News Headlines Article

Consultant: SMVH should merge
The Californian - Salinas

In order to survive the turbulent economics of the health-care industry today and into the future, the Salinas Valley Memorial Healthcare System should merge with a much larger health-care system within the next 12 to 24 months, according to a recommendation from a highly guarded consultant’s report. The merger recommendation – which the chairman of the SVMH board of directors downplayed as just one possible option — is part of a 132-page report produced for the public health-care district by management consulting giant, McKinsey & Co. SVMH spokeswoman Adrienne Laurent said the health-care district had its law firm hire McKinsey to prepare “strategic business and financial plans” earlier this year at a total contract cost of $930,000.