Home Site Map Contact Us Join ASA Members Only
 
ASA NEWSLETTER
 
 
April 1997
Volume 61
Number 4
 

Practice Options: Solo, Group, Academic Modes of Practice

Kenneth I. Mirsky, M.D.


In this and following issues, the ASA NEWSLETTER will be publishing articles about some of the various practice options available to anesthesiologists today - inside the operating room and in other venues.

Solo or group practice and academic settings are the mainstays of anesthesia practice. Frequently, the different modes of practice in anesthesia are often distinguished not so much by the types of patients treated as the economics of the practice - the business of medicine.

Outside the protection of a training program, nonscientific and nonscholarly issues may take precedence. If the fundamental concern is maintaining a secure place to practice, considerable effort is directed into nurturing that practice. The way to keep any business viable is to satisfy the customers; for the anesthesiologist, customers are not only patients, but also surgeons, hospital administrators and managed care organizations. In addition to these external concerns, there are internal issues such as how anesthesiologists organize themselves in the various modes of practice.

Internal Departmental Issues

Solo Practice

The solo practitioner, as the only anesthesiologist on staff in the hospital, often has nurse anesthetists to supervise in the operating room, has administrative responsibilities and is on call all the time. There may also be additional responsibilities and opportunities such as running the intensive care unit, respiratory therapy and pain management services.

Any sense of isolation in a solo rural practice might be less now with the availability of the Internet and other computer network links. Arranging vacation time can be done through a locum tenens provider.

Some hospitals with no anesthesiologist might offer additional stipends or other incentives to lure a physician to practice there and may guarantee some level of income and benefits. Properly managed, a solo practice may be rewarding.

Group Practice

Some groups still consist of anesthesiologists who function as solo practitioners and bill individually for their services. Accordingly, the individual who controls case assignments can, by anticipating the payer mix, wield considerable power. This may lead to jostling among group members for patients with higher-paying insurance: thus, poorer patients may be left to the most junior personnel.

There have been pressures for groups like this to form a legal entity. Not infrequently, groups of solo practitioners do not cover other's patients in the postanesthesia care unit. "Independent contractors" who cover for each other are often advised to incorporate for a number of reasons, including tax regulations regarding retirement funds; hospital administrators must be able to deal with a single entity such as a formal group rather than multiple individuals.

Groups can be formed as limited liability partnerships or professional corporations. The members of a partnership might not be protected when judgments are entered against other partners. A corporation with shareholders offers an individual's assets more protection when another shareholder is held liable for debt. The advantages of being a partner or shareholder in the corporation are to have a say in how the organization is run and how receivables are distributed. If you wish to consider incorporating, an attorney with experience in medical practices should be consulted.

Once a group is organized, there are many ways to structure it. Leaders and members of groups exist with varying amounts of power. Committees may be formed within the group to analyze business planning and other issues of growth and stability; e.g., some groups have salary committees. Other groups divide the total income equally. Still others may have a mechanism to reward "productivity." The term productivity may include such variables as teaching, research or intensity of cases.

New people are usually brought in as employees of the group for a trial period and paid a predetermined salary. Groups have different plans and time frames for employee advancement to partner or shareholder, and these should be spelled out in detail to potential candidates.

Some groups are comprised of only physicians; others utilize the anesthesia care team approach by supervising nurse anesthetists or physician assistants. It is important to be aware of not only federal Medicare guidelines but also state regulations regarding ratios of physician to nonphysician providers.

A few years ago, articles in the New York Times and
the Wall Street Journal described difficulties that anesthesiology residents were having finding practice opportunities. These articles may have crystallized fears that groups were already having, as managed care organizations and hospitals applied pressure to accept decreasing fees. With self-preservation in mind, many groups eliminated partnership tracks that would have led ultimately to ownership.

ASA, which had provided space at its annual meetings for people offering and seeking practices, suddenly saw offerings dry up. What had previously been a robustly attended area was reduced to a kiosk with practice offerings stapled to it. Perhaps the media drove some of the sense of despair. It seems that more partnership tracks are being offered again as the resident pool is diminishing.

