In the most recent issue of this publication, I spoke of an emerging business model for radiology practices that want to maintain their independence while making the best use of economies of scale: local and/or regional affiliation. As hospitals and health systems continue to consolidate under emerging payment and delivery models, medical groups that hope to continue serving these customers as independent entities will have to increase in scope and scale to survive.

I have recently been writing commentaries in our various publications about the evolution of the practice model for the radiology group, especially as it relates to what radiologists need to do in order to succeed in a maturing marketplace. It is clear that a new normal exists in which revenue predictability and certainty about practices’ growth trajectories have been replaced by confusion, uncertainty, and discussions about reinvention. There are a couple of reasons that the need for a new strategy has now accelerated. I believe that these new market forces will be unforgiving to those who act as though this is simply another in a continuing series of minor setbacks and annoying speed bumps.

MITA wrote with praise, but also concerns, to the leadership of the Senate Finance and House Ways and Means committees currently working on draft legislation to reform the SGR formula for determining Medicare physician payments

Tandem Radiology LLC, is being sued by Virtual Radiologic Corporation (vRad) and NightHawk Radiology Services LLC in federal court for infringing on vRad/NightHawk patents and trade secrets

Could simply asking your patients about their experience with your practice improve your performance? A survey of Medical Group Management Association (MGMA) members indicates that yes, it may

Virtual Radiologic is rolling out free access to benchmarking metrics derived from its clinical database of more than 22 million imaging studies in order to help change the discussion around imaging utilization from one of managing costs to creating value

In recent years, the leadership of Advanced Diagnostic Imaging (ADI) noticed that its market of Nashville, Tennessee, was experiencing an increasingly common trend. Chad Calendine, MD, president of ADI and CMO of Optimal Radiology Partners (ORP), says, “The national partnership we formed last year with ORP validated our observations that in many markets, health systems have begun—in earnest—to employ their referral base. As health systems employ those physicians, you can be in jeopardy of having your referral base hired away. It’s a well-known vulnerability for radiology practices and imaging-center owners, but options for addressing the problem can be limited.”

The ongoing success of the imaging-center industry has resulted in the proliferation of operating and management companies; this, in turn, has resulted in the increased acquisition of controlling interests in the imaging centers by the operators. By gaining a controlling interest, the operating company is able to bring substantial experience and negotiating clout to the venture, typically enhancing value. The success of these partnerships, combined with this increased demand, has resulted in the willingness of these operating and management companies not only to acquire controlling interests in imaging centers, but to do so at a premium.