The Executive Connection of North Texas: Winter 2012

WINTER 2012 

A Special Note o f Th a n k s

CONTENT President’s Remarks

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Message from the Regent

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Physician Relations in 2012

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Chapter Awards and Recognitions

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News from National

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Scott Schmidly, FACHE

CHE Ron Coulter, MHA, FA thodist Cleburne Texas Health Harris Me and A, FACHE Michael Ojeda, MH h Care System VA North Texas Healt rvice to the Board for their dedicated se and the Chapter!

Britt R. Berrett , PhD, FACHE

northtexas.ache.org

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Growing Tommorrow’s 12 Talent Today Event Encore

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Event Encore - Extras 15 Calendar

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The ACHE of North Texas e-magazine, The Executive Connection, is published quarterly (Spring, Summer, Fall and Winter) and includes information on the latest regulatory and legislative developments, as well as the quality improvement and leadership trends that are shaping and influencing the healthcare industry. Readers get indepth reporting on the issues and challenges facing hospital and health system leaders today. We make it our job to tell you about the great things the organization and Chapter are doing every day to ensure the health of our community. If you have any news and updates that you want to share with other members, please e-mail your items to info@northtexas.ache.org. Microsoft Word or compatible format is preferable. If you have a graphic or picture that you’d like to include, please send it as a separate file. The following are the types of information that our members shared in past ACHE of North Texas magazines: Advocacy Issues, Legislative Issues, Educational Opportunities, Awards / Achievements, Promotions (Members On the Move), Committee Updates, journal submissions, conference submissions, and workshop participations, sharing mentoring experiences, etc.

ACHE of

North Texas

A Publication of the American College of Healthcare Executives of North Texas Chapter | WINTER 2012

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2012 Board of Directors Britt R. Berrett, PhD, FACHE Texas Health Presbyterian Hospital Dallas Ex-Officio, Regent Beverly Dawson, RN, CCM, FACHE Chair, Advancement and Mentoring

Editor-In-Chief

Susan Edwards, FACHE

Managing Directors

Joan Clark, DNP, RN, FACHE Angela CJVincent, MHS

Contributing Editors

Felicia McLaren Lisa Cox Forney Fleming Jania Villarroel Scott Schmidly

Contributing Writers

Christina S. Burress, MBA Kriss Barlow, RN, MBA Vicki A Darnell, MSN Kathy M. Noland, PhD

Production

Kay Daniel

Advertising/ Subscriptions

info@northtexas.ache.org

Questions and Comments:

ACHE of North Texas Editorial Office, c/o Executive Connection 511 John Carpenter Frwy, Suite 600, Irving, Texas 75062 p: 972.256.2291 | f: 972.570.8037 e: info@northtexas.ache.org | w: northtexas.ache.org

J. Eric Evans, FACHE Lake Pointe Medical Center Chair, Education Forney Fleming University of Texas at Dallas Ex-Officio, Faculty Josh Floren, FACHE Parkland Health & Hospital System Co-Chair, Membership and Networking Dresdene Flynn-White JPS Health Network Co-Chair, Communications Jay Fox Baylor Medical Center, Waxahachie Co-Chair, Advancement and Mentoring Jonni Johnson, CPSM RTKL Associates Inc. Chair, Sponsorship Ashley McClellan, FACHE Medical Center of Lewisville Co-Chair, Education Rick Stevens Co-Chair, Sponsorship Matt van Leeuwe Parkland Health & Hospital System Ex-Officio, Student Council

2012 Chapter Officers

President Scott Schmidly, FACHE Medical City and Medical City Children’s Hospital Co-Chair, Membership and Networking

President-Elect Caleb F. O’Rear, FACHE Denton Regional Medical Center Co-Chair, Communications Committee

Past President Brad Simmons, FACHE Parkland Health & Hospital System Chair, Nominating Co-Chair, Education

Secretary Winjie Tang Miao Texas Health Harris Methodist Hospital Alliance Co-Chair, Sponsorship

Treasurer Pam Stoyanoff Methodist Health System

Jania Villarroel, MHA Pediatric Associates of Dallas Chair, Communications Demetria Wilhite The University of Texas at Arlington Ex-Officio, Faculty Teresa Whitley-Baker VA North Texas Health Care System Co-Chair, Advancement and Mentoring Bethany Williams ZirMed Chair, Membership and Networking Chip Zahn, FACHE Las Colinas Medical Center Co-Chair, Sponsorship Lisa Cox The Health Industry Council ACHE Coordinator

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President’s Remarks

Scott Schmidly, FACHE Dear Members, Happy New Year and I wish you all a prosperous 2012. It is indeed a privilege to serve you as this year’s President of the North Texas ACHE Chapter and to carry on the rich tradition of providing prominent educational and networking events to its members. I would like to take a moment to personally recognize and thank the efforts of our Past President, Brad Simmons, FACHE, whose leadership to our Chapter has made a significant impact on advancing the value this Chapter offers its membership.

