When Less FFS Revenue = Better Financial Position

The headline Providers With Health Plans & Value-Based Care Deals In Good Position Heading Into 2021 caught my attention. I didn’t think many provider organizations were in a “good position” starting this year, so I wanted to know more. My takeaway from the survey results, Top Health Industry Issues Of 2021: Will A Shocked System Emerge Stronger?, was that provider organizations with a higher proportion of non-fee-for-service (FFS) revenue are in a better strategic position in terms of profitability, cash flow, and the ability to leverage technology.

The outsized profitability benefit is unique to the . . .