Wednesday, June 30, 2010

Thoughts on communication and planning for our future...partnership discussions with University Medical Center and Catholic Health Initiatives

One of my sayings has always been, "in the absence of communication lies rumor" and this topic could serve as the poster example for that saying. Over the past few few months, it has been a rare occasion for me to make it through the hospital without being stopped and asked about rumored talks between our health system and the University of Louisville's hospital (University Medical Center). For the first time, I am now able to publicly acknowledge these rumors and confirm that our leadership has indeed been in conversations with the University of Louisville and Catholic Health Initiatives as more fully described in the statement posted below and on our website today.

The bigger question you may have is why we have not been able to comment up until this point? As you could probably imagine, discussions of this nature are very strategic in nature which makes it difficult to talk about them in an open forum as plans are being developed. Also as expected, when large numbers of people become involved in a planning process, it is also very difficult to keep any discussions confidential for any length of time, especially in a town as connected as Louisville! Together this combination has lead to the rumors that so many of you may have found yourselves confronted with.

With the announcement copied below, I fully expect that people will be speculating and reading into what this might mean for our system and the rationale behind our discussions. In attempts to bring closure to these rumors, I wanted to take this opportunity to make it perfectly clear that no recommendations or decisions have been made as of yet in these partnership discussions. If and when a decision is reached there will certainly be more information to come. What we are trying to accomplish now is to begin sharing information and laying out the rationale for the discussions taking place.

I hope this joint statement announced today can help bring some color to the discussions that have been taking place with our leadership. As always, I welcome and would appreciate your thoughts and input as we continue to navigate along in this journey.


A Statement Regarding Partnership Discussions

Catholic Health Initiatives, Jewish Hospital & St. Mary's HealthCare
and the University Medical Center

In order to promote our shared commitment to patient care, biomedical research, and the education of the next generation of health care providers, the leadership of the University of Louisville/University Medical Center, Jewish Hospital & St. Mary’s HealthCare (JHSMH) and Catholic Health Initiatives (CHI) are holding discussions to explore how they could work together in a more formal partnership to better serve Kentuckians.

These conversations are driven by the fundamental changes that are occurring in clinical medicine, demographics, and the needs of Kentuckians.

Over the next five years, the Healthcare Reform Act will dramatically alter the environment for disease prevention and in which care is delivered. Changes brought by legislative reform will place demands on all healthcare providers that must be addressed proactively to ensure future viability. Practicing physicians, medical educators, scientists, and hospitals will need to work together to find solutions and make substantive and innovative changes in the way care is delivered, students are educated, and new knowledge is generated.

In Kentucky, we must find new and better ways to attack the serious health issues facing our population. We have the undesirable distinction of leading the nation in the incidence of lung cancer – our rate is 50% higher than the national average. We are fourth in the nation in overall cancer incidence. Our ranking in the Top 10 doesn’t end there. We are seventh in the nation in obesity and the number of deaths from cardiovascular disease. We are also ninth in the number of deaths from heart disease as well as from stroke.

In 2005, Jewish Hospital HealthCare Services (JHHS) and CARITAS Health Services, a part of CHI, merged to form JHSMH. This followed more than 19 months of discussions and negotiations. JHHS and CHI are the parent organizations of JHSMH, and appoint a joint board to oversee the combined company.

The University of Louisville/University Medical Center (UMC) and JHSMH have a historical partnership in cardiothoracic surgery, cardiology, community and family medicine, ophthalmology, and solid organ transplantation. Additionally, the organizations work together closely to provide critical services to patients seeking care for neurological disorders such as Parkinson’s disease and cerebral palsy, as well as rehabilitation medicine following a stroke or a traumatic neurological accident such as a spinal cord injury. Together, these organizations have pioneered new medical procedures in cardiac surgery, adult cardiac stem cell research, and organ and tissue transplantation. The two organizations have an extensive partnership in providing a location for medical student, internship, and residency education. The University of Louisville and JHSMH have also been at the forefront of developing new organizations such as the Cardiovascular Innovation Institute.

CHI is interested in broadening its relationships in Kentucky, where it has made significant investments in healthcare. CHI leaders see many opportunities to make a positive difference in the state by transforming how healthcare is delivered, expanding access to care, contributing to the mission of academic medicine, and building healthier communities. CHI shares the deeply held commitment of the faculty and staff of the University of Louisville and JHSMH to serving historically underserved and marginalized populations.