Over the past two years our Chapter has realized a number of significant gains. The Chapter membership has grown nearly 18% and the number of members advancing to Fellow has risen 15%. Through your efforts, this Chapter has been nationally recognized the past two years as a Chapter of Distinction and a Chapter of Merit. This year our Chapter will again strive to excel in the areas of promoting membership, member satisfaction, member advancement to Fellow status, and member attendance at events.

This Chapter’s past successes are a result of the countless hours contributed by my fellow Board Members, our Regent, and especially our Chapter Volunteers. Our Chapter’s ability to serve you as the foremost resource for your professional education, B2B networking, and career development is a testament to the ingenuity and selflessness of our Chapter Volunteers. For all of you who have volunteered, Thank You! My hope is you will once again find the appeal to give your time and your resourcefulness to our Chapter and to the promotion of our profession.

It is only through the assistance of our Corporate Sponsors that the North Texas Chapter of ACHE has the ability to afford us unparalleled professional development opportunities.

Without our Corporate Sponsors generous support we would not enjoy the vibrant professional forum that exists currently within our Chapter. I hope you will join me in thanking representatives from these sponsors for their support at our upcoming events.

As always, our goal for this Chapter is to enhance the value of ACHE to the membership through purposeful education and networking opportunities. Moving into 2012, The North Texas

ACHE Chapter is once again offering a wide array of educational and n e t wo r k i n g possibilities. Besides the continuation of venerable events, such as the CEO breakfast, and extending newly introduced events, such as the Women’s Executive Healthcare Breakfast, the Chapter will focus on the following topics as we plan the 2012 calendar of events: • Enhance the Quality of the Programmatic Offerings, especially Category I & II Education Credits and Networking Opportunities; • Ways to Enhance the Value of the Chapter to Early Careerists; • Ways to Promote Senior Level Executive Participation; • Ways to Assist Members through a Career Transition; • Ways to Advance Diversity within the Membership and the Profession; • More Effectively Communicate Upcoming Events and the Value of Chapter Participation to the Membership; • Promote Membership and Participation to all Related Health Care Industries; • Sustain Sponsorship Support and Contributions; • Strengthen Graduate Program Involvement.

I encourage everyone to make a point to be an active participant this year with North Texas ACHE Chapter. It is only through your participation and involvement that our Chapter can reach its potential. Our Chapter has extended a number of resources to you to stay current and maintain your membership requirements within ACHE. I hope you will take advantage of the privileges that come with your membership. Please visit us at our website northtexas.ache.org to learn more about the ways to get involved as well as follow the weekly events email from info@northtexas.ache.org to see the lineup of upcoming events. Again, it is a privilege to serve you and I look forward to hearing from you throughout the year.

Sincerely, Scott Schmidly, FACHE

ACHE of

North Texas

A Publication of the American College of Healthcare Executives of North Texas Chapter | WINTER 2012

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Message from the Regent

Britt R. Berrett, PhD, FACHE In a recent healthcare publication the cover story exclaimed, “2012 – Poised for Success” The authors go on to describe a tumultuous 2011 that will be followed by a seemingly more challenging series of changes through 2012.

Ya, I get it. Change change change. Anyone around here tired of change? Perhaps as the Regent I should take a much more stoic view of the future and provide some rhetoric that is carelessly read and quickly forgotten. Well, as the interimregent I thought it might be more enjoyable to be a little more pithy.

To that end, let’s start enjoying this adventure. Too often we are a bunch of apprehensive executives that identify the doom and gloom only to confirm our worst fears and wallow in the aftermath. We are seen as the deliverers of bad news and in some way we do so with the most sincere level of discontent.

Recently our local congregation had a minister that would sit on the podium and scowl. When he would stand and speak his discourse was of faith, charity and hope. But when he was sitting, assuming that no one was observing, he would frown. Fortunately, his recent replacement exudes a sense of enjoyment and happiness. In many ways he radiates confidence and cheerfulness. He makes it a joy to attend church.

