Monday, February 6, 2012
Tired of Being a Doctor? Choices for Opting Out of Medicine.
While the road into medicine is clearly marked, the trail leading out is tougher to discern. There are plenty of opportunities, experts say, but identifying them -- and selecting the right path -- may challenge career-changing doctors to develop some new skills...Download PDF (382KB)
Thursday, November 17, 2011
Has your paycheck gone stale?
Have you felt a pinch on your wallet lately? You are probably not alone, considering that in 2011, physician executive compensation experienced the lowest growth rate for the first time in ten years, showing us that executive compensation in health care is not immune to pressures felt across all sectors of the economy.
Consider these stats on physician executive compensation, taken from a recent survey by Cejka Executive Search and the American College of Physician Executives:
· The two-year rate of increase in total compensation – at 5.9% – is well below the 11.6% increase reported in 2009 and the lowest since the 2001 survey reported 5.0% increase
· CEOs reported their lowest two-year increase since 2001:
4.2% two-year increase compared with a 13.0% two-year increase in 2009
· CMOs were impacted to a slightly lesser degree, reporting:
5.7% two-year increase in 2011 compared with an 11.2% two-year increase in 2009
· Medical Directors fared better than average, reporting:
7.6% two-year increase, an improvement compared with 4.9% two-year increase in 2009
Business education also plays a key role in physician executive compensation. All survey respondents showed a positive difference in the median compensation for those with an MBA.
Today’s health care organizations are working toward accountability, streamlining care and
aligning stakeholder interests. Physician executives are essential to the leadership teams to guide these changes. Similarly, post-graduate business training is becoming essential for physicians transitioning from the clinic to a corner office.
As a physician executive, do you think your salary measures up to the demands? Or as a non-MD
executive, do you believe physician execs are compensated fairly? Share your thoughts in the comments section.
For more information about physician executive careers and to download the
entire survey, visit www.cejkaexecutivesearch.com/compsurvey2011.
Consider these stats on physician executive compensation, taken from a recent survey by Cejka Executive Search and the American College of Physician Executives:
· The two-year rate of increase in total compensation – at 5.9% – is well below the 11.6% increase reported in 2009 and the lowest since the 2001 survey reported 5.0% increase
· CEOs reported their lowest two-year increase since 2001:
4.2% two-year increase compared with a 13.0% two-year increase in 2009
· CMOs were impacted to a slightly lesser degree, reporting:
5.7% two-year increase in 2011 compared with an 11.2% two-year increase in 2009
· Medical Directors fared better than average, reporting:
7.6% two-year increase, an improvement compared with 4.9% two-year increase in 2009
Business education also plays a key role in physician executive compensation. All survey respondents showed a positive difference in the median compensation for those with an MBA.
Today’s health care organizations are working toward accountability, streamlining care and
aligning stakeholder interests. Physician executives are essential to the leadership teams to guide these changes. Similarly, post-graduate business training is becoming essential for physicians transitioning from the clinic to a corner office.
As a physician executive, do you think your salary measures up to the demands? Or as a non-MD
executive, do you believe physician execs are compensated fairly? Share your thoughts in the comments section.
For more information about physician executive careers and to download the
entire survey, visit www.cejkaexecutivesearch.com/compsurvey2011.
Monday, September 19, 2011
How Hospital Executives Can Use Performance, Negotiations to Increase Earning Power
Hospital executive compensation is largely based on comparisons with similar positions in similar organizations. Hospital leaders need to distinguish themselves through performance and negotiate with the board to increase their earning power. Jim Nelson, a managing principal of SullivanCotter, and Deedra Hartung, executive vice president and managing principal of Cejka Executive Search, discuss six ways hospital leaders can increase their earning power...Continue Reading
Tuesday, August 9, 2011
Cejka Executive Search Expands Consulting Team to Address Evolving Needs of Health Care Leadership Teams
Evolving Accountable Care Requirements Raise the Bar for Health Care Executives
ST. LOUIS (August 8, 2011) – The bar is rising for health care executives and leadership teams as the Centers for Medicare & Medicaid Services (CMS) releases standards and guidelines for accountable care organizations (ACOs). Health care leadership teams are growing and adapting to new skill sets to address the development of integrated delivery systems, formation of ACOs, acquisition and integration of medical groups, and evolution of reimbursement methods.“As hospitals, integrated systems and academic medical centers reshape and develop their teams, we’ve seen increase demand for leadership search consulting and recruitment,” said Deedra Hartung, Executive Vice President and Managing Principal of Cejka Executive Search. “We’ve built and restructured our client engagement model to deliver the expertise, resources and executive talent our clients need to address both the urgency and complexity of today’s environment.”
