Let's Make 2009 a Great Year for
Everyone
Dear Members:
Happy New Year! As I
begin my term as ASHHRA
President, I’m excited, committed, and just a bit nervous about this
new year. I feel fortunate to be part of a team of dedicated professionals
focused on providing quality health care human resources products,
services, and learning opportunities.
This past year has
been very challenging. Our financial markets are in crisis, unemployment is
rising, the uninsured population is increasing, and the stock market decline
is affecting our ability to invest in our facilities and communities. All
of these economic factors will continue to impact our industry and the
patients and employees we serve.
I know this sounds
dim. It really could be if we didn’t have such a strong professional
organization in place to help each other! ASHHRA
is a network of over 3,500 HR professionals ready and willing to share
their knowledge and expertise with each other. Our board is committed to
providing you with timely learning sessions, health care specific products
and services, and tools for becoming a strong advocate for health care
policy. In addition, we want to provide the opportunity for you to network
and collaborate with each other.
As a professional
organization, we gain our strength and knowledge from our members. ASHHRA has a responsibility to provide valued
services to our members, but as members, we also have the responsibility to
share knowledge with each other. Beginning this year, we’ll launch an
online community that will provide an opportunity for you to network with
other health care HR professionals and share best practices. Other areas of
focus for 2009 include:
• Implementing
a Leader Institute for our senior HR leaders
• Conducting
Webinars on topics that are critical for health care HR leaders
• Advocacy
updates
• Developing
and building collaborative relationships with other health care
professional organizations
Nov. 1 -3, 2009
(Pre-Conference on Oct. 31), we will hold our 45th annual conference in Chicago. Based on
your feedback, we’ll have learning tracks for each of the HR Leader
Model competencies, along with many more learning sessions, including
panels and roundtable discussions.
This is a great time
to be an HR leader. We have great strength as individuals, but together we
can really make a difference in our organizations and for our profession. I
look forward to serving you.
Sincerely,
Dan Zuhlke
President, ASHHRA Board of Directors
Web Link
ASHHRA News
HealthPartners
and American Hospital Association Partner for National Launch of Joining
Forces
Legal
"Firestorm
Brewing Over Labor Bill"
"'Change' Employers
Can Expect"
"Are You Ready to
Investigate Sexual Harassment?"
Workforce
"Patient
Care Means Employee Care at Illinois Hospitals"
"Patients and RNs Face
Unprecedented Stress"
"Employees First Pays
Off"
Compensation
"Pay
Raises Seen Taking a Hit"
General HR
"Religion
at Work"
"Insights on
Investigations"
"Office Web Use Tough
to Control"
Benefits
"Health-Care
Outlays Climb at Slowest Rate in Years"
"Getting a Handle on
Health"
"Mental Health
Treatments Become Standard Benefit"
"Employers Found
Ignorant on TPA, Care Group Pay"
Physicians
"Three
Durable Strategies for Physician Alignment"
"Sleeping in
Order"
Management and Leadership
"Alternative Perspectives of Responsible
Leadership"
"Less Is Sometimes
Best"
"Finding Your Next
CEO"
HealthPartners and American Hospital
Association Partner for National Launch of Joining Forces
HealthPartners Institute for Medical Education and the American Hospital
Association (AHA) have partnered with more than a dozen national
organizations to launch an initiative designed to generate awareness among
medical professionals and others within communities about the challenges --
medical, social and emotional -- that veterans and their families face as
they return home from military service. Through the Joining Forces program
medical professionals will be provided much needed education on dealing with
the medical issues facing our nation’s troops as they return home
from service through a series of online programs.
"Our returning troops have unique medical challenges, which are
sometimes difficult to detect," said Dr. Carl Patow, executive
director of HealthPartners Institute for Medical Education. "This
series sheds light on those conditions so physicians can provide our
returning troops with the best possible care."
