Medium Size HMO Case Study

Medium Size HMO Case Study

SITUATION: Loses/Chapter 11

  • Chapter 11 caused by merger of two major company and new IT system failure
  • Public offering based on merger and new systems
  • Chaotic operations unable to achieve sales or forecasts
  • Cash flow in danger, bank cutting credit line
  • Serious challenges within the management base

NEED: Management and organization control

  • Revival of operations, increased capacity
  • Enhance and maintain quality of care
  • Make appropriate cost reductions
  • Create a solid and capable team with the integrity to run the operations

PROVIDED: Chapter 11 management

  • Online management team to run the Company
  • Investment alternatives
  • Operational continuity
  • Regulatory, financial, and investment reporting
  • Litigation support on IT lawsuit

Value: Successfully brought 2 M into the company through litigation

  • Sold off division/office, saving a major of personnel
  • Allowed owners to transition to new opportunities
  • Liquidated and paid off the bank

Potential Savings: Patient flow increased by 20% annually, making it more valuable to buyers

  • Operational integrity
  • Owner/Managers professional standing
  • Allowed Owner/Managers to create new lives
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