The Cejka Executive Search senior leadership team is comprised of veteran Managing Principals and Senior Consulting Advisors averaging 20 years in health care:
- Deedra Hartung, Executive Vice President, Managing Principal, is a former hospital CEO who has more than two decades of health care executive experience and eleven years of health care and academic executive search experience.
- Michael Dunford, Executive Vice President, Managing Principal, has three decades of experience in executive search and consulting, and has held leadership roles in several highly respected recruiting firms.
- Paul Esselman, Executive Vice President, Managing Principal, has nearly 20 years of strategic health care experience, ranging from managing profit and loss statements and operating budgets to planning multi-department strategic initiatives and corporate restructuring.
- Lois Dister, Senior Consulting Advisor, has extensive experience in international business development that is complemented by involvement in numerous aspects of health care, including academics, hospitals and health systems, and managed care.
- Andy Sandler, Vice President, Senior Search Consultant, has more than 10 years of health care executive search experience in building and reshaping health care organizations through key leadership search engagements.
- Michael Tucker, Vice President, Engagement Manager at Cejka Executive Search, brings experience in operational leadership in nurse management and has served as a lead facilitator for leadership development programs in a top St. Louis hospital.
Leadership Teams are Evolving
“The need for leaders who fit the culture and possess the right training, skills and track record has become critical and has raised the bar for candidates and search firms,” Hartung noted. “Academic medicine has also raised the bar. Many teaching hospitals and academic medical centers are embracing change in their leadership search and succession process to ensure greater collaboration and alignment among stakeholders.”Top leadership teams are increasingly likely to include executives with experience in change management, information technology, clinical quality, payer systems, and population health management. This includes greater demand for physician leaders: from the C-suite to senior level medical directors that ACOs require for establishing physician-directed quality assurance and process improvement committees.
Evidence of changing needs for leadership talent is consistent with findings from Cejka Executive Search’s recent snapshot survey of 100 C-Level executives. Executives reported that their management teams are transforming to encompass new skill sets and projected that the number of physicians in leadership and management roles is very likely to increase. Download the survey results:
Envisioning the Future Leadership Team of an Accountable Care Organization
About Cejka Executive Search
Cejka Executive Search, http://www.cejkaexecutivesearch.com, is a nationally recognized health care executive search firm providing services exclusively to the health care industry for more than 30 years. Cejka Executive Search recruits top health care leadership talent for organizations nationwide through our team of experienced professionals, award-winning recruitment technology and commitment to service excellence. Cejka Executive Search is a Cross Country Healthcare, Inc. company, a leading provider of health care executive staffing services in the United States.
For more information visit http://www.cejkaexecutivesearch.com, contact Kelly Trettin (Black Twig Communications), 314-536-8921, or Mary Barber (Cejka Search), 314-236-4410.
Thursday, June 30, 2011
Trends in Hospital Executive Compensation: Q&A With Deedra Hartung of Cejka Executive Search
As healthcare providers implement changes under healthcare reform legislation, strong leaders will be more important than ever. Hospital leaders' compensation should reflect this heightened need. However, hospitals are also facing reduced reimbursements and more pressure to reduce costs. Deedra Hartung, executive vice president and managing principal of Cejka Executive Search, offers insight into these opposing forces and other current trends in executive compensation.
Q: What are some of the current trends in healthcare executive compensation?
Deedra Hartung: Executive compensation is holding steady in terms of total compensation in most situations. But, we continue to see that more compensation is at risk, being paid out as a bonus only when performance goals are met in areas such as financial, operational and quality outcomes. Generally, the higher the total compensation, the greater the percentage of it is comprised by the bonus.
Q: What are the current challenges related to hospital compensation?
DH: We see two key challenges:
1. Margins. Hospital margins are getting tighter and that is expected to continue, especially as healthcare reform policies are implemented. Although it is yet to be determined what will happen with bundled payments, it is doubtful that both the hospital and doctors will receive the same or more than they have in the past. With this, it is difficult to continue to increase executive compensation.
2. Consolidation. There are a lot of mergers and acquisitions occurring. On one hand, that can displace executives out of the newly merged organizations. For those who remain to lead the larger organization it can actually increase their compensation, as they assume more responsibility for a bigger enterprise.
