Balancing health system growth and profitability
Thinking beyond financial performance
Historically, health systems treated profitability and growth as separate levers, but today’s volatility demands a unified approach. Margin without growth risks stagnation; growth without margin is unsustainable. Discover a new framework linking strategy to performance to see how top health systems are balancing both to drive success.
Benchmarking beyond financial performance
Unlike typical benchmarking studies, our analysis doesn’t stop at financial performance. We analyzed the top 50 US health systems by revenue to learn what makes sustainable performers unique. We turned strategy into something measurable, comparable, and actionable by:
- Connecting strategic objectives to execution and outcomes
- Offering a diagnostic tool for leadership teams
- Challenging assumptions about scale and margin impact
Our findings can provide leaders with a clearer understanding of their current position to help make more informed decisions for future growth.
Four health system archetypes
Our research identified four distinct health system archetypes. Learn which type is winning and how they’re achieving reliable growth, strong investment power, and lower volatility.
- Balanced Builders: Maintain steady margins and growth through partnerships and ecosystem integration.
- Profit Power Houses: Focus on high margins via cost control and strategic reinvestment.
- Growth Hustlers: Pursue rapid expansion, sometimes at the expense of profitability.
- Emerging Transformers: Systems in transition, seeking a clear strategic direction.
Transform your strategic planning
Whether you lead a high-margin incumbent or an organization undergoing transformation, our framework can help you refocus your strategy toward a more sustainable trajectory:
- Benchmark your system’s position against the four archetypes.
- Align leadership focus—recognize that your CEO, CFO, COO, and CSO may have different priorities depending on your organization’s archetype.
- Consider striving for the Balanced Builder zone and assess what it will take to shift toward this archetype.
- Challenge assumptions about scale. Our data shows that system size alone does not correlate with better margins.
Shape your growth strategies with AI-powered insights
Discover how advanced analytics reveal hidden opportunities and risks. By uncovering the strategic architecture behind today’s top health systems, our study provides guidance on how to set up for success. In tomorrow’s health care system landscape, those who grow deliberately, operate efficiently, and lead with strategic discipline can be better equipped to lead their organizations—and the industry—forward.
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