Bhagwan Satiani Reveals Hospital M&A May Not Boost Healthcare Value

The recently published study in the Journal of the American College of Surgeons (JACS) challenges the widely held belief that mergers and acquisitions (M&A) within the U.S. hospital and health care system improve care quality and lower costs. Conducted by a team led by Dr. Bhagwan Satiani from The Ohio State University, the study systematically reviewed 384 articles, focusing on 37 that met specific criteria for evaluating the impact of health care integration on quality, prices, and spending. The findings reveal that a significant majority (54 percent) of studies indicate a negative net impact of health care integration, with diminished care quality or negligible change being common outcomes. The study explicates that while integration is often cited as a strategic move to enhance value, it does not necessarily lead to improved healthcare outcomes or cost efficiencies. The systematic review also pointed out weaknesses in previous studies, such as lack of standardized measures of quality and spending. Importantly, while surgical services represent a significant portion of healthcare expenditures, they are not usually covered in health policy research, an oversight this study seeks to address. Dr. Satiani recommends that health care leaders focus on quality improvements and standardization, suggesting models like the American College of Surgeons Quality Verification Program for guidance.