through separations, are more prevalent than ever in the sector. The time is right to redefine your organization’s approach to integration and separation planning and execution to unlock growth, efficiency and improved competitiveness.
The rapidly evolving health sector landscape is being driven by:
- Shifting expectations and needs of patients, members and customers
- Changing regulatory landscape
- Increasing financial pressures
- Diversification in sites of care
- Technology enablement
As a result, key players are branching out to adjacencies vertically and horizontally to create new combinations and portfolios that will enhance the management of populations. To support growth strategies, health sector leaders are also realizing the requirements for unique and complex operating model combinations and separations. Furthermore, assessing and activating these disruptive strategies, and the partners they bring, comes with an unfamiliar set of risks, complexities, operating models, competing priorities, and value potential.
Creating an effective, deliberate approach and developing a transformative future state operating model is imperative. EY resources can help address and mitigate various risks while prioritizing value identification and extraction. This includes, but is not limited to:
- Back-office integration and/or separation
- Business continuity planning
- Front-office/product and customer experience design
- Associate and employee experience
The time is right for players in health care to be bold and proactive about how they unlock value from their transactions. Our track record of helping leading health care organizations evaluate and execute on these transformative transactions provides us a valuable perspective to help accelerate and prioritize your results.
We have supported some of the largest and most complex deals in the health care sector. We help clients create forward-looking integration and separation strategies, supported by leading-practice processes, to enable the creation and execution of the plan. Our team and approach are deployed collaboratively with your organization to help you overcome financial, regulatory and technological complexities. Working together, we can help enable innovative models of care, top decile patient/member/associate experiences and competitiveness within a high-cost pressure sector with emergent payment models.
With our Transact to Transform approach, we can help you achieve your evolutionary growth goals.
The EY approach to transformative transactions
Our approach is tailored to our clients’ desired visions and deal rationales. As we explore the best way to assess, design, build and execute your combination or separation, we examine your future goals and challenges. Key considerations include how your operating model could evolve to enable value capture and limit stranded costs, mitigate risks and support business continuity to ultimately drive transformative growth. The table below shares some of the high-level considerations, specifically for integrations, we will address as we work with your organization to activate your transformative goals as your operating model evolves: