1. Analysis of Concord
Hospital
Dana L. Happel
Saint Xavier
University

2. Outline
 Overview
 Outside Influences
 Services
 Revenue, Expenses, and Payers
 Cost Cutting Measures
 Financial Stability

3. Overview of Concord
Hospital
 Regional acute care hospital
 Located in Concord, New Hampshire
 Non-profit
 238 staffed beds
 Serves general population in 25
surrounding towns

4. Mission and Vision
 Be a charitable organization
 38 million dollars in charity services in 2012
 Meet the needs of the community
 Comprehensive community needs
assessment every 5 years
 Community benefit plan made yearly
(Community Benefits Reporting Form, 2013)

5. Outside Influences
 Environmental
 Harsh weather and natural disasters
 Economic
 People unable to afford health care costs
 Political
 Medicare and Medicaid changes

6. Changes in Services
 Outpatientservices are accounting for
more revenue
 Inpatientservices are accounting for
less revenue
 Becoming a national trend
 many potential causes

7. Services
 Inpatient
 All major specialties offered, with few
exceptions
 Outpatient
 Primary care, laboratory, radiology
 All major specialists

8. Changes in Services
500
450
Revenue (in millions)
400
350
300
250
200 2011
150 2012
100
50
0
Inpatient Outpatient
Type of Revenue
(Baker, Newman & Noyes, 2012)

9. Revenue and Expenses
 Revenue
 Sources: Patient services, non-operating
 2012 fiscal year total: 426 million dollars
 Expenses
 Sources: employee costs, purchasing, tax
 2012 fiscal year total: 405 million
(Baker, Newman & Noyes, 2012)

10. Financial Strengths
 20 million dollars in gains over
expenses
 24 million dollar growth in assets
 Increase in funds for charitable care
(Baker, Newman & Noyes, 2012)

11. Payer Mix
Government
Commercial
50%
Insurance
42%
(S. Sloane, personal communication, April 11, 2013)

12. Payer Characteristics
 Government: Medicare and Medicaid
pay lower rates
 Commercial insurance: Tend to pay
higher rates
 Self-pay: 88% unable to pay
(Baker, Newman & Noyes, 2012)

13. Cost Cutting Measures
 Lean program
 Captive Liability Insurance Company
 Medicare Shared Savings Program

14. Financial Stability
 Challenges due to economic and
political factors
 Despite challenges, strong financial
growth
 Strong
ratings from financial rating
companies

15. References
 Concord Hospital. (2012). Community benefits reporting
form. Retrieved
from:http://www.concordhospital.org/news/community.php
 Baker, Newman, & Noyes. (2012). Concord Hospital, inc. and
subsidiaries: audited consolidated financial statements and
additional information. Retrieved
from:http://www.concordhospital.org/news/news.php?shownews=tr
ue&id=901&artid=901&arttype=1