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ASA NEWSLETTER
 
 
March 2006
Volume 70
Number 3

Practice Management


10,198 Units Per Physician: MGMA/ASA Survey, 2005 Report


Karin Bierstein, J.D.
Associate Director of Professional Affairs



This article is available in PDF format.



10,198 Units Per Physician …

hat is the median annual number of base + time units reported per full time equivalent (FTE) physician in mid-size anesthesiology practices, according to the Cost Survey for Anesthesia Practices, 2005 Report Based on 2004 Data, produced by the Medical Group Management Association (MGMA) in collaboration with ASA.

Mid-size practices consist of 10-30 anesthesiologists and account for the largest proportion of respondents, or more than 40 percent. Smaller practices, representing 30.25 percent of the sample, include fewer than 10. They report a median of 13,577 base + time units per FTE physician. Larger groups employ 31 or more FTE anesthesiologists, with a median of 10,143 units — very close to the number for mid-size groups. Of the larger groups, 7.56 percent count 51-75 anesthesiologists.

The 25-percent difference between smaller and mid-size groups lies almost entirely in time units. The smaller practices make greater use of nurse anesthetists, as shown in Table 1.

Anesthesiologist:anesthetist ratios explain much, but not all, of the variation in productivity and income. The 2005 survey demonstrated that the most accurate denominator in benchmarking performance between groups – the one that permits apples-to-apples comparisons — is the number of anesthetizing locations covered, not group size, location or even the ratio between physicians and nonphysician providers [Table 2].



Some other interesting statistics include:

• 69 percent of responding practices receive 1 or more stipends. The most common type of stipend is the direct stipend, followed by income guarantees, salary support, per case guarantees and per operating room guarantees. Without financial support, 43 percent of groups would be running a loss.

• 51 to 75 percent utilization rates are the averages for the respondents’ largest hospitals and largest surgery centers.

• For practices with 11-30 FTE physicians, the median number of anesthetizing locations staffed is 20, with a range of 10 to 43.

• The median number of cases per anesthetizing location is 933 for practices with 30 percent or less of their income coming from governmental payers. Practices with a greater proportion of governmental payers in their case mix report approximately 100 more cases per anesthetizing location.

• The total number of physician time units per case averages 6, and base units hover around 6 as well, bearing out the anecdotal information that we have exchanged for the last few years.

The 2005 survey contains data from 119 anesthesiology practices, distributed fairly evenly around the country. It contains data on staffing ratios, revenues by source (e.g., epidurals versus surgical cases), staff salary costs and provider costs, stipends, payer mix, collection percentages and financial ratios, physician time units, anesthetizing and treatment locations and net practice income or loss.

With data from two years now in the MGMA reports, there are many opportunities to analyze potential trends as well as cross-tabulations. We encourage such focused analyses and look forward to publishing future articles based on these surveys. The first will be a study of comparative productivity by Amr Abouleish, M.D., M.B.A, and Genie Blough, M.B.A., FACMPE that will appear in an upcoming issue of the NEWSLETTER this year.

We are sure that you will find the 2005 report useful. To make the next MGMA/ASA report even more valuable, we strongly encourage our members to complete the 2006 Survey. Those who do so will receive a complimentary copy of the report — a savings of $305 that ASA has negotiated for its members.

To order a copy of the
Cost Survey for Anesthesia Practices, 2005 Report Based on 2004 Data (item 6389)
go to <www.ASAhq.org> or contact MGMA directly at (877) 275-6462

ASA members pay $305 — $160 off the nonmember price!
(Use promo code ASA05OT04 for your ASA member discount.)





ASA Member Appointed to Medicare Practicing Physician Advisory Council (PPAC)

aren S. Williams, M.D., who practices and teaches anesthesiology at George Washington Hospital in Washington, D.C., has been appointed to the Practicing Physician Advisory Council (PPAC), the council of practicing physicians that advises the Centers for Medicare and Medicaid Services (CMS) on proposed Medicare regulations and carrier manual instructions.

Dr. Williams was nominated by ASA Immediate Past President Eugene P. Sinclair, M.D., to serve a four-year term on PPAC, where she will be an important voice for anesthesiologists and other physicians.

 




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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.

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