HealthPartners first partnered with Twin Cities Public Television, the
Minnesota Army National Guard and Minnesota Department of Veterans Affairs
to create the series in 2007 after learning that many veterans were seeing
their hometown physicians instead of military doctors for treatment after
deployments. After sharing throughout Minnesota,
the groups involved decided to promote nationally in an effort to help
veterans throughout the U.S.
Since that time, the AHA and more than a dozen organizations have signed on
to help spread the word about the program and ensure our returning troops
receive proper care and treatment.
“What began as an effort to educate health caregivers in one
community in Minnesota
about the special needs of returning veterans and their families has grown
into a collaboration among national organizations involving hospitals,
doctors, nurses, social workers, clergy and many others all across our
nation. Like hospitals everywhere, HealthPartners saw a need in their
community and partnered with others to meet that need. And in the best
tradition of community service, they want to make what they did available
to every individual and organization that cares about serving the women and
men who have served our nation in the military. The American Hospital
Association is proud to help make that happen, “said Rich Umbdenstock,
President and Chief Executive Officer, the American Hospital Association.
“One look at the organizations that are coming together to spread the
word about Joining Forces tells an important story about the debt we owe
our troops and the enormous level of support they enjoy back home.”
The four-part series focuses on the most common issues our returning
soldiers face.
The program was based on the award-winning medical conference recognized by
the Alliance
for Continuing Medical Education with the 2008 Award for Outstanding
Collaboration.
Visit www.joiningforcesonline.org for more
information and resources.
Web Link | Return to Headlines
"Firestorm Brewing Over Labor Bill"
Provider (01/09) Vol. 35, No. 1, P. 26; LaPorte, Meg
The business lobby and organized labor are at odds over the Employee Free
Choice Act (EFCA), an initiative that would preclude the use of
secret-ballot elections and enable a workforce to designate a
representative union simply by passing a majority vote. The "card
check" act is expected to pass in the U.S. House and could pass
through the U.S. Senate, though some legislators believe bureaucratic
procedures may delay its passage. Francesca Fierro O'Reilly, the American
Health Care Association's senior director of legislative affairs, believes
the home health care industry will be incredibly disadvantaged if the bill
passes. "Card check is the most far-reaching proposal to amend federal
labor laws and alter the balance of labor relations in more than 60 years.
It significantly erodes fundamental employee rights and protections within
the union organizing process, especially the secret ballot, which is a key
element of our democratic society," she says. The chief supporter of
EFCA is the Service Employees International Union (SEIU), which reportedly
represents more than 140,000 nurses in the United States and plans to
recommend that Congress pass the bill within the first 100 days of
President-elect Obama's administration.
Return to Headlines
"'Change' Employers Can Expect"
Human Resource Executive (12/08) Mitchell, Stephen C.; Tighe, Hagood J.
Political observers expect significant changes to labor and employment laws
under the incoming Obama Administration and Democratic Congress. Among
big-ticket items likely to pass into law include something similar to the
Employee Free Choice Act, which will allow unions to enter workplaces if
enough employees sign union-authorization cards through the card-check
process, bypassing the current system of a supervised secret-ballot
election. Current pending legislation includes the Patriot Employers Act,
which will grant some employers a 1 percent federal income tax credit, and
the Working Families Flexibility Act, which would impose certain
administrative obligations on employers when employees request to change
their working schedules to better balance their work and family life.
Additionally, pending are the Paycheck Fairness Act, which would amend the
Equal Pay Act of 1963 to offer better protection against compensation
discrimination on the basis of sex, and the Civil Rights Act of 2008, which
would amend numerous employment discrimination laws. Furthermore, Obama
will select members of the National Labor Relation Board; a new Democratic
board is expected to reverse or alter many decisions made over the past
eight years, which were viewed as favorable to business.
Return to Headlines
"Are You Ready to Investigate Sexual
Harassment?"
