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New service line development has been top of mind for many executive teams of specialty provider organizations. The reasons are many—the need for diversification, shrinking margins, new payer and health plan needs, new competition, and new treatment technologies are all having a big impact on provider organization service portfolios (see Do Something Different, 'Differently' and Finding Your Next Cash Cow).

There are two issues in new service line development. The first, a metrics-based approach for deciding what new services to develop. The second, a structured approach to developing and launching those new services. Fortunately, there are best practice . . .

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