I wonder how many of us sit in our meetings and attend our functions with a scowl and a grimace only to put on our “happy” face for the crowds. Well, the crowds are watching us

and they are noting our demeanor. We are able to lead with joy and happiness or fear and loathing . . . the choice is ours.

Yup, 2012 is going to be challenging but can you think of a more noble cause? Can you imagine working on any greater effort? When the day is done and our story is told is the organization a better and happier place because of our presence? I sure hope so...because that is the kind of success that I am poised to enjoy in 2012.

Warmest regards, Britt Berrett

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I am frequently asked about current trends in physician relations. At present there is more genuine interest in change within programs than we’ve seen in the last 8-10 years. Many programs feel the need to change, and here’s why: 1. Consumer choice is present and growing, but statistics demonstrate that referrals from physicians are still driving selection for care delivery.

Organizations are feeling this and hospital – physician relationships are front and center in almost every organization.

2. Market place clutter has intensified making real connections with doctors more difficult

a. More sales reps

b. More hospitalist and other “ist” type programs While these market trends influence many segments of the organization, there are real life implications for physician relations. Is it good or bad for physician relations? Actually, a bit of both. The good news is that organizations creating a platform of shared learning with physiciansthere is definitely a role for physician relations in that. BUT, that is only good if the rep has earned a strong position as a conduit for information that flows both ways.

Historically, physician relations/liaisons were heavily reliant on practices making time to hear from reps. Now that everyone wants a few minutes with doctor; clutter abounds. At the same time, the practice is feeling tremendous pressure to increase their volumes, so setting aside time for reps of any type has become very challenging.

Physician Relations in 2012 Submitted by by Kriss Barlow, RN, MBA Barlow/McCarthy

The result is that reps are spending more time prospecting, there are longer cycles with more up front work with the office staff, and many are frustrated because they can not “hit their numbers.” It sounds like a car heading down a dead end street. Physicians have less time, so reps push harder, doctors feel limited value from the “push” the old “show up and throw up” method.

While we talk about value for the doctor, the emphasis has shifted to quick delivery of our message. In the near term, the rep is able to count the visit- and there may be times when results do follow. However in the long-run, the rep has clearly not differentiated himself or his approach.

When the rep shifts from adding value to becoming “just another rep,” it is a bad news situation for physician relations professionals.

Creating a change environment is complex and a multitude of books have been written on the subject. For your program, change doesn’t need to be a total do-over with wholesale change to your model. Let’s focus on four areas that can be enhanced. As you develop your long term approach, consider where you are with this content; if there is need to improve then create a plan for evolving your approach.

1. Data Drives Strategy and Results There are two essential uses of data for a solid physician relations effort to determine the right targets and to demonstrate results. Obviously they are related, but not all programs have both of the components working as they desire. Better research and use of data means that you understand: continued on page 7

A Publication of the American College of Healthcare Executives of North Texas Chapter | WINTER 2012

• Type of data available and perceived accuracy • The way senior leadership looks at data and uses it in business decisions • Scope of the effort to gather data and the go-to person to make it happen.

Business Planning within Physician Relations Many programs have excellent targeting strategies and have taken the time to evaluate which doctors are loyal and need to be retained and which ones offer the potential for more referrals. If you have not, the time is now because a defined group of physicians that you plan to visit with realistic expectations stages everything else that you do.

Before you launch an all-out data mining process, set a framework of knowing what you want from the data and what you will do with it once it’s all gathered. Data can clearly tell the story, but only if you are clear about the type of story you want!

Using existing data- by individual doctor is preferred, but work with what you have. Sometimes that means specialist only data, data sorted by patient zip code or the service line referral patterns to show trends.

The goal is a summary that details a defined group of physicians, by category, that offer the right potential to meet the goals of your physician relations program. Targeting is tedious… actually a bit painful at times. It is also a step that I would never want to exclude.

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Demonstrate Impact The “right data to measure results” is a limitless topic of conversation in referral development circles. While some organizations have much better data for this than others, there is no real data nirvana.

Successful programs must find a way to use the data they have to show their effort is having an impact.

At the end of the day, future success and program recognition will come to those who do the research to determine the optimal targets and then consistently demonstrate the impact. Measure and report those elements that the organization values.

