chief culture warrior: a transformational professional & personal role for senior healthcare...

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Chief Culture Warrior: A Transformational Professional & Personal Role for Senior Healthcare Strategists Kathy, Steve and Ken (a.k.a. Lewton, Seekins & Trester) Society for Healthcare Strategy and Market Development October 4, 2007

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Chief Culture Warrior: A Transformational Professional &

Personal Rolefor Senior Healthcare Strategists

Kathy, Steve and Ken (a.k.a. Lewton, Seekins & Trester)

Society for Healthcare Strategy and Market DevelopmentOctober 4, 2007

Yet forces demanding change are ever more powerful and insistent

1. Continued rise in spending has made payers ever more insistent

2. Focus on “quality” now has a life and momentum of its own• Only choice - create your own quality measures or adopt those

from third-party groups3. Demand for true patient satisfaction also difficult to ignore

• Patients believe that they are entitled to humane, respectful treatment, and know how to complain when they don’t get it

• Dial 1-800-LOCAL TV REPORTER

Election year politics add to the drumbeat And with a small but highly visible group of hospitals actually

making progress and headlines -- harder for the rest of the pack to avoid the inevitable

The trifecta Of business, politicians & patients

can no longer be ignored nor held at bay.

True transformation is the only guarantee of survival in the long-term

It’s not the best of timesto push for change in HCOs

Employees – those who aren’t fleeing – are tired, frustrated, cynical

Physicians are at worst, antagonistic and outright competitors to the HCO; at best, apathetic.

Which means powerful leadership is absolutely essential

Change – let alone TRAnsformation – doesn’t come easily to HCOs

By nature resistant to change Built on policies, procedures, process – “We’ve

always done it/never done it THAT way” Medical care has always focused on careful study,

cautious research, “first, do no harm”

ENTER the Chief Marketing/PR Officer now starring as . . . . .

Chief Culture WARRIOR

CEO Can’t Do It Alone CMPOs are:

• Trend spotters -- hear the drumbeat, collect and “own” the data, sense the danger that failure to change can bring

• Have needed tools for telling and selling – defining and describing the new vision, and persuading

• Work effectively with management peers and medical leaders who will be critical forces in transformation

• Already so close to the CEO that they can bring him/her on board, prep him or her to be the spokesperson for change

CPMO CCW = New role, new focus

Changing focus from external customers to internal workforce

Working with physicians more as a collaborator, partner, supporter

Taking more responsibility public and legislative affairs, payer relations, etc.

Going beyond data to working side-by-side with operations and nursing to find and sell solutions

Culture is determined by what we do….it is memorialized by what we say.

Both are important, but one must precede the other.

TO Be change agent,Instead of communicator:

First Be the doer,Then the sayer.

Being a Chief Culture Warrior:

Four Principles from Real Life

Step 1: Know where the HCO is NOW

HCOs often try to move people toward the new vision, with no clear sense of where the people are in terms of attitudes, opinions, morale, commitment, etc.

But because transformation is a highly complex process that has many moving parts• Can’t benchmark without a starting point• Can’t create compelling messages that will move people

to change behaviors if you have no idea what they know, believe or care about

Step 2: Assess organizational readiness

Comprehensive internal research effort that focuses on the variables that are most likely to affect ability to change.• Need to assess attitudes, needs, concerns and

commitment of key players such as middle managers and first line supervisor

• Physician research may need to be deeper and broader

than in a typical MD survey

Step 3: Strategic priorities = foundation

Culture needs a foundation – must match strategic priorities and desired market positioning • Customer service strategy means focusing on the

behaviors and skill sets that will deliver customer satisfaction.

• Quality positioning requires addressing organizational effectiveness.

• Low cost position means focusing on efficiency No HCO can afford to focus on just one strategic

priority and totally ignore other key factors -- BUT one driving imperative makes transformation easier because there’s a vision and a purpose that support the need for change.

Step 4: Bring it all together

The CPMO transformed into Chief Culture Warrior can lead transformation

• With a clear vision of strategic imperatives and

• With deep and broad understanding of the organization and its people as they are now

• With effective marketing and communications strategies and tools to change attitudes and behaviors

• And by partnering with operations execs who will lead the effort to re-tool policies, procedures and processes.

A look at the wars and warriors

…a short survey about culture management in healthcare

organizations

The Warriors

Survey of all meeting registrants plus list of selected senior practitioners - 31 responses

50% response from registrants All but a few at VP/SVP level 2/3 marketing/communications 1/3 planning 1CEO 60% are 20+ year veterans. Only 2 less than 10

The war: How necessary is culture change?

0

10

20

30

40

50

60

Vital tosurvival

Critical toStrategy

Respondent

CEO

Sr. Team

Key platform of your organization’s desired culture

Customer service/satisfaction (16) Employee engagement/satisfaction (8) Clinical quality (6) Other mentions:

• Recruiting/having best employees• Physician satisfaction• Facilities• Efficiency

Commitment to change

0

10

20

30

40

50

60

70

80

Total Partial Negative None

Respondent

CEO

Sr. Mgmnt

Physicians

How we manage culture

0 10 20 30 40 50 60 70

Managers heldaccountable

Part of EE training &development

Happens on its own

Formal activity withdedicated resources

How we manage…

0 20 40 60 80 100

CEO defines andmanages culture

Culture justhappens

Culture is managed

Culture is in plan

Have strategic plan

Who’s actively involved?

