Troy, Mich.-based Wayne State University Physician Group emerged from bankruptcy protection June 3, seven months after it filed for Chapter 11 reorganization.
The U.S. Bankruptcy Court in Detroit approved the physician group's reorganization plan, which is expected to propel the group to $3 million in profit by 2022. WSUPG lost $8.1 million in 2018.
The plan was developed with consultancy AlixPartners and will be funded in part by the university, which will help the group pay outstanding debts. The turnaround involves first downsizing WSUPG's outpatient footprint. The group will close locations "to focus on serving the needs of the Detroit community and the WSU School of Medicine," while reviewing a new site in Midtown Detroit for specialized multispecialty ambulatory care.
The group also plans to restructure management and clinical leadership into six interdisciplinary teams. Their focus will be updating WSUPG's "business and financial operations, clinical footprint, revenue cycle, patient access, physician compensation, business relationships and organizational culture," according to a press release.
The group also announced plans to implement athenahealth revenue cycle management software and work with athenahealth partner Caduceus Healthcare to revamp revenue cycle operations.
"We are on a path to be a leading urban academic practice, in a thriving city, recognized for innovative delivery of high-value care to the most complex and vulnerable members of the community. It's a new era for WSUPG," Charles Shanley, MD, WSUPG president and CEO, said in a press release.
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