Data-Driven Home Health Provider to Expand with Private Equity Backing
Team Select Home Care’s plans for growth just received a large push from a New York-based private investment firm, with an undisclosed investment.
Established in 2008, Phoenix-based Team Select provides in-home post-acute health care services—including Medicare home health, mobile outpatient therapy, pediatric long-term care and CNA training—and has seven locations spread across Arizona, Colorado, Missouri and Oklahoma.
The investment was made by Tenex Capital Management, an investment firm that provides capital to a variety of industry sectors including health care, manufacturing and transportation. Neither Tenex nor Team Select CEO Mike Lovell wished to disclose the full capital amount. Lovell explained to Home Health Care News that the “major investment” will allow for the company to pursue rapid expansion through acquisition.
“What the Tenex investment does is it allows us a tremendous pool of resources to go out and acquire poorly performing competitors and transition [them] to a much higher quality of care, and really penetrate new markets,” Lovell said.
With this goal in mind—and armed with new capital—the company is banking on data to take the Team Select name across the U.S.
The company is already underway in expanding its footprint into all major metropolitan areas in Texas by the fourth quarter of 2017, according to Lovell, with the Midwest as another region in its expansion plan.
Though a relative newcomer to the home health industry, Lovell explained the company’s use of data and analytics is what gives them a unique advantage.
In addition to fueling the company’s growth through acquisitions, the capital investment from Tenex will allow Team Select to refine and utilize its own proprietary database technology in future acquired locations.
“We spent the last four or five years building out a data-enabled platform that is really driven towards using the various tools within our data analytics and strategies to be able to drive quality patient outcomes,” Lovell said.
Lovell and the company’s development team customized features available in current “off-the-shelf technology” to build its own database management system, he explained.
“Basically it’s a data warehouse so all of our systems feed into one single source, and we’ve overlaid a tableau visualization software on top of that [which] allows us to extract information about literally every piece of data—whether it’s billing, quality control, compliance, actual delivery of care in the field,” Lovell said. “Every one of those steps drives data that we’re able to utilize and micromanage.”
Overall, the benefits to the proprietary technology that the company has designed is two-fold, according to Lovell.
“[Our use of analytics] provides constant actionable feedback that allows us to ensure that we’re delivering world-class care and doing it in a format where our employees thrive and enjoy what they’re doing,” he said.
Written by Carlo Calma