Mr. Thomas Ryan

In: Business and Management

Submitted By mryanhealthcare
Words 469
Pages 2
VIRGINIA MEDICAL CENTER (Abridged)
History:
• Opened by two physicians same vision (comprehensive care for any medical issues under one roof)- Integrated Health Services Invented
• 80 Bed Clinic
• Provide quality outcomes working as a team- cell layout
• Operated for Decades as a Physician Partnership and recruited top tier doctors
• Partners were incentivized to make money- If hospital made/lost money the physicians shared the burden
• 1986- Became Non-profit 9physicians did not have financial burden)
• Leadership moved to a board but physicians held the power

1998-1999
• Center Lost money (first time in history)- DOUBLE DIGIT MILLIONS LOSS
• Moral Became Low
• New Hospitals moving in area (increased competition with new technology/medical advantages) 2000
• 1980’s-2000 Lindeman CEO
• Became 501(c)(3)
• 2000- Kaplan became CEO
• Kaplan Eliminated Board appointing duties- CEO now Appointed and Board held power to elect following CEO’s
Kaplan Plan- cut cost on academic travel and research, consolidation of profit maximizing medical procedures, renegotiated contracts with commercial payers (insurance)
2005
• 3600 Bed Clinic
• 5000 Employees
• 400 Physicians
• 45 different medical, surgical, and diagnostic fields

PHSICIAN COMPACT
• Problems: Physicians value autonomy and feel they can do whatever they please, professional entitlement and ego played a huge barrier, it’s difficult to tell highly trained professionals how to do their job. (This was the old implicit pact)

• Solution: Offsite retreat for all physicians to attend. 230 of 400 attended to create a solution that would benefit both parties and allow the hospital to improve in all areas. Composed a committee of the best physicians with guarantee of administration support.

• 12 Month Process

• Become quality leaders, focusing on “patients first, and working together to…...

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