2. Listen More, Tell Less Because of the pace- in the practice and for the reps- an insidious shift has moved many away from relationships that sell by detailing (pitching) in the practices. Now many will quickly point out that pharmaceutical sales have successfully detailed practices for decades so why not replicate? The simple answer is that replicating that model offers nothing that differentiates. The rep is then just one of many; connectivity with the doctor is hard. Even when they see you if you are telling them what you think they should be interested in learning, the results are mixed at best. And might I add, we rarely have products that are clearly defined like in pharma. continued on page 8

A Publication of the American College of Healthcare Executives of North Texas Chapter | WINTER 2012

Physician relations reps have a tremendous opportunity to create a very different level of relationship with the practice and the doctor.

By creating a real needs-based dialogue, there is opportunity to understand the wishes of the physician and her practice and to position your organizations offerings. The best tool is strong, well defined questions. It goes without saying; this approach requires very solid staff who have the right knowledge. It is much easier to dump the bucket of information; it is more fruitful to create the dialogue-based relationship we want.

Please don’t construe this approach to mean that we are not focused on earning referrals, because that is far from my intent.

This is not asking what’s wrong and filling a notebook with issues that we can not fix, this is focused relationship selling. Those who will be successful in the future will have the ability to learn about the physicians needs- focusing on areas where the hospital has opportunity. There will be a consistent approach to positioning the attributes and gaining commitment.

4. Know Your Clinical Content As a rep, if you want to be a resource, you need to be knowledgeable.

This does not mean that you need to know everything about all the clinical offerings, but you do have to be a good student; gathering relevant information for the select doctors you will be visiting, refining your knowledge, asking good questions, knowing how the referral chain works and preparing your benefit oriented messages based on what you learn.

Clinical staffs have a wonderful understanding of their areas but will not always think about it from a sales focus. It is your job to fully prepare to interview them- with that sales focus. It is wrong to assume they will feed you all the information you need to grow the referral base. Work hard to research the clinical expertise, the data that demonstrates this and the best way to present this detail to the prospective physician.

5. Internal Coordination, Collaboration, Integration Within health systems, there is a push for brand consistency.

Future success in referral growth assumes that we extend this to our physicians. The brand that we share with our consumers needs to be visibly demonstrated in our actions with the medical staff.

This means we refine our messages and then consider how the implementation occurs.

Proactive positioning is key. When internal stakeholders are asked about the physician relationship the ultimate goal is that they see it as a continuum that starts with messages and sales input, supported by marketing and dependant on their internal efforts to deliver in a consistent manner. And yes, this is so easy to say and so hard to accomplish. With so many involved, leadership needs to own and support this as it is about a culture of involvement and with each person doing their part.

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Beyond integration with our clinical and patient centered services, marketing, the call center, public relations and planning are impacting relationships with the medical staff every day. Programs that take the first steps in collaboration will benefit from enhanced awareness of internal messaging that impacts physicians.

Alignment of the brand message for consumers – and physicianscan clearly make your organization different in a cluttered market.

Get Introspective First, take a look at how far you have come with your program; a pat on the back is likely well deserved. Next, set a goal for your program. I recently spoke to a program leader who said, “I want us to be one of those programs that is called out when you look at best practices in the country…” That is certainly achievable with focused effort. What is your goal for 2012 and then for 2014? Take the time to do an honest assessment of these four areas – and perhaps other needs within your program and then create a plan.

It has been said that if you really want change, the first step is to realize you have to change those systems that created the current culture. The pressure is on in our marketplace, take the leap and create a model that can position you for success.

Kriss Barlow RN, MBA is principal with Barlow/McCarthy and a recognized expert in physician relationships. She can be reached at (715) 381-1171 or kbarlow@ barlowmccarthy.com

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Chapter Awards and Recognitions During the November General Membership meeting, the ACHE North Texas Chapter honored several members for their dedicated service and contributions. In addition to the award recipients below, Ron Anderson of Parkland was named Senior Healthcare Executive of the year.

Brad Simmons and Award Winners Jonni Johnson and J. Eric Evans, FACHE

Brad Simmons and Young Health Care Executive of the Year J. Eric Evans, FACHE

Case Study Competition

Chair and Case Study Team Lead Winners Patrick Figures and Raj Shah

Chapter President Brad Simmons and Volunteer of the Year Madhu Rao

The University of Texas at Dallas team consisted of team members Archana Subhash, Richa Singh, Carson Marston, and team leader Raj Shah. Their executive coach was Ashley McClellan.

The Trinity/John’s Hopkins team was comprised of team members Connie Lee, Matt Croskey, David Matteson, Salah Jamalddine, Elizabeth Wellborn, Allison Tabor and team leader Patrick Figures. Their executive coach was Jay Fox.