These challenges are at work in combination when we look at the trend toward physician integration. Hospitals are employing physicians and acquiring private physician practices in order to have an integrated health system. The short term effect is that the investment in acquisitions impacts hospitals' profitability, which in turn squeezes compensation, until the benefits of integration can be achieved.
Q: How can hospitals overcome these challenges?
DH: Most hospitals are getting leaner and reductions in force are occurring. With regard to the expense of physician acquisitions, it is critical that hospitals hire strong practice administrators with experience and skills in managing physician practices. Systems for effectively managing physician productivity standards, revenue cycle and physician charges must be in place to maximize revenues for the hospital or system.
Q: How has an increased focus on transparency affected the way hospitals compensate their leaders?
DH: Boards and executives are very sensitive to public awareness of executive compensation and the public perception of excess and extremes. Huge increases in either base or bonus compensation are too risky as are golden parachutes that are out of line with the market.
Q: With more and more healthcare organizations integrating to form larger networks, how do you think the distribution of compensation will change? Will fewer people have more money, or will the distribution be more even due to "shared savings"?
DH: This will be a difficult issue, especially where there are bundled payments. It remains to be seen which strategy hospitals will use to allocate the dollars.
Q: How do you predict compensation will continue to change?
DH: Performance-driven compensation will be dynamic because the key measures for outcomes and shared savings are yet to be fully defined — and are likely to keep changing. In any regard, executive compensation will continue to be tight in the near future and performance-driven over the long-term. Large systems will dominate the healthcare arena; smaller hospitals and independent physician practices will find it more and more difficult to compete for top leadership talent.
Q: What are some of the current trends in healthcare executive compensation?
Deedra Hartung: Executive compensation is holding steady in terms of total compensation in most situations. But, we continue to see that more compensation is at risk, being paid out as a bonus only when performance goals are met in areas such as financial, operational and quality outcomes. Generally, the higher the total compensation, the greater the percentage of it is comprised by the bonus.
Q: What are the current challenges related to hospital compensation?
DH: We see two key challenges:
1. Margins. Hospital margins are getting tighter and that is expected to continue, especially as healthcare reform policies are implemented. Although it is yet to be determined what will happen with bundled payments, it is doubtful that both the hospital and doctors will receive the same or more than they have in the past. With this, it is difficult to continue to increase executive compensation.
2. Consolidation. There are a lot of mergers and acquisitions occurring. On one hand, that can displace executives out of the newly merged organizations. For those who remain to lead the larger organization it can actually increase their compensation, as they assume more responsibility for a bigger enterprise.
These challenges are at work in combination when we look at the trend toward physician integration. Hospitals are employing physicians and acquiring private physician practices in order to have an integrated health system. The short term effect is that the investment in acquisitions impacts hospitals' profitability, which in turn squeezes compensation, until the benefits of integration can be achieved.
Q: How can hospitals overcome these challenges?
DH: Most hospitals are getting leaner and reductions in force are occurring. With regard to the expense of physician acquisitions, it is critical that hospitals hire strong practice administrators with experience and skills in managing physician practices. Systems for effectively managing physician productivity standards, revenue cycle and physician charges must be in place to maximize revenues for the hospital or system.
Q: How has an increased focus on transparency affected the way hospitals compensate their leaders?
DH: Boards and executives are very sensitive to public awareness of executive compensation and the public perception of excess and extremes. Huge increases in either base or bonus compensation are too risky as are golden parachutes that are out of line with the market.
Q: With more and more healthcare organizations integrating to form larger networks, how do you think the distribution of compensation will change? Will fewer people have more money, or will the distribution be more even due to "shared savings"?
DH: This will be a difficult issue, especially where there are bundled payments. It remains to be seen which strategy hospitals will use to allocate the dollars.
Q: How do you predict compensation will continue to change?
DH: Performance-driven compensation will be dynamic because the key measures for outcomes and shared savings are yet to be fully defined — and are likely to keep changing. In any regard, executive compensation will continue to be tight in the near future and performance-driven over the long-term. Large systems will dominate the healthcare arena; smaller hospitals and independent physician practices will find it more and more difficult to compete for top leadership talent.
Tuesday, March 9, 2010
Are you attending the AMGA 2010 Annual Conference in New Orleans?
The Cejka Search team hopes to see you in New Orleans, LA at the AMGA 2010 Annual Conference taking place March 17-20, 2010.