Rough Notes (12/08) Vol. 151, No. 12, P. 14; Carter, Steve
The investigation of a sexual harassment complaint in the workplace is
often emotionally difficult and embarrassing for those involved, so it is
important for an employer to handle these situations with care and
sensitivity. The complainant should be interviewed first, and then
interviewers should collect evidence and speak to first- and second-hand
witness, though employers must try to comply with information privacy
requests when possible. When meeting with the accused, the interviewer
should not reveal the identity of the complainant but should discuss the
allegations and allow the accused to explain himself without interruption.
If the complainant's identity is revealed, the interviewer should ask the
accused what his relationship is with that individual, and what reason, if
any, the complainant would have for making an accusation. The final results
of the investigation should be viewed by the company's legal counsel as
well as the employee whose responsibility it is to take disciplinary action
against the rightfully accused. All verbatim conversations, audio
recordings, photographs, and other evidence should be included in the final
report. The investigator holds the authority to make a final decision based
on the evidence provided. Unlike criminal trials, sexual harassment claims
are often determined on probability, and a case does not necessarily require
factual proof to be found credible.
Return to Headlines
"Patient Care Means Employee Care at Illinois
Hospitals"
Bio-Medicine (12/11/2008)
In Illinois, Kankakee-based Riverside Medical Center and Peoria-based OSF Saint
Francis Medical Center have received the HeartMath Hospital designation and
Continuity of Care awards for implementing HeartMath practices. These
hospitals recognize that taking care of employees boosts job satisfaction,
teamwork and patient satisfaction while reducing stress levels. According
to Riverside Medical Center President and CEO Phil Kambic, "The
techniques have helped leaders and staff in the following situations:
decreasing patient anxiety, improving patient safety, providing performance
feedback and dealing with conflict, and increasing creativity, innovation
and ease in communications and decision-making." Between January 2003
and August 2008, HeartMath training has been completed by 928 employees at Riverside Medical Center.
More than 1,000 employees of OSF
Saint Francis Medical Center
have completed the training since July 2004. According to a joint statement
from hospital administrators, "HeartMath-trained employees have better
control over how they react to challenging situations and subsequently,
this increases their autonomy. They also are happier and feel better
equipped to handle the daily challenges of healthcare on a fast-paced
unit."
Return to Headlines
"Patients and RNs Face Unprecedented
Stress"
Nurse.com (12/08/08) Domrose, Cathryn
Both patients and nurses experience unprecedented stress levels throughout
their healthcare experiences and are particularly prone to stress-related
mental illnesses. Some recommendations to alleviate stress include getting
a good night’s sleep, eating regular, balanced meals, engaging in
regular exercise and pleasurable activities, and avoiding the use of
various drugs and narcotics. Current economic troubles also have not
alleviated stress; according to Elizabeth R. Barker, director at Ohio State
University College
of nursing in Columbus,
“Whether or not the person thinks that they have the resources to be
able to cope with what is happening” will ultimately determine their
susceptibility to stress-related problems. Healthcare practitioners also
can help manage patient stress and screen them for depression and other
stress-related disorders. Essentially, healthcare providers are a
supportive tool for patients, and through conversation, can help
loss-stricken individuals explore opportunities they may have neglected or
overlooked.
Return to Headlines
"Employees First Pays Off"
HR Magazine (12/08) Vol. 53, No. 12, P. 40; Wade, Jim
Corinthian Colleges Inc. Senior Vice President of Human Resources Jim Wade
explains how investment in employee relations and training provided
long-term benefits to his organization. Corinthian Colleges offers diploma
programs to more than 74,000 students in Ontario, and it has grown since its
founding in 1995 to 27 brand names, more than 140 campuses, and an online
learning division. Due to aggressive acquisitions, the company had a number
of different cultures and was seeing a turnover rate of approximately 40
percent. Failure to integrate the different acquisitions was a major
contributor to the organization's poor performance. After a new CEO was
hired, Wade was brought in to build a uniform culture for Corinthian
Colleges. A consultant group was hired to develop a common vision and a
commitment was made to improve leadership development. The HR department
transformed itself from focusing on transactions to being more involved in
managing key performance metrics and helping improve workforce
productivity. Two programs developed by the operational leadership and organizational
development teams illustrate the benefits of focusing on employee relations
and training. Operation Ignite integrated training for admissions and
financial aid representatives, which led to improved enrollment, engaged
campus teams, and lower turnover. Operation Inspire focused on improving
the student experience by training instructors to engage students rather
than just lecture them and have counselors form strong relationships with
students. A 2007 employee engagement survey revealed an improvement in
organizational effectiveness, work environment, and trust in leadership.