The 2011 Case Study competition saw an increase in participation over the previous year as 5 groups competed including students from Texas A&M, the University of Texas at Arlington, Trinity University, John’s Hopkins University, and the University of Alabama, Birmingham.

A three person panel of judges was comprised of current Board Officers Brad Simmons, Scott Schmidly, and Winjie Miao.

The competition saw top honors being split by two worthy teams. The Trinity/John’s Hopkins team and the team from the University of Texas at Dallas dazzled the judges with their formal presentation, articulate answers to the judge’s questions, and professional demeanor. As a result, the judges decided to award both teams the top prize of $3,000 to be shared equally between the team members. Additionally, each team member had their 2012 ACHE dues reimbursed by the Chapter.

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NEWS FROM NATIONAL

Regain Focus at ACHE’S 2012 Congress on Healthcare Leadership Join us in Chicago March 19–22, for ACHE’s 2012 Congress on Healthcare Leadership, the premier education event for healthcare executives.

Congress allows you to make the most of your membership in ACHE and get the best value for your educational dollar. For the 2012 Congress, faculty were asked to incorporate tactical approaches to addressing health reform into their presentations. Don’t miss this prime opportunity to gain the knowledge and insight needed to lead your organization through reform. Not only does Congress provide you with key opportunities to learn from experts in the field—it helps you connect with other healthcare leaders and advance your career. Join more than 4,500 of your colleagues for an event that offers education on current as well as emerging issues, more than 100 sessions of practical learning from healthcare’s top leaders and career-enhancement workshops.

The 2012 Congress will also feature: Two New Boot Camps! ACHE is adding two new boot camps to its lineup for 2012. The Baldrige Boot Camp will guide participants through what it’s like to embark on the journey toward applying for the Malcolm Baldrige National Quality Award. The Healthcare Leader Boot Camp will provide recent graduates of healthcare management programs and individuals transitioning to the field with key insights.

The Masters Series - Returning to Congress and featuring new faculty for 2012, the Masters Series is designed to showcase the approaches and outcomes of some of the healthcare field’s most successful leaders in four critical areas: information technology integration, executive leadership, physician integration and alignment, and quality and process improvement. The Masters Series includes four, 90-minute sessions, each featuring two presenters. Participants will learn from the expertise and real-world experiences of these “masters” of healthcare leadership.

SAVE THE DATE!

Emerging Topics - Once again, in 2012, ACHE is purposely leaving a handful of seminars open to make room for late-breaking topics.

Please refer to ache.org/Congress for updates about these topics.

Leaving these seminars open ensures that ACHE’s 2012 Congress is on the leading edge of changes as they occur.

Registration and Lodging Open November 10, 2011 ACHE’s Congress on Healthcare Leadership brings you the best in professional development, opportunities to network with and learn from peers, and the latest information to enhance your career and address your organization’s challenges in innovative ways.

More than 4,500 healthcare leaders attended the 2011 Congress on Healthcare Leadership. Join us in 2012 and experience the energy of an event that draws the top healthcare leaders from across the nation and around the world.

This premier healthcare leadership event brings: • Education on current and emerging issues • Opportunities to connect with your peers • More than 140 sessions of practical learning from healthcare’s top leaders • Career-enhancement workshops

Congress Express - ACHE also offers Congress Express, an innovative way to experience many of the benefits and features of healthcare’s premier education and networking event at a reduced cost—Wednesday and Thursday only. Congress Express participants still enjoy Hot Topic sessions, a luncheon session and a networking reception while earning up to 12 ACHE Face-to-Face Education credits. With Congress Express, you can leave home after work on Tuesday, enjoy a full Congress experience on Wednesday and Thursday, and be back in the office on Friday morning.

Step away from the rigors of your daily work routine to do some strategic thinking, obtain new insight and regain focus.

Watch for the complete Congress brochure in the mail or view it online at ache.org

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NEWS FROM NATIONAL

New Terms for Continuing Education Credit

Beginning January 4th, the following language will be used to describe the continuing education credits required for ACHE Fellow advancement and recertification: · “Healthcare Management Continuing Education credit” — the credit in total that is required for Fellow advancement and recertification · “ACHE Face-to-Face Education credit” — credit that is earned through ACHE-approved chapter panel discussions and programs offered by the national organization · “ACHE Qualified Education credit” — credit that is earned through programs offered by ACHE, chapters or other qualified sources, whether the programming is face-to-face or distance offerings (webinars, online seminars, self-study courses, etc.)