0 10 20 30 40 50 60 70

PR

Marketing

Planning

Committee

Pt. Care

HR

Physicians

Line mgrs

Coo

CEO

Who’s on board and fully committed?

0 10 20 30 40 50 60 70 80

HR

Internal Comm

PR/Comm

Marketing

Planning

Board

Physicians

Employees

Nursing

Mid mgrs

Top mgrs

But 33% report that physicians are subtle naysayers or flat out antagonistic!

Barriers to change

Not a priority(10) Time and money (8) Inertia (6) Other mentions:

• CEO• Size & complexity • Physicians• Lack of commitment• …and at least 30 others

Respondent’s role in culture change

0 10 20 30 40 50 60

Contributer

Key teammember

Leader

Satisfaction with role

0 10 20 30 40 50 60

Somehwat/verydissatisfied

Somewhatsatisfied

Very satisfied

Those who play an important role in culture change are mostly (80%) satisfied with the support of others in organization but LESS SO with time and resources to do the job.

If you are NOT a leader…

0 20 40 60 80 100

Organizational apathy

Overworked

Burned out trying

Lack expertise

Asked but denied

Someone else leads

Do you want to be?

…If not, why not?

Issues you want to talk about – and we will . . . . .

Getting top management support How to create the burning platform Implementation & how to make it stick How to push change through the ranks How to get consistency System decentralization Hiring right How to drain the swamp when you’re up to your

bubpkus in alligators

BUT FIRST – Some Stories

Tales from the Front Lines:

Successes and Failures

Cinci Children’s: A Classic Case

New CEO, from manufacturing, said quality will be our strategic position

And we start with safety And he got docs on board And the board on board And now safety IS the DNA of CCHMC

September 15, 2007

Managing Outcomes Helps a Children’s Hospital Climb in Renown

By REED ABELSON

CINCINNATI — Although it is nearly 2,000 miles from Boise, Idaho, Cincinnati Children’s Hospital means to make a visit here worth a patient’s journey.

Not content to play a regional role, the Cincinnati Children’s Hospital Medical Center has emerged as a national name in pediatric medicine, drawing patients from distant cities like Boise.

Lacking the prestige of other well-known pediatric centers, Cincinnati Children’s had to learn to compete on something else, said Dr. Charles Homer, the chief executive of the nonprofit National Initiative for Children’s Healthcare Quality.

“The something else is quality.”

On the other hand . . . . .

Major multi-state healthcare system Interviews with employees on attitudes and

morale “Quality – the ‘new initiative’ du jour “First it was guest services, then patient

satisfaction, then Six Sigma, then quality, then CQI, then TQM . . . . . . . .”

On being the AMA’s Conscience

On Being the AMA’s Conscience

It all started innocently enough Establishing a culture of openness in an

organization of control freaks The freedom of one to question

• No ratting and no pulling the punches

Stories from the front

Tobacco Institute wants to meet with the AMA

Media Tours and openness Media briefings and sponsorship

How to screw it all up

Trying to hide things from the media in a public world. Closing the openness.

The GE debacle.

The Service Success Story

Getting top management support

First, the CEO problem Then tackle the rest of the gang:

• Bring data• Bring strategy• Find models • Find tools

The Ritz-Carlton Formula

Make management visible Put employee satisfaction first Imprint the standards Lineups: everyday, everyone

Creating the burning platform

If you have a crisis, revel in it

If you don’t have a crisis• Lead by inspiration• Model the competition

The Call to Action:Service First!

We will provide quality healthcare through Service First! so that people choose Oakwood and its affiliated physicians.

Implementation: Make it stick - even if you’re big, complex,decentralized

Clear vision, definitions and standards New processes to support new cultures

• HR policies and practices critical• Reliable tracking systems• Accountability mechanisms

Disciplined, methodical rollout plan with standardized communications

The Huddle: A breakthrough communications tool

Systematic process for assuring group discussions every day

Guiding principles

Simplicity: 5 to 10 minute meeting Consistency: everyone, everyday, every

shift Interactivity: discuss Service First!

Standards Motivational: reinforce personal values Fun: engender team spirit

Do You Rely On Huddles for Information?

Patient loyalty scores:cause and effect?

Pre Post Change

Consumer Top-of-mind Awareness 36.3% 44.2% 7.9

Consumer Preference 31.2% 41.6% 10.4

Market Share 35.3% 38.9% 3.6

Profitability -2% 1% 3pts

Other Major Gains

Chain of success starts with satisfied employees

The VanRinsvenformula for victory

Hire right Do “onboarding” by top leadership in person Create “emotional engagement” Show physicians that an environment of

engaged employees is in THEIR best interest

And Now . . . . . . . .

Issues you want to talk about… Getting top management support How to create the burning platform Implementation & how to make it stick How to push change through the ranks How to get consistency System decentralization Hiring right

Oh, and what about those damn alligators?

For questions or more discussion --

[email protected]

[email protected]

[email protected]