Tuesday, August 22, 2006

Chris Morris interviews the CEO

Since many readers evidently want to discuss the interview in the Tribune with the Hospital CEO, here is your opportunity. http://www.news-tribune.net/floydcounty/local_story_231190701.html?keyword=topstory

I believe Chris Morris attempted to ask good questions, but the CEO is very good at not giving the entire picture when answering questions. If Chris had a better understanding of how things really worked at the hospital, he could have asked several follow-up questions to really elucidate the rest of the story.

Question #1
The heart program is off to a good start, but he failed to mention that it was more than 3 months later than projected. In addition, the numbers are not where they were projected to be at this time in the year, but considering the late start, we are almost on track. This delay put the budget in jeopardy as we had counted on the revenue of these cases during the first 3 months.
The ER having growing pains is a huge understatement. Yes there are 42 beds, but what he failed to mention is that we are only utilizing about the same number of beds as in the old ER. There is not enough staff to cover the additional beds. So now, the real difference is that patients get to wait in a nicer area.

Question #2
We agree on this. The hospital has not gotten a bad rap. It has gotten what the CEO’s decisions have led to.

Question #3
Whether competition is needed will always be debatable, but we certainly disagree here. These other facilities will offer services more efficiently and effectively. Yes, if they are physician owned, there will be some revenue going to the investors. That does not make them inherently bad. Competition does equate to lower costs in virtually all aspects of the marketplace.

Question #4
The new hospital is supposed to have an Emergency Room and I believe he misspoke in answering this question. Floyd does take care of the indigent as a community hospital should. They are also not-for-profit and paying no taxes. Chris should have asked the CEO if he would be willing to give up the not-for-profit status and therefore be on a level playing field as he repeatedly complains about. The benefits of being not-for-profit are huge financially and they know it. They “want their cake and eat it too.”

Question #5
He pretty much avoided answering this question as he knows we have not done enough to recruit and retain nurses. We got started too late in the process to fill the needed positions even though the Board repeatedly questioned him on this issue. Currently, our nurses and staff are understaffed.
Diversion was very rarely ever because of staffing issues until the new addition opened up. Now that we do not have enough staff for the beds, we are seeing diversion for this issue as well. There is an overall shortage of beds as he admitted. Why we spent 65 million dollars and did not add any significant overall beds is still haunting us. This is more support for the need of another hospital and additional beds.

Question #6
This answer on the relationship between physicians and the CEO is just wrong. We have surveys that have shown major trust issues, we had a consultant spend nearly an entire day during a strategic planning retreat because this issue was a huge sticking point and was hindering any type of progress. That consultant was never asked to return after her initial phase was completed. Most of the doctors he refers to are not the ones who spend their time primarily at Floyd. They come in quickly, make rounds, eat and leave. They are not involved in any of the critical committees or governance.

Questions #7
Basically, his answer appears as if he has no clue about the future needs and until he hires the next consultant to come in and tell him what to do, he will not commit. Yes the community needs more beds. There will be increasing demand for all services and since physicians are reluctant to partner with the hospital, as long as he is the CEO, the hospital will not be expanding much off of the current campus. The shell space he refers to on the 3rd and 4th floors was something he was opposed to and the Board voted in favor of building it. I ask the architect and builder the question: “In all your years of building, if the facility had the capability of building additional floors after the initial project, how often did they do this.” The answer was almost never. You either build it at the start or it doesn’t get built.

Question #8
The physician number he refers to from 125 to 500 is very misleading. Yes there are about 500 physicians, but about 400 of these are consultants from Louisville who have privileges but rarely if ever step foot in the hospital. The amount of primary care doctors and surgeons has not grown substantially and we are still short in several areas. If you look at their website, you will see the following because we do not have enough primary care physicians.


Physician Practice Opportunities

Specialty physician opportunitites currently available at Floyd Memorial include:

o Family Practice o Cardiology o Interventional Cardiology o Internal Medicine o Pulmonary Medicine o Hospitalists

For more information on practice opportunities at Floyd Memorial, please contact:

Robert L. MackinVice President of Managed Care and Marketing
Phone: (812) 949-5596


The 500 number he quotes is very misleading. Some physicians have to maintain privileges at a hospital because one person in their group comes here or because certain insurances require it. It does not mean these physicians are actively participating in anything at Floyd.

