Synergy in community sector

There is active decision these days at personal level whether the new/re-elected government in Ontario will push for mergers in community health sector.  There has been a lot of speculation lately, and people within the organization have begun chatting.  Couple of observations here: not all mergers & acquisitions are successful; also some organization rather be stand-alone; what’s the guarantee that m&a will increase care and save money; and push to integrate might take focus away from core competences.

Under these circumstances, what should the leaders in system do?  Should they push for integration? Or should they offer to cash benefits it integrate? or like current scenario leave it to organizations to decide.

I don’t think they should push for integration as that might prompt organization to leave everything and run to find a partner.  That may lead to unhealthy associations with negative fall out in future.

Leaving it to organization won’t work either as executives won’t take pain unless there is some push or incentive.   I’ll leave it to the government whether to push or create incentive, but they should first create an atmosphere where organizations are prompted to talk to each other.

One of the things that come to mind is that organizations should be prompted to be in direct working relations with each other.  Say, a home care organization can develop direct working relationship with a long term care (LTC)  facility.  Such that if one of former’s client needs LTC service, the can be directed right away.  This way chances are that both organization might find reasons to integrate.  Even otherwise, they will develop efficient working mechanism between them.

Some may say that it will bypass the CCACs, but at the same time it will give choice to patients whether they’d want to go to LTC their home care provider recommends or go via CCAC route.  This will create incentives for efficiently run organizations to come together.  Also, take load off CCACs.  Now how that relates to first come first serve basis enshrined in Canadian health system, will be topic of further debate.


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