; will red ink cause IDSs to self-destruct?
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will red ink cause IDSs to self-destruct?


For leaders of integrated delivery systems (IDS) facing apparent financial losses in their integrated medical practices, it can be all too tempting to contemplate whether ownership of these medical practices could be putting their systems at risk of imploding. The important point to understand is that no decision in such circumstances should be made without a full understanding of the causes of the practice-related red ink. Another common symptom of this red-ink syndrome is finger-pointing, and in the worst cases, it is possible for both IDS and physician leaders to be guilty of this behavior, being too quick to blame he other side of the affiliation for the financial mess. Some IDSs have adopted an organizational model with a single group practice operating as an owned subsidiary. In some states, this approach is necessary because of legal considerations regarding the corporate practice of medicine.

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