Ben Franklin


TMG Health: Exponential Growth in the Healthcare Information Industry

What does it take to go from one to one thousand? John Tighe knows. When Tighe hung out his entrepreneurial shingle in 1998, he was the sole employee. Today Tighe has plenty of company—the business he founded, TMG Health, now employs more than 1,100 people—nearly 90% of whom work in northeastern Pennsylvania.

TMG HealthAs founder, president and CEO of TMG Health, Scranton, Tighe envisioned the dream for TMG Health while working at his previous job. He saw a great opportunity for a company that specialized in government healthcare administrative services. Tighe left his position, launched TMG Health, and over the next several years, overcame the challenges of competition, healthcare regulation changes and exponential growth to become the leading BPO (business process outsourcing) company serving the Medicare and Medicaid market.

TMG Health’s strength lies in continually reorganizing itself to adapt to industry and regulatory changes. The company developed a state-of-the-art information system and more than a dozen proprietary applications to help health plans manage government-sponsored healthcare programs.

A Winning Combination

Ben Franklin Technology Partners took an early interest in Tighe’s vision. Ben Franklin was an early-stage investor, providing TMG Health with a total two-year investment of $300,000 in 2003 and 2004. In 2008, at the annual Ben Franklin i xchange event, TMG Health won the prestigious Entrepreneurial Achievement Award, which lauds “the company best exemplifying the quintessential entrepreneurial spirit.”

Thanks in large part to Ben Franklin’s assistance, we gained a competitive edge in our industry and have brought many high‑paying and sustainable jobs to Pennsylvania.—John Tighe, founder, president and CEO of TMG Health

“We used Ben Franklin’s investment on an internal project that allowed TMG Health to meet important industry requirements,” said Tighe. “But they have supported us well beyond the generous financial award. They networked us to a variety of leaders and resources in Pennsylvania. Thanks in large part to Ben Franklin’s assistance, we gained a competitive edge in our industry and have brought many high-paying and sustainable jobs to Pennsylvania.”

Tighe launched TMG Health in Scranton, PA, but the company now has additional operations in Dunmore and a corporate headquarters in King of Prussia. Today, 172 of TMG Health’s 1,100 employees work from home. The company hired 168 people in May 2011 alone, and is currently seeking 500 additional employees to start this year.

The Path to Acquisition and Beyond

TMG Health was acquired by Health Care Service Corporation in 2008. This move allowed TMG Health to remain its own entity while gaining the resources and support of the fourth-largest health insurer in the country. Today, TMG Health has revenue in excess of a $100 million, provides services in all 50 states, and is the largest BPO company serving Medicare, Medicaid and Part D processing needs.

Along with its employment and revenue, TMG Health’s space needs are growing rapidly. Construction is about to begin on a 150,000-square-foot facility in Jessup, PA, to bring together all northeastern PA in-house employees into one location and provide ample room for continued growth.

Tags: , filed under Client & Alumni News, News, Northeastern PA
This article was featured in
Keynotes July, 2011
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