Return to Headlines
"Pay Raises Seen Taking a Hit"
Wall Street Journal (12/16/08) Needleman, Sarah E.
Two recent surveys show that employers intend to make significant cuts to
their salary budgets in 2009. Hewitt Associates' survey of 640 U.S.
employers representing almost 13.5 million employees found that 50 percent
of respondents already cut their salary budgets for 2009, while 25 percent
plan to make further cuts. As a result, the average annual pay increase is
expected to be just 2.5 percent, the lowest figure since Hewitt began
tracking salary budgets in 1976. Watson Wyatt Worldwide's survey of 117
large U.S.
employers paints a similar picture with 61 percent making 2009 salary
budget changes causing their workers' average merit increase to drop to 2.3
percent. Some sectors will fare better than others in terms of salary
allocations, with education and financial sectors likely to experience
below-average annual merit increases.
Return to Headlines
"Religion at Work"
HR Magazine (12/08) Vol. 53, No. 12, P. 26; Grossman, Robert J.
A number of employers are integrating religious beliefs into their
corporate culture, either using faith as a basis for the organization's
underlying values or inviting employees to express themselves religiously
and spiritually in the workplace. Ford Motor allows religious groups,
including an interfaith network that promotes religious diversity, to
communicate with employees through newsletters and have access to
facilities for after-hours meetings. Most HR professionals have
historically ignored the issue of religious expression due to fears of
litigation or polarization within the workforce. Most major religions have
similar values that could cultivate integrity and selflessness among
workers. Embracing religious diversity can be an advantage in recruiting
and retaining talent, as employees who are allowed to express their
spirituality are less stressed and more engaged in their work. However,
organizations must examine religious diversity policies in terms of legal
consequences before implementing programs. The Civil Rights Act of 1964
imposes penalties on employers who discriminate by not reasonably
accommodating employees or allowing them to be coerced into abandoning or
adopting a certain religious or cultural practices. Although the number of
religious discrimination complaints to the U.S. Equal Employment
Opportunity Commission more than doubled from 1992 to 2007, no reasonable
cause was found in around 60 percent of the claims. One major problem is
that almost a third of religious people in the U.S. believe that they have a
responsibility to tell other people about their religious beliefs because
they think that their religion is the only way to be granted salvation.
Despite these concerns, it is likely that HR will need to spend more time
dealing with religious issues in the future, developing religious and
spiritual training for managers and supervisors.
Return to Headlines
"Insights on Investigations"
Security Management (12/08) Vol. 52, No. 12, P. 134; McRae, Ginger
Employers are often hesitant to launch internal investigations of employee
complaints related to harassment or discrimination often because they lack
the resources to conduct such an inquiry. Although employers are not
required to investigate employee complaints, they should nonetheless
conduct inquiries into these matters because doing so can correct problems,
prevent lawsuits, and save money. In addition, the findings of internal
investigations of employee complaints also provide insight into an employer
and its employees. If employers do decide to conduct an internal
investigation, there are several things they need to keep in mind during
their inquiry. First, employers should be sure to ask employees with
complaints to put their grievances in writing since written complaints can
be used as a guide by the organization. Organizations should plan out their
investigation in advance, providing investigators with a step-by-step
outline of their duties throughout the process. The investigators
themselves must be professional and objective at all times, and conduct
interviews with the complainant, the accused, and any relevant employees
according to accepted practices. Finally, the organization should take
steps to ensure that the investigation is credible, such as hiring an
investigator who has had appropriate training.
