There’s lots of advice out there suggesting single track “cures” to the cash crunch that many medical groups and facilities are experiencing as a result of the coronavirus economic crisis.
Unfortunately for the victims, many cures are being touted by those with knowledge, even extreme knowledge, about one solution, one recipe. Or, in some cases, simply part of the recipe.
Take for example advice concerning valuation, offered up as the solution to the decline in income in the context of an existing coverage stipend arrangement.
Yes, it’s entirely true that modeling valuation, that is fair market value, is an important element of renegotiating stipend support. But the bigger set of issues includes, but is no means limited to, questions such as should you renegotiate, which of many renegotiation strategies should you adopt, what other alternatives are available, and will the solution to that short term problem ruin your long-term future, among many others.
As I’ve said before (if you haven’t already watched them, watch Business in the Time of Coronavirus Part 1, Part 2, and Part 3), there are many tools, many solutions, to the financial crisis impacting groups and facilities. However, they must be considered extremely carefully and put into context, into your particular context, that is.
And, consider that many solutions are simply short term solutions to long term problems, band aids on the entity equivalent of birth defects. They offer only short term relief so don’t confuse them for anything else and don’t ignore the need for further analysis and corrective action.
Beware those with a single recipe. After all, knowing the recipe, even the world’s best recipe, for a tagine doesn’t makes you Moroccan.