Academic Settings

Academic institutions and teaching hospitals, like
others, have been forced into contracts with managed care plans whose bare-bones payment schemes do not provide funding for training. With less money coming in to pay for residents and fewer residents entering training programs, more and more cases are being done by attendings who have less nonclinical time available for research.

Advancement within academic departments is based
on research and publication. With less time and money,
it will become more difficult for researchers to publish and gain promotion within the tenure system. Involvement with state and national anesthesia societies, lecturing and article reviews help create visibility in the academic community. Nontenured clinical tracks may be offered, but contracts for these are often on a year-to-year basis.

External Issues

Patients and Their Care

Patient care and safety are always of utmost concern. Anesthesia services in all modes of practice must be provided in a safe, timely and courteous manner. Failure to provide a full range of quality anesthesia services is cause for major upheavals in anesthesiology departments.

Patients often recognize extra warmth and comfort. It is rewarding to have patients request a certain anesthesiologist for themselves or their loved ones based on positive prior encounters. Surveys of patient satisfaction are often continuously undertaken by hospitals. Every aspect of a patient's experience can be evaluated, analyzed and used when contract renewal time comes.

Surgeons, Other Hospital-Based Physicians, Other Colleagues

When surgeons, internists and anesthesiologists have different approaches to the perioperative care of a patient, statesmanship must diffuse the situation, remembering that patient safety is fundamental. It is crucial to have a record of providing excellent care to reinforce the fact that everyone is working for the patient's benefit and everyone benefits when the patient does well.

Hospital Privileges, Administrations, Contracts

After gaining privileges to practice at a hospital, the key is to become and remain a good citizen of the hospital community. Neglecting meetings and committees can be as detrimental as refusing to come in for a case since both engender criticism and can open the door for a new, more cooperative group. Information is distributed and policies are implemented at meetings whether or not the anesthesiology department is represented. Without knowledge and representation, any department can be put into disadvantageous positions.

Hospital mergers have variable impacts on their medical staffs. Some anesthesiology departments in hospitals of newly formed systems have remained independent and some have been forced to merge. Partly as a result of the turmoil wreaked by managed care's relentless inroads, the practice you may join today may be different from the practice that will be in place a few months down the road.

While some hospitals have an "open staff," without limiting who can get hospital privileges, more and more hospitals now offer one group an exclusive contract to provide anesthesia care for the entire hospital. This may appear to give the group some degree of stability and permanence. However, clauses are often included that give the hospital administration the right to terminate the contract, perhaps without cause and with only a few months' notice. Some contracts also include waiving the rights of the individual or group to appeal within the medical staff hearing system and with hospital privileges tied to having a contract in place; a group that has been "swept clean" from a hospital often has little recourse.

A recent trend has been for staff privileges to be dependent on Board certification. New members of the medical staff may be given a certain time (perhaps five years) to pass their written and oral Board examinations. If they do not become Board certified, their privileges are rescinded automatically.

Managed Care

Managed care penetration has created stress in the relationships of anesthesiologists with their hospitals and with

each other. Anesthesiologists may be pressured to join managed care plans that are beneficial for the hospital but are less so to physicians. Some plans do not even negotiate with the hospital-based physicians and instead prefer to come to an arrangement with the hospital alone; the hospital then determines how much each physician group is reimbursed.

There are many instances of physicians joining together to form their own organizations to compete with managed care corporations. Involvement in these ventures is necessary to educate policy-makers and rate-makers, who probably are not aware of some of the unique disadvantages under which anesthesiologists have been working.

Summary

Challenging patients who can stress the keenest clinician appear in all settings, sometimes in the middle of the night when extra hands may be scarce. The most trying problems and elusive answers, however, are more likely to be faced in the nonmedical aspects of maintaining a lasting practice - in any mode.

Kenneth I. Mirsky, M.D., is an attending anesthesiologist at J.F.K. Medical Center, Edison, New Jersey. He is Vice-President of the New Jersey State Society of Anesthesiologists.
E-mail the author.

 


return to top

Home >Newsletters >April 1997Home >Test

 


FEATURES

Malignant Hyperthermia: An Issue to Explore

ARTICLES


DEPARTMENTS


The views expressed herein are those of the authors and do not necessarily represent or reflect the views, policies or actions of the American Society of Anesthesiologists.

NL Archives

Information for Authors