Sample Case Study - Return On Investment



A family of not-for-profit hospitals and physician organizations in Northern California share resources and expertise to advance health care quality. Serving more than 100 communities this partnership of doctors and associated hospitals are regional leaders in pediatric, obstetrical, heart and cancer care spans over 3 major counties and includes 6 hospitals and over 700 highly qualified primary care and specialty physicians. This system operates in a very competitive marketplace, constantly vying for commercially-insured market share with two other large health systems. For this reason,   hospital and physician partnership chose Aegis’ approach to revenue growth in an effort to further differentiate their system from the competition.


In the execution of its strategy, initiated this Northern California association developed a relationship with the Sacramento Municipal Utilities District (SMUD), one of the area’s largest employers with over 2,400 employees. Prior to the introduction of the Aegis program, SMUD had been participating in an employee health and wellness program provided under contract by a competing system. The Employer Relations Specialist (ERS) met with SMUD leadership to present information on the services available through the “Workforce Health Initiative” – the name chosen to brand Aegis’ employer strategy in the Sacramento market. SMUD leadership agreed to the placement of two Health Information Centers (HICs) in high employee-traffic areas within the SMUD campuses and to permitting the hospital/physician organization to provide a monthly health education workshop for their employees, with topics following the Health Information Center (HIC) Body/Mind syllabus.


In 2006, thanks to the consistent, dynamic health community programs and contributions, SMUD received the coveted California “Fit Business Award.” This award is a coordinated effort between the California Task Force on Youth and Workplace Wellness and the California Department of Health Services’ “Five a Day – Be Active” Worksite Program. The award was launched in 2003 in an effort to seek and recognize business models that promote a healthier workplace for California residents. The hospital and physician’s association was formally recognized in a variety of state and regional venues for its contributions toward SMUD’s receipt of the “Fit Business Award” for 2006. As a result of the Workforce Health Initiative overwhelming success, the ERS has been asked to join SMUD’s Health & Wellness Committee, and monthly health education forums have been scheduled throughout 2007. In measuring the financial impact of this relationship, realized net revenue growth of $840,000 was attributable to SMUD employees over and above the prior year.


Case Studies are published by Aegis Health Group, Brentwood, Tennessee and are intended to highlight the contribution made by the Company in the execution of its proprietary employer development strategy. The information provided in this Case Study is considered confidential and may not be duplicated, in any form, without prior consent of Aegis.