Business Plans and Business Cases
This process has usually involved:
- Significant stakeholder and clinical expert consultation
- International best practice and trend research
- Analysis of the market demand and supply for the services
- Integrated activity, staffing and cost modelling, including scenario analysis
Examples of service decisions that we have supported included:
- Funding of the establishment of a new renal transplant service
- Clinical planning for future growth in immune effector cell therapies
- Introduction of a single antenatal hub service for a region
- Consolidation and outsourcing of public maternity services to a regional private hospital
Hospital Capital Projects and Planning
In a rapidly changing healthcare sector, with new models of care, new technology, new market entrants and changing funding models, it is important to have skilled and experienced advisors with specialist healthcare knowledge when considering undertaking a significant capital project.
O’Connell Advisory is recognised as the leading commercial advisor to the public and private sector for infrastructure developments ranging from day surgeries through to major tertiary referral hospitals.
Precincts
Our work has also included a whole of precinct approach, including the identification of complementary services that can be co-located with large public or private hospitals to enhance the hospital service.
New Facility Planning
O’Connell Advisory have prepared Clinical Services Plans that project future service requirements, having considered the growth and aging of the population and changes in the service models for each specialty (informed by best practice international research)
Private Hospital Feasibility Studies
O’Connell Advisory have prepared numerous feasibility studies for new private day surgeries and private hospitals or capital expansion projects.
We are able to provide advice from the early stage market assessments for feasibility studies through to the development of “bankable” detailed business cases and assisting with the securing of commercially competitive financing.
We have been involved in market assessment for new services, including reviews of population demographics, doctor coverage and competitor analysis for specific areas and services.
Members of our team have previously worked for the large Australian banks in the health and aged care markets. Clients have utilised this experience to successfully obtain bank finance or refinancing on commercially competitive terms.
Public Hospital Capital Projects
We have assisted NSW Local Health Districts to:
- Update their Clinical Service Planning (CSP) projections to reflect the latest demand projections and best practice
- Assess the optimal network approach to delivering services across a Local Health District, changes to health service role delineations, the impact of new models of care and the potential impact of a proposed hospital redevelopment on the other hospitals within the LHD
- Develop workforce planning projections required to support the projected volume and mix of future clinical services and any proposed changes to models of care, including expected efficiencies and inefficiencies.
We have developed a standardised approach to the development of high level top-down and detailed bottom-up models for projecting the activity and financial impact of a hospital development. We have produced projections and Financial Impact Statements (FIS) for hospital redevelopments worth in excess of $10 billion.
We have developed integrated activity (current and planned), staffing and cost models to support the business cases for hospital developments for a wide variety of hospitals and health agencies including:
- Large metro projects such as Liverpool ($744M), Bankstown ($1.3BN), Westmead ($900M), John Hunter ($835M) and Blacktown Stage 2 ($400M) and St George Stage 3 ($411M)
- Regional and rural hospitals such as Eurobodalla ($260M), Goulburn ($165M), and Moree ($80M)
- Mental health facilities such as Cumberland ($460M), NEXUS ($16M) and Campbelltown OPMHU ($44M)
- Ambulance infrastructure including the update of the Sydney Ambulance Metropolitan Infrastructure Strategy (SAMIS) business case.
Private Hospital Feasibility Studies
O’Connell Advisory have prepared numerous feasibility studies for new private day surgeries and private hospitals.
We are able to provide advice from the early stage market assessments for feasibility studies through to the development of “bankable” detailed business cases and assisting with the securing of commercially competitive financing.
We have been involved in market assessment for new services, including reviews of population demographics, doctor coverage and competitor analysis for specific areas and services.
Members of our team have previously worked for the large Australian banks in the health and aged care markets. Clients have utilised this experience to successfully obtain bank finance or refinancing on commercially competitive terms.
Market Sounding, Tendering, Contestability and Contracting
We believe that it is critical that a service contract should ensure delivery of a high quality service. We provide commercial advice to both the public system and private providers on commercial arrangements for a wide range of corporate and clinical services.
Examples of commonly provided advice include leading market soundings, developing procurement strategies, preparation of Public Sector Comparators (PSC), acting as the financial advisor to significant procurements and assisting with the negotiation of the commercial terms of the final contract.
Medical Research Institutes and Universities
O’Connell Advisory has provided advice to numerous medical research institutes and universities.
We have worked closely with the NSW Office for Health and Medical Research to monitor and evaluate the outcomes of various grant schemes including Medical Device Fund (MDF) and Medical Research Support Program (MRSP).
O’Connell Advisory has also assisted with the development of funding applications for new technologies.
Policy Reviews, Scoping Studies and Program Evaluation
Using a combination of quantitative and qualitative analysis we produce evidenced based reports and practical improvement opportunity recommendations for our clients. Our approach tends to be highly consultative, particularly when clinicians are involved.
We have consulted with a diverse range of consumers and clinicians and all types of service providers.
Private Revenue and Funding Maximisation
O’Connell Advisory has a deep understanding of the alternative funding and revenue models applicable for various services provided by hospitals and ambulatory services.
Using this understanding and our data analytics capability, we can assist hospitals to identify opportunities to generate additional revenue and funding to services they are providing.
Strategic and Corporate Advice
O’Connell Advisory is a highly respected provider of a wide range of strategy and corporate advice. This advice can include development of strategies, commercial due diligence, securing of financing, negotiations and litigation support.
Usually our advice is based upon sophisticated models encompassing activity, staffing and financials that assist with analysis of strategic options.
Workforce Planning
O’Connell Advisory can assist hospitals to prepare high quality workforce plans that are aligned to clinical service planning projections taking into account the impact of capital redevelopments and changes in the models of care.