With an eye toward the fundamental changes that are ahead for health care providers, the boards of JHSMH and UMC are discussing the benefits of forming an integrated partnership that will position the organizations for the future.

Board representatives have evaluated a possible network that has relationships across the Commonwealth, the role of academic medicine in the delivery of healthcare services, the needs of Kentucky for medical education, and how a formal partnership could help prepare for the significant number of Kentuckians who will be added to the rolls of health insurers.

There are still many issues to discuss and resolve over the coming months as the organizations work toward a possible letter of intent. Board representatives must address a number of major items, including equity/ownership, governance structure, the management of medical education, and the integration of the academic mission throughout the proposed organization.

No final recommendations or decisions have been made. Additional information will be shared over the next several months as part of an ever-expanding dialogue between organizational leadership, the community, public officials, the staff of the institutions, and the faculty of the School of Medicine and community physicians.

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Sunday, June 13, 2010

Zappos CEO Tony Hsieh on Culture, Service, and "Delivering Happiness"


One of the many benefits of writing this blog has been some of the great people I have had the chance to meet as a result along the way. .
Frank Eliason, Senior Director of National Customer Service for Comcast Cable is one of those individuals who I've gotten to know and co-present with at a couple of conferences. Frank has made a legend of himself in the corporate customer service world and has been written about in Business Week, the New York Times, and the Wall Street Journal to name a few. So when it comes to customer service, I tend to take his opinions to heart. The last time we were together in Chicago, he was telling me the story about Zappos, (the online shoe retailer that was recently sold to Amazon for the equivalent of $1.2 billion in stock) and about how their CEO, Tony Hsieh turned this internet start up into one of the most successful internet businesses of all time principally by being obsessed with creating an outstanding culture of service. So when I was recently contacted to see if I wanted an advanced copy of Hsieh's new book, Delivering Happiness: A Path to Profits, Passion, and Purpose, I was more than a little intrigued and agreed.

In reviewing the book, there is background on Hsieh's upbringing, early career start-ups, and ultimately how he got involved with creating Zappos. From there it reads quite differently from many business books I have read with many personal stories and anecdotes from Hsieh and his staff, however the message is not entirely new or inconsistent with I have always believed in...create a winning culture and your brand will be successful.

Zappos' goal is simple: have the best customer service in the world. For Zappos, customer service is not a department but rather a core purpose that transcends every aspect of the business. To accomplish this goal, everyone has to be on board. As the company was struggling in their early existence to survive, the staff created a set of 10 core principles for which everyone is now screened before hiring and evaluated against to remain employed by Zappos.

As taken from an excerpt on the Zappos website and the book, the core values are listed below...

As we grow as a company, it has become more and more important to explicitly define the core values from which we develop our culture, our brand, and our business strategies. These are the ten core values that we live by:

  1. Deliver WOW Through Service
  2. Embrace and Drive Change
  3. Create Fun and A Little Weirdness
  4. Be Adventurous, Creative, and Open-Minded
  5. Pursue Growth and Learning
  6. Build Open and Honest Relationships With Communication
  7. Build a Positive Team and Family Spirit
  8. Do More With Less
  9. Be Passionate and Determined
  10. Be Humble

These principles are not merely words talked about at orientation or hanging on a framed picture in the hall, but are truly the core values for which the Zappos brand and company exists. Hsieh points out to "Hire slowly and fire quickly" is one of their secrets of success. With these values firmly committed to, Hsieh has challenged each of his staff to make at least one improvement each week to make Zappos better reflect its core principles.

The end of the book and "the end game", as Hsieh calls it, is all about Happiness. He's passionate when he talks about customer happiness, employee happiness, and [leadership] happiness - "the goals of happiness aren't mutually exclusive." From there he challenge his readers to think about happiness and what it means to them. A few example questions he poses:
  • What is success?
  • What is happiness?
  • What am I working towards? (Make sure that the answer to this question supports the answers you gave for the first two.)
  • Make a list of the happiest periods of your life, and find the connecting threads.
  • Where's the opportunity for you to live your happiness?
  • What is your company's core values and higher purpose?
  • How do you relate to them?
So if you have read this far, you may be asking why have I written about this book and this topic? The answer lies in the following question....if an online shoe store could turn themselves into a billion dollar enterprise with wildly loyal customers by focusing on culture and service, what do we need to do accomplish the same goal? I look forward to hearing your suggestions and continuing the discussion!



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