The Board’s Role in Evaluating and Implementing Corporate Consolidation Strategies
Resource Topic: Governance
Resource Subtopic: Capital Development.
Year Developed: 2022
Resource Type: Publication
Primary Audience: Board of Directors; C-Suite (CEOs, CFOs, CIOs, CMOs, COOs, etc.)
Secondary Audience: PCAs
National Association of Community Health Centers
(See other resources developed by this organization).
Resource Summary: This resource outlines the role of a health center board in evaluating and implementing corporate consolidation strategies such as merger, asset acquisition, and parent-subsidiary model.
Resource Details: In recent years, an increasing number of health centers have consolidated operations with other community providers. A health center board is critical in determining whether a corporate consolidation is consistent with the health center’s mission and long-term strategic goals. This resource describes common corporate consolidation goals, explains corporate consolidation models, examines the board’s role in evaluating corporate consolidation, and highlights key decisions that must be approved by the board.