As you can see, we could discuss each of the issues in great length.

There is a lot more than Chris was told and readers were led to believe.

Unfortunately, Chris didn’t ask him about the current financial situation, the freeze on hiring even though we are short-staffed, the failure of Joint Commission Accreditation, or the failure in partnering with the surgeons on the new outpatient surgical center.

8 Comments:

Anonymous Anonymous said...

Great summary. I hope this sparks some meaningful discussion. Given a choice of all the hospitals in the area, which would you go to?????

8/22/2006 10:50:00 AM  
Anonymous Anonymous said...

Medrep is exactly correct, but if needed, I would still choose Floyd for now. The hospital and the employees are still the best anywhere and I would trust them with my life anytime.

The CEO is a completely different story and I wish people could separate the two. The CEO and the hospital are not one in the same.

But a CEO can destroy a hospital given enough time, poor decisions and broken relationships.

Then unfortunately, the hosptial is left with an uphill battle trying to overcome what has been done.

The day to day operations of Floyd would continue with or without a CEO.

The future of a hospital is dependent on good CEO and Board decisons. Here lies the problem.

8/22/2006 02:09:00 PM  
Anonymous Anonymous said...

Hanson must not be very good at "destroying" if after 16 years on the job, the hospital is still "the best."

8/22/2006 03:07:00 PM  
Anonymous Anonymous said...

Once again I beg to differ, that it takes a CEO to destroy a hospital. You failed to mention the actions of Physicians. When a patient goes to a Doctor, they usually do so on the basis of reputation and the trust that he will make sound decisions in administering their healthcare. At this point, it has nothing to do with hospitals, CEO's. So actually Physicians can make or break any hospital. You will find that MOST local doctors want to stay as close to their place of business as possible, so therefore not only is it a matter of convenience to use FMH as their admitting hospital but a matter of cost saving for the Physician. Point is, if a Patient would come to you and say I do not want to go to the FMH for my treatment because I don't like the CEO's business decisions, what would you do?? You can't have it both ways. I am sure the patient would have to find another Doctor. Ultimately, it takes everyone involved in Healthcare, not just hospitals, CEO's. It seems that if you are critical of Chris Morris's interview, give him a call and present him with your facts. I am sure he would be glad to do a follow-up, thats what the media does best.

8/22/2006 03:31:00 PM  
Anonymous Anonymous said...

Physicians have patients choose other hospitals all the time. In primary care, about 10% of my patients choose to go somewhere other than Floyd. I make the arrangements and have physicians I know and trust take care of them at the other locations.

Yes, it is more convenient to stay close, but if quality of care becomes an increasing concern, doctors will leave and some have.

One physician would have a very hard time destroying a hospital because there are Bylaws that allow for their removal and/or censoring. But a CEO has the authority to make policies and decisions that affect everything and minimal oversight by a Board. Most CEO's aren't removed until the finances become the issue even though that is the last problem on a very long laundry list.

Chris and I have talked and I would be happy to sit down with him again since this article was written.

8/22/2006 05:23:00 PM  
Anonymous Anonymous said...

Which hospital is the best to go to. Nobody has any idea. Hospitals spend alot of money advertising how much they care (I never doubted that they didn't) but won't give out any cost/value(outcomes) data. This is where competition would make a difference, however, it is very difficult to get hospitals, clinics, medical practices etc who are profiting from the current system of revenue per procedure -- whether the procedure works or not, or even whether it's necessary or not -- to be willing to change.

8/23/2006 12:34:00 PM  
Anonymous Anonymous said...

It is very difficult trying to make comparisons.

Unfortunately, it is illegal to post physicians fees. The government and current laws see that as collusion and price-fixing.

It is another part of a broken system

8/23/2006 01:59:00 PM  
Anonymous Anonymous said...

Criticism is the disapproval of people, not for having faults, but having faults different from your own.
Author Unknown

8/24/2006 05:25:00 PM  

Post a Comment

<< Home