Type of publicly or privately held administrative group that gives strategic, financial, and operational plans needed by physicians, clinics, and ancillary service providers for a successful managed care business enterprise. The MSO contracts with payers, hospitals, and physicians to provide services such as negotiating fee schedules, handling administrative functions, billing, and collections. An MSO may own the facilities and employ nonphysician staff to deliver care or may be a direct subsidiary of a hospital or owned by investors. Sometimes referred to as medical services organization (MSO) or physician management corporation (PMC) .