The aforementioned article for the Journal of Hospital Administration explored how leaders’ professional backgrounds might influence the quality of the healthcare organizations they lead. The author notes a correlation between these physician-led organizations and higher quality scores. However, further research is required to prove causation is the professional background and not some other quality or characteristic those CEOs have in common. Certainly, the indication that the presence of physician CEOs increases quality scores is one reason more organizations are seeking to hire physician executives. 

Physician Executives Improve Communication 

The benefits of physician executive leadership are many, though often the first to come to mind is their usefulness as liaisons between hospital leadership and medical staff. Because they have direct experience with patients, physician executives may garner more trust and respect from staff than other executives. As a result, news of policy changes and other decisions may be more easily digested when it comes from a physician leader. Physician executives also bring a clinical perspective to the boardroom, ensuring administrators understand the potential impact of their decisions on clinical staff and patients. 

In this way, physician executives are able to improve the lines of communication between clinical staff and administration, which ranks high in importance for most physicians. In a 2022 JPS-MGMA study, physicians ranked two-way communication with management as the most important factor in job satisfaction — above compensation. However, when asked to rate their employers in this area, just one in four said two-way communication at their organization was “good” or “very good.” Physician executives are well positioned to improve in this area and thus increase physician job satisfaction at their organizations.  

Market Creating More Physician Leaders

In order to stay relevant in today’s market, healthcare organizations must act more like corporations, with patients as customers. This corporatization of medicine is creating more business-minded physicians. In the past, physicians were focused primarily on diagnosing and delivering care. Now, physicians in every type of practice setting are all too aware of the need to grow the patient base, obtain referrals and positive online reviews, and of course, stay up to date on insurance-related issues. For these reasons, every physician receives an education in the business of healthcare from day one.

While many receive this education by default, still others are doubling down on their advanced degrees, either opting to pursue an MBA alongside their MD or choosing to go back to school for an MHA or MBA while working full-time as a physician. The number of physicians who also have a business degree is increasing annually. 

As more and more physicians gain the foundational business skills required to lead healthcare organizations, the candidate pool for physician executive jobs expands, making it more likely that organizations will be able to hire physicians for executive jobs successfully. 

Role of Physician Executive Evolving

As organizations seek new ways to reach patients and improve the way care is delivered, they will need leaders who not only understand business but who are also experts in the services sold — in this case, healthcare. Now more than ever, organizations need physician executives who not only serve as a bridge between administration, clinical staff, and patients; they need physician executives to think strategically about how to grow the patient base and innovate on the best ways to deliver care. The role of physician executive is evolving, and as it expands, physician executives will only become more valuable to the organizations they serve.

If your organization is seeking a physician executive to lead your organization, the Physician Executive Search team at Jackson Physician Search is eager to leverage our considerable network to help you find the best physician leader for your organization. Every physician executive role is unique, and we look forward to learning more about your needs. Reach out today for more information.

Perhaps the most important part of the physician executive search process is defining what the role looks like at your organization and coming to a consensus with all stakeholders about what the ideal candidate looks like. 

“If our client organization can calibrate this correctly on the front end, it can make a major difference in the timeline of the search,” says Dirk. “If we present candidates who fit the criteria that one administrator has about the role, but other decision-makers covet a different set of qualifications, those candidates will likely be rejected, and it’s possible you are back at square one 60-90 days into the search.” 

Dirk stresses that the role of physician executive is unique in every organization. There is no template job description, so it’s imperative that all stakeholders agree on what is needed from the role at your specific organization. Once clear, a good physician executive search partner can help you identify an acceptable compensation range for the role. However, what the physician executive job entails varies drastically, so there is not always clear market data on compensation for the role. For this reason, clients must expect to be flexible on compensation and be prepared to offer compensation commensurate with the criteria they set. 

Expect a Targeted Pool of Physician Executive Candidates

In a traditional physician search, a recruiter can pull data on the number of physicians in a given specialty in the market and then use statistics to estimate what percentage of those specialists are likely seeking a new job. This gives you an idea of the size of the pool of potential candidates for your physician job. There is no equivalent formula to determine the size of the pool of potential physician executives for your role. This is because the requirements of your specific job are more nuanced and unique to your organization. Finding any one candidate, much less a “pool” of candidates, who checks all the boxes and is open to accepting a new position is challenging. There is a reason you’ll occasionally hear recruiters say they are “searching for a unicorn.” 

That’s not to say the ideal candidate for your role doesn’t exist. Dirk explains: 

“Typically, after around 60-75 days, our team has vetted enough prospects to provide a comprehensive analysis of the true candidate market, including a rolling slate of the most qualified and interested candidates for our client to interview.  

