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Orthodontic Centers of America

healthcare
PE-OWNED

Dental service organization providing orthodontic care through multiple practice locations.

PE-OWNED

Acquired by Ares Management2006-08-15

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What Made It Great

Consolidated orthodontic practice management with standardized care protocols

What PE Will Likely Do

Reduction in the number of orthodontists and skilled staff at Orthodontic Centers of America locations, leading to longer wait times and less personalized care for patients

HIGH LIKELIHOODBased on: Ares Management's track record of cost-cutting and profit-focused tactics in other industries, which often lead to a decline in product/service quality

Introduction of lower-cost, less experienced dental assistants and technicians to perform more routine tasks, potentially compromising the quality and consistency of orthodontic treatments

HIGH LIKELIHOODBased on: The healthcare industry playbook that shows common PE tactics like staffing reductions, service line cuts, and billing upcoding

Pressure to increase the number of patients seen per day, leading to shorter appointment times and less individual attention for each patient's needs

HIGH LIKELIHOODBased on: The timeline of similar past cases in other industries, where cost-cutting measures eventually led to major issues for consumers

Deferral of investments in new orthodontic technologies and equipment, resulting in the use of older, less efficient tools and techniques

HIGH LIKELIHOODBased on: The timeline of similar past cases in other industries, where cost-cutting measures eventually led to major issues for consumers

Potential closure of some Orthodontic Centers of America locations, especially in less profitable or underserved areas, reducing access to care for some patients

HIGH LIKELIHOODBased on: The timeline of similar past cases in other industries, where cost-cutting measures eventually led to major issues for consumers

Expected Timeline

0-6 monthsCompleted

0 to 6 months months

Announcements of 'optimization' efforts and leadership changes, with reassurances that 'quality of care' will be maintained

6-12 monthsYOU ARE HERE

6 to 12 months months

Gradual staffing cuts under the guise of 'efficiency' programs, with some service reductions or relocations

12-24 months

12 to 24 months months

Noticeable decline in service quality, with longer wait times, more crowded waiting rooms, and increasing patient complaints

24-36 months

24 to 36 months months

Potential closure of some Orthodontic Centers of America locations, quality scandals, and growing patient dissatisfaction

36+ months

36+ months months

Possible bankruptcy or sale of the company to another operator, further disrupting patient care

Similar Cases

Other companies that followed a similar path after PE acquisition

What You Can Do

Actions

  • Be aware of any changes in the number of staff, the experience level of the orthodontists, and the availability of appointments at your local Orthodontic Centers of America location

  • Monitor the quality of care and the overall patient experience, and be prepared to seek alternative orthodontic providers if the service declines

  • Stay informed about any news or announcements regarding the ownership or management of Orthodontic Centers of America, as these may signal impending changes that could affect your care

Alternatives

Non-profit health systemsSAFE

Community-focused healthcare

Kaiser PermanenteSAFE

Integrated managed care consortium

Share this company's PE status

"Orthodontic Centers of America is now PE-owned. Here's what that means for you."