Japan Medical Association Demonstrates Commitment to Protecting Public Health While Reviewing Current Revisions

News Highlights

The Japan Medical Association has expressed its determination to protect the life and health of the public as a whole medical community, while proceeding with the review of the Reiwa 6 (2024) medical fee revision. Specifically, points related to business succession and M&A are suggested, such as securing human resources through shared recruitment networks in the grouping of medical institutions, improving retention rates by standardizing education systems, and reducing the burden on the front lines by utilizing head office functions (labor, accounting, IT, etc.).

M&A Medical Editorial Department’s Perspective

The statement from the Japan Medical Association sheds light on individual management challenges of medical institutions, particularly human resource acquisition and operational efficiency, from the macro perspective of medical fee revisions. Measures such as group-wide recruitment branding and the sharing of training programs and career paths suggest the effectiveness of M&A schemes aimed not just at expanding scale, but at strengthening organizational capabilities. For example, by having local clinics and small to medium-sized hospitals join a medical corporation group, a path becomes visible to overcome challenges in recruitment difficulties and specialized personnel training, thereby maintaining and improving the quality of regional medical care. The centralization of back-office operations through head office functions will directly lead to improved management efficiency, enabling medical professionals to focus on clinical work, which is their primary responsibility.

Points Indicated by This News

• Alongside the review of medical fee revisions, strengthening the overall organizational capabilities of the medical community is recognized as an urgent issue.
• Group-wide recruitment branding and standardization of education systems can be effective means to solve the challenges of human resource acquisition and retention difficulties in individual medical institutions.
• Centralization of head office functions such as labor, accounting, and IT promotes management efficiency and focus on clinical work in medical institutions.
• The stance of protecting the life and health of the public as a whole medical community suggests the importance of M&A and business succession for building a sustainable medical provision system.

Practical Questions Arising from This News

• Will the hospital’s unique identity be lost by joining a group?
• What are the specific merits and demerits of consolidating operations through head office functions?
• At what scale of group do shared recruitment networks and standardized education systems become effective?

If You Feel “Should I Consult Too?”

Are you facing challenges with human resource acquisition or operational efficiency at your institution? As suggested by the Japan Medical Association, strengthening recruitment capabilities through grouping and utilizing head office functions can be a starting point for solving these issues. If you are considering the sustainability of regional medical care or creating an environment where staff can concentrate more on clinical practice, organizational restructuring through M&A or joining a group may be a viable option. First, organize your current challenges and future vision, and then consult with an expert.

M&A Medical (CentralMedience Inc.) supports business succession for medical corporations, hospitals, and clinics on a completely success-fee basis as an M&A support institution certified by the Small and Medium Enterprise Agency. We handle consultations with strict confidentiality. Free consultation here