"The Ronan Report" provides insight about the activities at the Western Maryland Health System in Cumberland, Maryland, and about the changes taking place in healthcare today from a CEO's perspective.

Friday, July 29, 2011

Avoiding a Borders Outcome

Another one bites the dust.  I was somewhat surprised to read last week that Borders was forced to liquidate and close its stores.  This business will be completely shut down by September for one simple reason, it failed to change.  Apple, Amazon and Barnes and Noble figured it out, but Borders didn't. 

In healthcare, change is happening pretty dramatically.  Our business is changing at a fast and furious pace, which is pretty remarkable since little changes at that pace when it involves hospitals.  Making a change within our industry, check that, within our hospitals and health systems, is like turning an aircraft carrier on a dime--it just doesn't happen.  However, we have had to adapt to payment reform in Maryland that has changed at a pretty rapid pace over the last few years.  Fortunately for those we serve, many of us are doing so and making it happen at a record pace.  I worry about those who are slow to adapt or change.  Borders’ closing isn’t the end of the world since many others have adapted and will continue to do so, but in health care it isn't that simple.    We serve communities, towns, cities and multi- state regions, we can't afford to not change.

Wednesday, July 27, 2011

Employee Satisfaction

If you ever wondered how strong the link is between patient satisfaction and employee satisfaction, let me assure you that they are inextricably linked. 

During FY10, WMHS was experiencing financial challenges after moving into the new hospital.  The payment environment in Maryland changed dramatically and we had just moved into the new hospital.  Lots of new technology, yet it still wasn't being used to its level of design and capacity.  We struggled and it impacted employees.  We reduced the size of our workforce through attrition and turnover leading up to the opening of the hospital, but it wasn't enough. 

During the second half of FY10 and the first half of FY11, there was excitement with the new hospital and finally being able to benefit from years of planning.  But there was uncertainty due to the financial challenges and the employees were concerned.  That directly affected patient satisfaction.   We worked to reassure staff in the early part of FY11 that the decisions made in planning the operating budget for the year were good ones and that we had turned the corner through our adjustments.  Also, the board took on patient satisfaction as its priority for the year.  Our scores dramatically improved in the second quarter of FY11 and have remained there.  It is a lot of work but it's worth it.

Tuesday, July 26, 2011

Employing Physicians

The trend has once again returned for hospitals and health systems to employ physicians.  Hopefully, we all learned a great deal from this colossal mistake of the 90's.  I would like to think that we have at WMHS, as we are once again employing docs in record numbers.  What we have to do is to make sure that that employing select physicians is the right thing to do under healthcare reform on a national level and payment reform in Maryland.  However, not every physician fits into that category and employing every doc could be a problem.  Make sure that you think through that hiring decision well in advance.

Monday, July 25, 2011

The Leadership Playlist

The Western Maryland Health System is creating a Leadership Institute, which I will write about from time to time.  Recently, all members of senior management were asked for their favorite top ten books on leadership, aka our leadership playlist.  There are a lot of great books on leadership that are available.  There are some relatively new titles available, but many have been around for years and are still current with their message and contents.  My list is as follows and pretty much in order of preference.

Built to Last by Jim Collins
The Seven Habits of Effective People by Stephen R. Covey Silos,
Politics and Turf Wars by Patrick Lencioni
Servant Leader by Ken Blanchard
Good to Great by Jim Collins
The Speed of Trust by Stephen M.R. Covey
The 21 Irrefutable Laws of Leadership by John Maxwell
The Five Temptations of a CEO by Patrick Lencioni
Strengths Finder by Tim Roth
The Top Ten Mistakes Leaders Make by Hans Finzel

The average Fortune 500 CEO reads two management / leadership books per month.  The average manager reads one a year.  Above is a good list with which to start.

Friday, July 22, 2011

Jobs for Life

The other day, I read in USA Today that death is the primary threat to job security in the Federal Government. Last fiscal year, the Federal Government fired 0.55% of its employees while the private sector fires on average 3% of its workforce each year.  The Federal Government has many, many talented employees, but it also has marginal employees at best who are there for life.  They perform just enough to get by to keep their job. 

I am curious as to what the rate is in Maryland.  Based on what I have experienced in my 21 years in working with State of Maryland agencies and departments, there are many highly experienced and talented state employees.  However, there are also many who are worse than marginal but are politically connected. There are far too many "assistants to the assistants" created to satisfy political patronage in state employment.

Looking for places to reduce costs, I have a few suggestions:  Firing any employee is difficult; however, there are circumstances that warrant termination.  I have had employees who have been previously fired come back and thank me for that "wake up call."  Termination should never be taken lightly but the Federal Government could learn quite a bit from the private sector

To read the article as it appeared in USA Today, follow the link below:

Thursday, July 21, 2011

Players vs Pretenders

I just read an interesting article, Players vs. Pretenders, in Success magazine.  The article by John Maxwell asked what kind of followers do you lead-- people who look the part or do their part?  How do you spot a pretender?  They have a selfish mindset; they are position conscious; they are job hunters; they only promise the goods and, lastly, they are interested in their own success.  As for the players: they have a servant's mindset; they are mission conscious; they are job happy; they deliver the goods and lastly, they love to see others succeed.
Which are you?  Hopefully, the player since pretending takes a lot more time and can be really tiring.  According to Maxwell, pretenders exist in every organization (hopefully, they have all been weeded out at WMHS).  They can slow down an organization, steal momentum, damage relationships and live for themselves.

Wednesday, July 20, 2011

Volunteering

Yesterday, I wrote about our parish nurses, all of whom are volunteers.  According to the Dept. of Labor, over 40% of people give of their time and energy because a friend, co-worker or someone already involved with an organization asked.  Become a volunteer if you haven't already.  If you have, influence someone close to you to volunteer with you.  It can be so very rewarding.