Explain the interdependencies involved in a referral system

Explore St. Kilda’s Hospital response of a major pediatric medical center to a request from a referring medical center (SKHP) to become an affiliate in their integrated ACO network. SKHP was seeking to move payments to capitation and desired proposals to concentrate their referrals in providers that met their quality and cost criteria. Successful proposals would improve access to quality care and ensure seamless care and communication among primary and specialty care providers. Respondents were requested to provide a very long list of specific data and a cost proposal that would delineate the method and amount the respondent would charge for services, travel, overhead, supplies, and miscellaneous costs. The pediatric hospital considered forming an ACO, but it looked at the affiliation with St. Kilda as an alternative of forming their own ACO.

The director of strategy, Elizabeth, with her staff wanted to solidify the relationship with St. Kilda, yet she had identified several significant issues that they needed to discuss before making a recommendation.

Using the Case Study Template (attached), respond within the template as well as the following questions based upon your research;
1. Discuss build, buy, and affiliate as growth options
2. Examine the value of strategic alliances
3. Explain the interdependencies involved in a referral system
4. Examining the types of strategic alliances that might be created to address the proposal in lieu of a financial transaction
5. Identifying the strategic leadership skills necessary to retain
an important relationship