“Occasionally, a search’s criteria is so specific that the market analysis indicates an especially limited pool of qualified and attainable prospects, or that the attainable ones are not in the established “price range.” In those cases, we’ve often been able to identify alternative experiences/qualifications that closely resemble or simulate the unmatched criteria or have details on the compensation range needed to secure the target candidate, and we’ll use that data to consult and collaborate with our clients on how best to move forward. Ultimately, we’re going to give our clients all the information they need in order to be comfortable and confident with whatever decision they make.”    

Expect a Proactive, Network-Driven Approach

Online physician job boards and job alert emails are essential for effective physician recruitment in a digital world. Likewise, a comprehensive physician executive recruitment strategy will also leverage these tools. However, because of the unique candidate requirements, it is unusual for the majority of incoming applications to be from qualified physician executive candidates. In addition, most physician leaders who are qualified for executive roles are simply not actively seeking new jobs. So, while a well-distributed physician executive job advertisement may elicit a few qualified applicants, a physician executive search team will spend extensive time proactively researching and building a pool of potential candidates. 

“In building the target candidate pool, we look at all aspects of the client, including geographical location, organizational size, type, and setting, and the scope and functional needs of the specific role. Then, a strong research team will use a suite of best-in-class resources to identify a list of prospects that are most likely to be qualified for and interested in the opportunity. Among other activities, they may cross-reference an internal database or use a social platform to network,” says Dirk. “And then finally, when a search consultant reaches out, it doesn’t always end where they’re recruiting that person specifically, because even if they are not interested, but our research is accurate, he or she may know someone else who would be a good fit.”   

A proactive approach like this may be part of the process when filling a physician job, but clients searching for a physician executive should expect this to be the cornerstone of an effective recruitment strategy. This is why it’s essential to partner with a physician executive search firm that has been nurturing its network of physicians for decades. 

When the Time Comes, Expect to Act Quickly

When a physician executive candidate is identified as a good fit, clients must prioritize scheduling the interview. With multiple high-level executives involved, it may be impossible to find a convenient time for everyone, so be prepared to reschedule other meetings in order to move the process forward with a candidate. 

“We talk a lot about the importance of establishing a process and being ready to execute it quickly when the time comes,” says Dirk. “From the beginning, I’m clear about the steps we’ll be taking in order to bring them candidates. We then collaborate to outline the expected steps once we present candidates. We stress that they must be prepared to act quickly — not just with respect to scheduling the interview, but also collecting feedback, scheduling follow-up calls, determining the offer, and then negotiating that offer. The process should be outlined before we reach this stage.”

The speed of a physician executive search largely depends on the client’s preferences and ability to act. By establishing a process in the early stages of the search, all stakeholders will know what is expected and be able to execute their parts quickly. 

Preparing for a Successful Physician Executive Search

It’s critical that organizations have a well-defined process for identifying and recruiting physician executive candidates. A good physician executive search partner can help to establish and execute this process. Much of this work is done on the front end of the search when administrators can expect to spend time defining the physician executive role for their specific organizations and outlining what the recruitment process looks like once a suitable candidate is presented. That is, what steps are needed for scheduling interviews, gathering feedback, and determining if, when, and what kind of offers are made? These questions must be answered early in the process in order to keep the momentum going when a candidate is identified. 

The physician executive search process requires patience and commitment from all stakeholders. By setting expectations early, all parties involved know what parts they will play and when they will be expected to play them, which is essential for a successful physician executive search.

Is your organization seeking to hire a physician executive? Reach out to the Physician Executive Search team at Jackson Physician Search today to learn how our experience and expertise, not to mention our relationships with physicians in all stages of their careers, can ease and accelerate your search. 

 

We recently spoke with Jackson Physician Search’s Director of Physician Executive Recruitment, Dirk Jansson, on this topic to find out what he thinks organizations should do to develop physician leaders. Keep reading for ideas on how to approach physician leadership training at your organization. 

Recognize Every Physician as a Potential Leader

Dirk observes that the corporatization of medicine has created a new generation of business-minded physicians. Gone are the days when physicians serve only to diagnose and deliver care. Now, physicians in every type of practice setting are well aware of the importance of growing the patient base, obtaining referrals and positive online reviews, and of course, the challenges of working within the parameters of what is and is not covered by a patient’s insurance. Because of this, every physician receives an education in the business of healthcare from day one.

Of course, what a physician takes away from this trial by fire will vary, and organizations will do well to get involved in shaping how the physician manages and responds to the opportunities and challenges presented. 

While not every physician will be suited for (or interested in) executive roles, most will benefit from expanding their knowledge of the business of healthcare, so as you develop a leadership training program, aim to make it accessible to everyone.  

Make Transparency a Part of Culture

According to Dirk, it’s critical that potential physician leaders have a clear view of how decisions are made at the organization. The best way to provide this understanding is to be transparent about the decision-making process. 

