Effects of Managed Care on Privately Owned Physical Therapy Practices

  • Howard Layne

Student thesis: Master's ThesisMaster of Science

Abstract

Purpose: The purpose of this study is to assess how managed care has changed the way in which top-level managers (owners, chief executive officers) of private physical therapy practices engage in the strategic planning process of environmental scanning. Subjects: Licensed physical therapists who are members of the American Physical Therapy Association (APTA) and belong to the private practice section. Method: Questionnaire was mailed to 1000 licensed physical therapists throughout the United States who were members of the APTA and the private practice section. Results: Statistical analysis using MANOCA revealed no significant interaction effect between the two independent variables: level of entrepreneurship and existing regulatory environment (F=1.27, p=.230). This indicates that an individual's existing regulatory environment and level of entrepreneurship may not jointly affect an individual's environmental-scanning behavior. The independent variable of existing regulatory environment was not found to be significant (F=1.80, p=.099). This suggest that an individual's existing regulatory environment may not affect the way one's practice makes their business decisions. The independent variable level of entrepreneurship was found significant (F=7.51, p Conclusion: Most business have not changed the way they scan the environment. This could explain why so many of these practices are selling to large companies or just closing.
Date of AwardJan 1 1998
Original languageEnglish

Cite this

'