Return to Headlines
"Office Web Use Tough to Control"
NonProfit Times (01/01/09) Hrywna, Mark
Many nonprofit organizations struggle with identifying and curtailing worker
productivity lost to unauthorized or wasteful Internet use. Though many
organizations are up front about their Internet use policies, ensuring
employees understand there is no confidentiality on company time and
equipment, few possess the resources to monitor employee activity in
real-time. Other nonprofits explicitly do not monitor web access; Gavin
Clabaugh, vice president, information services, for Charles Stewart Mott
Foundation explains that monitoring is, to “some
extent…antithetical to what foundations do.” However, many
nonprofits do maintain a database of worker-visit websites and emails in
case the company needs a closer look, and others block sites that may slow
down company networks or are particularly prone to hosting viruses or malware.
Return to Headlines
"Health-Care Outlays Climb at Slowest Rate in
Years"
Wall Street Journal (01/06/09) Fuhrmans, Vanessa; Zhang, Jane
A new federal study, published in the journal Health Affairs, has shown
that even though healthcare spending is growing at its lowest rate in a
decade, as of 2007, it continues to consume increasingly greater portions
of the U.S. gross domestic product. In 2007 the U.S. healthcare tab rose 6.1
percent to $2.2 trillion and swallowed up 16.2 percent of the
nation’s GDP, compared to 16 percent in 2006. Though some Democratic
leaders anticipate a healthcare overhaul debate in the next Congress, other
lawmakers are concerned that it would be far too costly an issue to resolve
in the current economic climate. Although spending in many healthcare
services remained constant or rose into 2007, prescription drug spending
slowed to its lowest rate in 45 years as generic drugs have been rising in
prominence to overtake their expensive brand-name equivalents, and the U.S.
Food and Drug Administration has been under pressure to issue more
“black box” safety warnings on drugs. The deepening recession
is expected to further slow prescription drug spending as consumers seek to
cut down on copays and deductibles, and take fewer medicines. Additionally,
the study notes that the government has been more eager to pay for
healthcare, spurred partly by changes in Medicare, with federal, state, and
local governments paying for 46.2 percent of healthcare spending in 2007.
Return to Headlines
"Getting a Handle on Health"
Human Resource Executive (12/08) Shelly, Jared
The required median deductible under employer-based PPO plans rose 100
percent in the past year from $500 to $1,000, according to the survey firm
Mercer. When the New York-based consultancy company carried out a similar
survey eight years ago, 50 percent of employers were requiring a $250
deductible. In the recent survey of 2,900 businesses, 80 percent of
respondents said they require a deductible. "What's happening is the
strategy that most employers are taking is to essentially increase the
out-of-pocket amount that an individual will experience when they use
healthcare services as opposed to making substantial increases in the
payroll-deduction amount," says Blaine Bos from Mercer's global
division. According to the survey, more large firms are now enrolling their
employees in consumer-driven healthcare plans (CDHPs). One in five
enterprises with 500 or more employees now offers a CDHP, up from 14
percent in 2007, while enrollment has only increased marginally from 5
percent to 7 percent within the same time period. Companies that offer
CDHPs do not force their workers to enroll but instead offer perks such as
employer contributions and lower monthly contributions, according to
Advanced Benefit Advisors President Robert Petcove. Economic difficulties
also have played a part in the expansion of CDHP plans, which cost less
than PPOs or HMOs. In 2008 the average HMO or PPO plan cost at least $1,500
more than a CDHP plan. The survey reported that total health plan costs per
family rose 6.3 percent this year, not exceeding annual growth rates for
the previous three years.