ACHE affiliates wishing to advance or recertify may complete the required credits through ACHE Face-to-Face Education credits or a combination of ACHE Face-to-Face Education credits and ACHE Qualified Education credits.

For example, for Fellow applications submitted beginning January 1st: · 40 hours of Healthcare Management Continuing Education credit earned over the previous five years will be required for advancement to Fellow · 12 of the 40 credits must be ACHE Face-to-Face Education credits · 28 of the 40 credits may be ACHE Qualified Education credits For Fellow recertification applications submitted beginning January 1st: · 24 hours of Healthcare Management Continuing Education credit earned over the previous three years will be required for Fellow recertification

· 12 of the 24 credits must be ACHE Face-to-Face Education credits · 12 of the 24 credits may be ACHE Qualified Education credits The changes in terminology relate to the Board’s November 2010 decision to revise the requirements for earning the FACHE® credential and for Fellow recertification, which are being phased in over the next two years. The revised requirements are designed, in part, to ensure that those earning or recertifying their credential experience the actual fellowship that is associated with shared, face-to-face learning opportunities.

The new terms for continuing education credit are intended to clearly distinguish the requirements but also to effectively convey the equal value of all types of programming qualifying toward advancement and recertification of the FACHE credential.

It is important to reiterate that based on the approved changes to the credentialing program, beginning Jan. 1, 2012, distance learning— whether offered by ACHE chapters, ACHE or other qualified sources—is documented as ACHE Qualified Education credit.

All unexpired Category I credits will still count toward advancement and recertification as ACHE Face-to-Face Education credit. Note: ACHE self-study courses purchased and completed by December 31, 2011, will receive ACHE Face-to-Face Education credit.

For more information about the new terms for continuing education credit or the changes to advancement and recertification requirements, please visit the Credentialing area of ache.org or contact ACHE’s Customer Service Center at (312) 424-9400.

Customer Service representatives are also available to assist you via Live Chat, Monday through Friday, 8 a.m. to 5 p.m. Central Time, through the My ACHE area of the website.

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The only constant in healthcare is change. Technological advances, aggressive healthcare reform, and increasing regulatory and reporting demands are critical issues for every chief executive officer (CEO) and his or her executive team. However, with nearly 75% of healthcare CEOs planning to retire in the next 10 years and 60% of chief nursing officers anticipating changing jobs in the next four years, succession planning has moved to the forefront of strategic initiatives.

Current research indicates that the average cost of replacing one leader with an external candidate, at minimum, is approximately $50,000. That cost could reach as much as $1.5 million for a CEO, according to the December 2008 issue of Hospitals & Health Networks magazine.

Despite what some believe, succession planning isn’t just for executives.

It is a documented plan for management succession at all levels in the organization. In simple terms, it is the development of a backup plan and a potential successor to each management team member.

“Succession planning is about creating a road map for the future talent of your organization, as well as how you will go about developing that talent,” says Kathy Noland, PhD, B. E. Smith’s senior vice president, executive search.

“But ‘planning’ is the key word here. Succession planning requires determining actions to address a future need before that need is realized, and oftentimes it’s just not on the radar — yet it’s critical to every healthcare organization’s future success and continued momentum.”

Growing Tomorrow’s Talent Today Succession Planning a Critical Strategy in Healthcare

By Vicki A. Darnell, MSN and Kathy M. Noland, PhD B. E. Smith

A CEO Committed to Finding His Successor In 2006, L. Clark Taylor, Jr., PhD, informed the board of directors at Ephraim McDowell Health in Danville, Ky., of his planned transition from his position as president and CEO in approximately three years. Wanting to leave his organization in the best possible hands, Taylor assured the board that he had already assessed his leadership team and determined that his replacement needed to be brought in from the outside.

Meanwhile, Vicki Darnell, MSN, was content in her role in an Alabama hospital. Taylor was referred to Darnell through a mutual colleague, and though Darnell was uninterested at first, an hour-long conversation with Taylor changed her mind. “He wanted to help mentor and proctor an individual in the chief operating officer role, and eventually, if that person earned the right, he or she would move into the CEO role,” says Darnell.

“Both Taylor and the board of directors were committed to helping this individual be successful.”

In August 2007, Darnell began her role as executive vice president and chief operating officer of Ephraim McDowell Health, as well as president of Ephraim McDowell Health Resources (which includes all non-hospital entities). Darnell worked directly with Taylor and an executive coach to learn her responsibilities.

