Regional Healthcare Revitalization Project

We provide comprehensive management support for medical institutions and care providers by utilizing the know-how acquired through the operation of Ishinkan. We provide consulting services, including securing operating funds and organizational development, as well as collaboration with Ishinkan based on the needs of business partners. We believe that we can collaborate with them in a variety of ways, including by opening Ishinkan.

Background and mission

The exhaustion and breakdown of hospitals in Japan’s regional areas has become a serious problem. Depopulation and population aging, a chronic shortage of physicians, an uneven distribution of physicians and other medical resources, and other factors that greatly change the demand for and supply of medical care are causing many hospitals to fall into financial difficulty that could lead to the breakdown of regional healthcare. Believing that these medical issues will become more widespread, we have set our business mission as “strengthen and revitalize regional healthcare.”

To efficiently utilize limited medical resources and maintain hospital management, it is essential to build a system that clearly separates hospital functions and provides medical care on a “surface” basis. We will form a network by dividing hospitals into two groups: those that concentrate their resources on performing comprehensive functions and those that compress their functions to provide only the necessary resources.

Based on this concept, we established Ishinkan as a concrete approach to revitalization. An Ishinkan facility is not a hospital, as it specializes in chronic and terminal care by outsourcing physician functions from hospitals and reducing various other functions. Nevertheless, Ishinkan facilities strengthen and revitalize the management of exhausted medical institutions and demonstrate that they can meet the same needs.

Going forward, we plan to focus more on strengthening and revitalizing regional healthcare by growing the Ishinkan business while also adopting new approaches. To this end, in March 2020 we established a consolidated subsidiary, Ashitano Iryo, Inc. This company will support the management of exhausted hospitals and care providers by using the know-how acquired through the operation of Ishinkan facilities, such as regional marketing, clarification of functions, cost management, organization, and cooperation.

Ashitano Iryo, Inc.

Comprehensive management support for medical institutions and care facilities

  • Cooperation between medical institutions and care facilities and Ishinkan facilities
  • Consulting services, including securing operating funds and organizational development

Specific business examples

Cooperation between medical institutions and care facilities and Ishinkan facilities

Through cooperation between medical institutions and care facilities and Ishinkan facilities, we would like to help to strengthen and revitalize regional healthcare while building win–win relationships.

We envision two methods for cooperating with medical institutions: opening an Ishinkan facility or home nursing care office in an empty space in a hospital, or opening and operating an Ishinkan facility on the same site of a hospital.
When cooperating with care facilities we anticipate the mutual introduction of patients, operational support by personnel with know-how, and business transfers/M&A.

In April 2021, Ashitano Iryo, Inc. launched a project that links other companies' care facilities with Ishinkan, the first step in the alliance. Ishinkan facilities will be established in some care facilities of other companies, and mutual patient referrals will occur, as target groups of patients differ.

Proposed Cooperation between Ashitano Iryo and
Medical Institutions and Care Facilities

Proposed Cooperation between Ashitano Iryo and Medical Institutions and Care Facilities

Quick payment service for medical and nursing care (factoring)

In this service, we purchase receivables for medical service fees and nursing care fees and pay the providers before the date payment is due from the Social Insurance Medical Fee Payment Fund and the National Health Insurance Federation. Our factoring service provides access to funds approximately 1.5 months earlier than usual.

The Flow of Early Funding through Factoring Services

The Flow of Early Funding through Factoring Services

After concluding a basic contract and sales agreement of receivables, we purchase receivables for medical service fees and nursing care fees billed by the providers. We make an early payment of 80% of the claims prior to payment by the Social Insurance Medical Fee Payment Fund and the National Health Insurance Federation. We pay the remaining 20% after we receive payment from the Social Insurance Medical Fee Payment Fund and the National Health Insurance Federation.

  • (Note 1)
    Commission (0.8%) and remittance fees are deducted.
  • (Note 2)
    If there is a refund, we deduct that amount.
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