Venture profile analysis.

Abstract

Imposed restrictions on inpatient revenue have encouraged hospitals to seek alternative sources of revenue through diversification. The venture profile analysis is a low-cost, orderly process to help hospitals plan for service diversification. Potential business ventures are assigned a weighted score based on nine evaluation criteria. Potential business ventures with high relative scores should be those opportunities with the greater prospects of success and those deserving of serious consideration by the hospital. The format of the profile facilitates active involvement of board members in the decision making process and prudent management of risk in market-based strategic planning.