“The organization made a huge investment in me, which helped prepare me and all the stakeholders, boards, physicians, the administrative team, our leadership and our community associates for my eventual CEO-ship,” says Darnell. “The executive coach really helped Clark (Taylor) transition from his role and gradually reduce his scope of responsibilities, visibility and accountability, as I took on more responsibility in preparation to step in as CEO — without missing a beat.”

Succession Planning — It’s Not Just for CEOs Succession planning is about far more than just back-up and contingency continued on page 13

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planning. “Succession planning is critical to the achievement of strategic initiatives and it can help ensure competitive success,” says Noland. “It can increase motivation and often helps identify strengths, as well as weaknesses, that need to be improved upon. Succession planning also ensures an engaged, accountable workforce and drives improved morale.”

That’s exactly what happened when Ephraim McDowell used a tiered approach to expand succession planning to senior leaders, directors, and ultimately, the entire organization. Succession plans must not only declare a potential successor(s), but also identify a career development profile for each potential successor. “Then, as their supervisor, you invest in a growth strategy to maximize their strengths and coach them in their weaknesses,” says Darnell, who recalls a departmental director with a fear of public speaking.

“We asked her to work with our marketing executive, who videotaped her and gave her the tape to study. He gave her feedback on her speaking abilities, body language and intonation, and she now excels at public speaking,” says Darnell. “She overcame what could have been a barrier to her future success because we invested resources to turn a weakness into a great strength.”

Measuring Success — Let Us Count the Ways It is possible to measure succession planning’s return on investment, particularly if it’s tied directly to performance. Three years ago, Ephraim McDowell moved from a cost-of-living/general adjustment system to a performance based compensation system.

Compensation is now based on those outcomes, associates’ individual development plans and their commitment to improve upon their weaknesses. Every leader, vice president and director develops or renews his or her individual succession plan, which results in time-sensitive, measurable action items for leadership growth and development.

Additionally, Ephraim McDowell utilizes an organizational dashboard, which includes overall and department-specific metrics to measure organizational and associate performance. For example, because every associate participates in improving patient satisfaction, everyone is measured on collective departmental performance.

However, only nurses in the emergency department are measured on ensuring that all patients experiencing acute myocardial infarctions receive aspirin upon arrival.

“These efforts resonate in such a measurable, tangible way for our organization,” says Darnell. “In the past three consecutive years we’ve realized our lowest associate turnover, highest patient and Associate satisfaction ever recorded, and we’re moving into the top 10th percentile nationally in core measure quality outcome performance. We truly believe these outcomes are a direct result of our investment in Career Development and succession plans, from the CEO to all positions throughout the organization. We’ve been very focused on our organizational performance, and we make those measures come alive in individual evaluations.”

Expanding Your Horizons to Secure the Best Talent As Darnell took on her new COO role, the organization’s chief nursing officer (CNO) expressed a desire to take on a new challenge. Thencurrent CEO Taylor moved her into a different role, where she has

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excelled ever since. “If people are better suited to another role, we’re not necessarily going to transfer them somewhere else, but if we believe there’s an opportunity to use their skills and talents, we’ll continue to invest in them,” says Darnell. “I believe that’s an illustration of our deep, long-term commitment to our workforce.”

Meanwhile, Ephraim McDowell engaged B. E. Smith’s services to help locate and recruit its next CNO. “B. E. Smith has been a good partner, we trust them and we have a great relationship with them, and those are incredibly important attributes for any executive search firm,” says Darnell. “They understand what we’re trying to accomplish with leadership development, and that we’re all committing to be here for the long term for this organization and our community.”

Sometimes it’s necessary to look outside the hospital walls for the best candidate. “Many organizations use this as an opportunity to bring in new ideas, varied experiences and a fresh perspective,” says Noland. “Also, recruiting from the outside can bring additional skill sets and a healthy, competitive spirit for achieving organizational initiatives.”

Mission Accomplished, Full Speed Ahead Ephraim McDowell relies on the organization’s succession planning template to help users identify the skill sets and characteristics necessary to fulfill their position’s responsibilities. “The template serves as the foundation for open and honest dialogue about what the organization can do to help people grow and develop,” says Darnell.

“Succession planning really resonated in our organization when our director of pharmacy, who reported to me at the time, became very ill with a pituitary tumor,” she says. “She was out for an extended period, and had we not done her succession plan, I would not have known who to place in her role on an interim basis.” The need was particularly urgent because the organization was scheduled to open a new outpatient pharmacy, which could not have been achieved without the best possible interim pharmacy leader.