Return to Headlines
"Mental Health Treatments Become Standard
Benefit"
Rough Notes (12/08) Vol. 151, No. 12, P. 48; Strazewski, Len
Employees suffering from stress, anxiety, and depression can now receive
employer-based mental healthcare coverage not exceeding the coverage limits
of other surgical and non-surgical procedures thanks to the Paul Wellstone
and Pete Domenici Mental Health Parity and Addiction Equity Act of 2008.
The new law, passed along with the emergency bailout plan in October 2008,
solidified the Mental Health Parity Act of 1996 that required all health
plans to provide that same maximum dollar amount of coverage for mental
health and regular health benefits. Additionally, the law mandates
financially equitable mental health, substance abuse, medical, and surgical
benefits in regard to deductibles, cost-sharing, out-of-pocket ceilings,
and annual or lifetime pay ceilings. Moreover, it mandates financially
equitable mental health, medical, and surgical benefits in regards to the
number of office visits and time limits for inpatient coverage, and
necessitates the provision of out-of-network benefits for mental healthcare
according to out-of-network benefits for medical and surgical care.
However, employers with 50 or fewer workers are exempt from the new law,
which also provides subsidies for eligible firms if the group health plan
demonstrates compliance will increase healthcare costs by 2 percent or more
in the first year.
Return to Headlines
"Employers Found Ignorant on TPA, Care Group Pay"
National Underwriter (Property & Casualty - Risk & Benefits
Management Edition) (12/11/08)
A recent survey, conducted by Injury Management Partners (IMP), found that
many employers are unaware of how their worker's compensation coverage
works with third party administrators (TPAs) or managed care organizations
(MCOs). The survey of 91 employers showed that 60 percent of respondents
were unsure how their TPAs or MCOs were compensated for medical provider
network development. Seventy-four percent of employers also were unsure
about compensation arrangements for TPA and MCO bill review services. An
additional 32 percent said they did not conduct worker satisfaction surveys
to ensure that their TPA or MCO provided services equivalent to the fees
charged. As 48 percent of these employers reported being self-insured, IMP
said this lack of knowledge could lead to organizations paying
higher-than-necessary costs to their TPA or MCO.
Return to Headlines
"Three Durable Strategies for Physician
Alignment"
Healthcare Financial Management (12/08) Vol. 62, No. 12, P. 55; Grauman,
Daniel M.; Harris, John M.
Although many hospitals have already begun working toward physician
alignment strategies for their organizations, experts say the current
financial crisis is likely to provide both physicians and facilities with
further motivation to pursue these partnerships. There are three basic
compensation-based physician alignment strategies, and each has unique
costs and benefits. Direct physician employment is the most appealing for
hospitals, but physicians may be wary of long-term dependence. However,
hospitals will want to consider the liability concerns associated with
physician employment as well as the potential for increased physician
dissatisfaction and increases in costs. Income guarantees or other
incentives offered to physicians can help generate referrals for a set
period, usually one year to two years, but there are no guarantees that the
physicians can meet the volume requirements or that referrals will continue
once the guarantee period ends. Professional Service Agreements (PSA), on
the other hand, can be tailored to meet the needs of the hospital and the
physicians, such as offering joint-ancillary service ventures, on-call
coverage, care quality standards and medical directorships. PSA's also
carry regulatory constraints and other legal concerns, which will require
greater care in the management of the hospital-physician relationship.
However, experts note that a combination of all three strategies is the
best strategy for many hospitals.
Return to Headlines
"Sleeping in Order"
Modern Healthcare (12/08/08) Robeznieks, Andis
The Institute of Medicine (IOM) recently released stricter limits for
medical-resident duty hours. Under the new rules residents will be allowed
to work a maximum 80-hour week averaged over four weeks, largely limiting
shifts to 16-consecutive hours, giving residents a minimum of one day off a
week and five days off a month, and counting any internal
"moonlighting" hours towards their allowed 80 hours. The IOM
argues that these stricter limits could significantly increase quality care
by ensuring resident physicians are alert and better-trained. However,
critics are worried that the new limits will significantly increase labor
costs due to a need for increased team training, ensuring safer patient
transfers, and using other staff to perform grunt work such as drawing
blood or filling out charts, which is commonly left to residents. Even the
IOM acknowledges the changes will be costly; it estimates the increase will
be approximately $1.8 billion. However, IOM representatives say they are
confident the funding can be found.