Don’t miss the session “ A Commitment to Retention: Recruiting Best Practices and Highlights from the 2009 Physician Retention Survey” on Friday, March 19 at 3:45 p.m., which features Dr. J. Gregory Stovall, Sr. VPMA and Director of Organization Development, Trinity Mother Frances Hospitals and Clinics and Lori Schutte, President, Cejka Search.
More than just a simple recount of the 2009 Physician Retention Survey’s facts and figures, Dr. Stovall and Ms. Schutte will highlight recruitment and retention strategies that have succeeded for AMGA members in this difficult economy, share how to put those strategies in action for your organization, and provide a case study showing how a best practice recruitment and leadership development program succeeded in significantly improved retention. AMGA members attending the session will receive a complimentary copy of the 2008 survey and 2009 supplement.
If you cannot attend the session, we hope you will stop by Booth 220 to register to win a $500 AMEX Gift Card and visit with the Cejka Search team:
Lori Schutte, President, Cejka Search Mary Barber, VP, Recruitment Partnerships and Marketing, Cejka Search Michael Dunford, EVP, Managing Principal, Cejka Executive Search Lois Dister, EVP, Managing Principal, Cejka Executive Search Brian McCartie, VP Business Development, Cejka Search Jessica Prince, Regional Sales Director, Physician Staffing & Recruiting, Cejka Search Vivian Luce, Regional Sales Director, Physician Staffing & Recruiting, Cejka Search Rob Henges, Regional Sales Director, Physician Staffing & Recruiting, Cejka Search
We are looking forward to seeing you there!
Don’t miss the session “ A Commitment to Retention: Recruiting Best Practices and Highlights from the 2009 Physician Retention Survey” on Friday, March 19 at 3:45 p.m., which features Dr. J. Gregory Stovall, Sr. VPMA and Director of Organization Development, Trinity Mother Frances Hospitals and Clinics and Lori Schutte, President, Cejka Search.
More than just a simple recount of the 2009 Physician Retention Survey’s facts and figures, Dr. Stovall and Ms. Schutte will highlight recruitment and retention strategies that have succeeded for AMGA members in this difficult economy, share how to put those strategies in action for your organization, and provide a case study showing how a best practice recruitment and leadership development program succeeded in significantly improved retention. AMGA members attending the session will receive a complimentary copy of the 2008 survey and 2009 supplement.
If you cannot attend the session, we hope you will stop by Booth 220 to register to win a $500 AMEX Gift Card and visit with the Cejka Search team:
Lori Schutte, President, Cejka Search Mary Barber, VP, Recruitment Partnerships and Marketing, Cejka Search Michael Dunford, EVP, Managing Principal, Cejka Executive Search Lois Dister, EVP, Managing Principal, Cejka Executive Search Brian McCartie, VP Business Development, Cejka Search Jessica Prince, Regional Sales Director, Physician Staffing & Recruiting, Cejka Search Vivian Luce, Regional Sales Director, Physician Staffing & Recruiting, Cejka Search Rob Henges, Regional Sales Director, Physician Staffing & Recruiting, Cejka Search
We are looking forward to seeing you there!
Wednesday, December 16, 2009
Cejka Search at the ACPE Fall Institute
Cejka Search was pleased to participate in the ACPE Fall Institute which took place November 2009. Excellent feedback was received from those who attended Lois Dister's panel at the ACPE Fall Institute and we'd like to thank our distinguished panelists again for their time and contribution to this interactive event.
After the panel presentation, Lois Dister and Michael Dunford participated in a recruiter's reception. We'd like to share two photos from this event.
From left to right: Michael Dunford, Managing Principal, Executive Search for Cejka Search and Dr. Frank N. Deus, Medical Director, Benefits and Medical Review
From left to right: Dr. Jennifer Massara, Prescott Women's Clinic; Dr. Mike Dwyer; Lois Dister, EVP and Managing Director, Cejka Search; Michael Dunford, Managing Principal, Cejka Search; Dr. Barry Silbaugh, CEO, American College of Physician Executives
After the panel presentation, Lois Dister and Michael Dunford participated in a recruiter's reception. We'd like to share two photos from this event.
From left to right: Michael Dunford, Managing Principal, Executive Search for Cejka Search and Dr. Frank N. Deus, Medical Director, Benefits and Medical Review
From left to right: Dr. Jennifer Massara, Prescott Women's Clinic; Dr. Mike Dwyer; Lois Dister, EVP and Managing Director, Cejka Search; Michael Dunford, Managing Principal, Cejka Search; Dr. Barry Silbaugh, CEO, American College of Physician Executives
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