Darnell herself is perhaps the best example of how succession planning can positively impact an organization’s future. By the time she took over as CEO, the organization was already on a positive trajectory in all the metrics that matter, including quality outcomes, as well as patient and Associate satisfaction.

“I believe in succession planning because I’ve seen what it’s done for our organization,” says Darnell. “Because of our approach, Clark’s leaving and my taking over as CEO were so accepted by our medical staff that we both felt as though they were saying to Clark, ‘It’s okay, you can go now. We’re ready, and we’ll be alright.”

About B. E. Smith B. E. Smith is a full-service leadership solutions firm for healthcare providers. B. E. Smith’s comprehensive suite of services includes Interim Leadership, Permanent Executive Placements, and Consulting Solutions. The company is comprised of veteran healthcare leaders who partner with each client to create a solution that uniquely fits their individual needs. Ranked as the Top Executive Search Firm by Modern Healthcare, B. E. Smith recognizes your need to recruit and retain top talent. For over 30 years, B. E. Smith has been a trusted partner to healthcare organizations and has consistently delivered placements far exceeding the average industry tenure. For more information, visit www.

BESmith.com or call 877-802-4593.

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EVENT ENCORE

Breakfast with the CEO

Ernie Sadau, MHA, FACHE, President and CEO CHRISTUS Health Submitted by Christina S. Burress, MBA

As the Chief Diversity and Inclusion Officer for CHRISTUS , Mr. Sadau not only leads a healthcare system on a domestic and international level, but he also develops the strategic initiatives and processes to ensure CHRISTUS is living out its commitment to valuing differences and strengthening the ministry’s culture of inclusion. Mr. Sadau believes leaders should be the “lead changers” in the organization and positively influence the organization through strong and effective communication.

He is currently preparing CHRISTUS on pursuing the opportunities of the future during this ever changing time in healthcare. ACHE sincerely thanks Mr. Sadau for sharing his expertise and his time with the members and fellows in attendance at the October 19, 2011 networking event with CHRISTUS Health.

For more information on future events, please visit us at northtexas.ache.org or send us an email at info@northtexas.ache.org.

David Williams, Tania Watts, and Chris Jackson

Bethany Williams, Ernie Sadau, host, and Kevin Carver, affiliate

EVENT Encore-Extras

October After Hours Networking with Jonathan Davis

Member Jenifer Greenway and Organizer Jennifer Conrad

Members Erin Syrinek, Bob Leopp, FACHE and Doug Mourer

Jonathan Davis, host, Methodist Charlton Medical Center

A Publication of the American College of Healthcare Executives of North Texas Chapter | WINTER 2011

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EVENT Encore-Extras

November General Membership Meeting

Laura Lycan and BOD Member Jonni Johnson

Demetris McDowell and Cassondra Halpin

Paul Christenson and Anita Patel

Holiday After Hour Networking

Dresdene Flynn-White, John Self and Mike Dossey

Mark Boles, FACHE and Dan Illif

Sherry Centore, William Cooksey and Terry Fontenot, FACHE

2012 CALENDAR

February 16th Strategically Mapping Your Early Career Development Location: Parkland Health & Hospital System Panelists: Richard Best, Certified Master

Coach/Executive Coach,

AS Consulting

Dresdene Flynn-White, VP of

HR and Learning, JPS

Ashley McClellan, FACHE,

CEO Medical Center of Lewisville Location: 5:30-7:30pm March 15th Patient Centered Medical Home Location: Dallas April 19th Emergency Department Service Standards: A Best Practices Approach Location: Dallas May 24th Building the Hospital of Tomorrow: Rehabilitate, Renovate or Replace General Membership Location: NYLO Hotel

1001 W. Royal Ln., Irving, 75039 June 21st Using the Baldrige Criteria to Improve Your Organizations Performance and Quality Location: Texas Health

Fort Worth August 23rd and September 20th Physician Integration Approaches (Two Sessions) Location:

Dallas

We are currently working on new educational and networking opportunities for 2012.  For the latest updates please check our website or watch your inbox for the event guide.

ACHE of North Texas thanks the following Corporate Sponsors for assisting the organization’s mission. By sponsoring various events throughout the year, these sponsors are provided local and national exposure with an opportunity to showcase their organization, brand, career opportunities, products and services to the ACHE membership and its affiliates.