The six systems are Aspirus in Wausau; Aurora Health Care in Milwaukee; Bellin Health in Green Bay; Gundersen Health System in La Crosse; ThedaCare in Appleton; and UW Health in Madison. Together, they comprise 44 hospitals and more than 5,600 physicians, and they provide care to about 90% of the Badger State's population, according to a release announcing the partnership.
Matt Heywood, CEO of Aspirus, said in an interview that the ultimate goal of the non-equity partnership is to migrate toward an accountable care organization. The six health systems already have started offering a commercial health plan with Anthem Blue Cross, available through the federal and private-insurance exchanges. If and when the collaborative becomes an ACO, it will aim for inclusion in more health plans as a low-cost, high-quality provider network.
Under the deal, GE will work with Sanford to deliver $44.6 million in operational savings over 10 years by optimizing clinical assets and increasing efficiencies, according to the vendor. Productivity will be increased by integrating multiple biomedical engineering and radiology departments, several fleets of clinical equipment, and workflow for all staff, GE said. Sanford Health includes 39 hospitals and 225 clinic locations.
Froedtert & The Medical College of Wisconsin health system today comprises the Froedtert Hospital in Milwaukee, Community Memorial Hospital in Menomonee Falls, and St Joseph’s Hospital in West Bend, along with more than 30 clinics.
The new Beaumont system will account for about 30% of the Detroit market, based on hospital inpatient and outpatient services, where it competes with Henry Ford, Detroit Medical Center and St. John Providence Health System. “On a geographical analysis, these three organizations are very compatible and help create a much more comprehensive geographic coverage for the region.”