Supply and Demand

Why Some Studies Don't Add Up

Hospitals often  use a quick “black box” approach when determining whether there is a need to recruit physicians. While this approach is inexpensive, requires minimal staff time, uses purchased data fed into a computer formula, the results are far from accurate and usually misinterpreted.       The flawed conclusions drawn from these studies typically result when the users rely on purchased data and they don’t recognize the limitations in the calculations. It is only one piece of a very complex puzzle.

Looking at the physician to population ratios of your service area and comparing it to physician to population ratios on a national, state, urban, or rural level only tells you how you compare in the market and does not address “need”.

Calculating the population’s health care utilization rate by medical specialty provides a more accurate account of the market need for physicians. However, these “one formula fits all” calculations  have to be checked and adjusted to reflect up-to-date market characteristics, changes in physician supply, specific market and population uniqueness, managed care saturation, economic and geographic restrictions, to capture an accurate result.

One study won’t provide a complete picture, however, a Comprehensive Analysis with yearly updates, and a Confirmatory Assessment upon recruitment will keep your recruitment and relocation program in compliance.