Return to Headlines
Management and Leadership
"Alternative Perspectives of Responsible
Leadership"
Organizational Dynamics (Quarter 4, 2008) Vol. 37, No. 4, P. 327;
Waldman, David A.; Galvin, Benjamin M.
Responsibility is a key factor in a leader's effectiveness because
shareholders and boards expect more accountability and transparency from
leaders. To promote responsible leadership, reward and monitoring systems
should be established to ensure leaders accept their responsibilities and
act in the best interests of stakeholders, including employees,
shareholders, and customers. Leaders who are authentic and responsible are
more likely to inspire their subordinates to accept and implement
organizational strategies. Responsible leadership involves considering how
decisions impact society as a whole, and leaders should show employees how
to act responsibly. Becoming personally involved in community-based
projects can illustrate an organization's commitment to society. Experts
also indicate organizations should adopt missions and visions that espouse
shared social themes and values among stakeholders as a way to inspire
followers and employees. Combining social responsibility with
organizational goals can help intellectually stimulate followers, engaging
them in the leader's plan. Giving employees flexibility and an opportunity
to offer their own input in the decision-making process also is essential.
Return to Headlines
"Less Is Sometimes Best"
Human Resource Executive (12/08) Rowh, Mark
Between the use of new technologies and the ongoing U.S. recession, many
employers have both the means and the motivation to cut costs by allowing
fewer managers to manage larger numbers of employees. Experts believe that
if organizations can effectively reduce the number of managers they employ
without sacrificing effectiveness, the savings could be substantial.
However, for this new structure to be effective, workers must receive the
necessary training to make decisions on their own. Additionally, the
outcome of their actions is their responsibility, and managers merely serve
as coaches offering guidance and mentoring to improve performance. Experts
also caution that some managers may be able to coach more workers than
others depending upon each worker's capabilities. A typical starting point
is between 25 and 30 workers per manager, and these supervisors must
cultivate high performers into leaders and offer appropriate incentives as
rewards. Trainers can help managers effectively communicate with workers,
maintain retention rates and morale, and develop talented workers. However,
HR will need to step in if performance review tasks become overlooked in
the process.
Return to Headlines
"Finding Your Next CEO"
Hospitals & Health Networks (12/08) Vol. 82, No. 12, P. 25; Thrall,
Terese Hudson
Selecting a new chief executive officer (CEO) is an important process, and
it can be difficult to find the right match. However, boards must take the
time to ensure the next CEO meets the organization's and board's needs,
respectively, given that turnover is costly. CEO turnover can cost
hospitals as much as $1.5 million in severance, recruitment and losses, and
the average CEO search can take half a year. Boards must authorize the
hiring team to fully disclose the hospital's current situation and the
challenges it faces. An honest interview process is vital given the ability
of an Internet search to provide the strengths and weaknesses of any organization
to job candidates willing to search for it. Hospital boards should consider
internal candidates in executive or middle management positions, but only
those candidates with leadership potential, say experts. Internal
candidates, however, are generally enticed to higher positions not by
higher salaries, but flexible working hours and other benefits. However,
experts caution that CEO hires should fit the needs of the hospital over
the next five years and not necessarily be a "carbon copy" of the
previous CEO. Older candidates also should not be dismissed simply because
of their age given that retirement assets are not likely to sustain
executives for 30 years or more, and many executives are looking to stay
busy in their retirement years.
Return to Headlines
© Copyright 2009 INFORMATION,
INC.

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