“Invite physicians to observe and participate in the meetings and conversations that lead to potential policy changes,” says Dirk. “Physicians need to see and hear what goes into decision-making at the organizational level so they understand how and why policies are formed and can give feedback on how their daily jobs and/or the patient experience might be impacted by those changes.”

Most physicians recognize that leadership’s decisions are never completely one-dimensional, but in witnessing the process firsthand, they broaden their understanding of the many considerations involved. The best way to train future leaders is to invite them into the conversation and let them see and hear for themselves how leadership grapples with complicated issues alongside ambitious goals.   

Leverage Formal Leadership Training and Mentor Programs

As the industry increasingly recognizes the value of physician leaders, some organizations have developed internal leadership academies and/or robust mentorship programs for interested physicians. In an article for the Jan/Feb 2020 Physician Leadership Journal (published by the American Association of Physician Leadership), Quint Studer, healthcare consultant and founder of the Studer Group, noted that most of the nation’s leading healthcare systems develop their leaders internally: “All of them have a wide, aggressive, robust leadership development [program] that creates a wider pipe-line than others. That’s really the key.”

Of course, a leadership academy will look different in every organization, but it should cover topics such as communication, conflict resolution, finance, negotiation, change management, and more. Smaller organizations aren’t likely to have in-house training programs at this scale, but they may offer tuition reimbursement for physicians who take relevant courses offered by universities or through associations such as the Association for Physician Leaders.  

One-on-one learning opportunities are also important. In a joint MGMA and Jackson Physician Search survey, only 43% of the administrators who reported having a succession plan said their plan included a mentor program. This often-missing element is critical for developing physician leaders. 

When it comes to formal training and mentor programs, it’s okay to start small. Focus on gaps in skills and offer training and mentorship to develop those specific areas. 

Developing Physician Leaders

Promoting physicians to leadership positions is admirable — and an excellent way to shrink the physician executive recruitment timeline — but giving a physician an executive title won’t magically transform him or her into a strong leader. If administrators hope to hire physician leaders from within, they must be prepared to invest in leadership training and development for physicians. This means treating every physician as a potential leader and offering them access to a committed mentor and formal training in an environment of transparency. 

“As the role of physician executive continues to evolve and expand, it becomes even more important for organizations to create an environment where physicians can learn the business and leadership skills they’ll need,” says Dirk. “Each organization will approach it differently, but providing a level of transparency that encourages physicians to observe and participate in the decision-making process is a strong first step.”

If you are seeking to hire physician leaders, the Physicians Executive Search team at Jackson Physician Search has the expertise to guide and accelerate your efforts. Reach out today to learn more.

“Most physician executives have followed this path because they want to make a difference,” says Dirk. “The jobs that appeal to them are those with worthy challenges where they can impact healthcare at the population level.” 

Organizations should first have a clear understanding of what they need the physician executive to achieve and be able to articulate short- and long-term goals for the position. If they can connect those goals to the organization’s broader mission — and highlight how success will improve healthcare access or delivery in the community — they are more likely to attract candidates who are up to the challenge.

2. Organization with a Clear Identity and Direction

Just as important as a worthy challenge is the physician executive’s alignment with the organization’s direction and identity. Of course, this requires organizational leaders to accurately assess the direction and identity of their organization, so candidates can better determine whether or not they are aligned. 

“The physician executives I speak to who are leaving positions after just 12 or 18 months are often missing this alignment,” says Dirk. “It’s not that they were intentionally deceived, but when organizations inaccurately evaluate their internal situations and/or external factors, they are more likely to lead candidates into thinking they are more aligned than they actually are.” 

To successfully recruit physician executives, organizations must be critically aware of their own identity and direction and be able to accurately convey that to candidates. 

3. Ongoing Transparency

Physician executives need to know how and why decisions are made in an organization. For a candidate to seriously consider a physician executive job, he or she needs to believe that the administration has put all its cards on the table and represents the organization/position in good faith. 

“Organizational leaders need to be clear about where they are and what they anticipate the challenges to be both internally and externally,” says Dirk. “Good candidates won’t shy away from the challenge, but they do want to know what to expect.”

Ideally, this kind of transparency is not limited to the recruitment stage but is an ongoing corporate value that is felt at all levels of the organization. 

The Ideal Physician Executive Job

Attractive physician executive jobs offer candidates an opportunity to positively impact patient populations on a large scale. For candidates to seriously consider the job, they want to know the organization has a strong identity and clear direction. Administrators should understand the importance of transparency in the recruitment process and beyond and be prepared to have honest conversations about how decisions are made and what challenges the organization is facing.   

“What makes a physician executive job attractive is often less about a flashy title or big numbers in the job ad,” says Dirk. “It’s just as much or more about the organization’s integrity and the opportunity to make an impact. This is what I’ve found drives so many physician leaders.”

Organizations seeking physician executives must have a well-defined physician executive recruitment process. The first step in this process should be developing a unified vision of the function and purpose of the role. Keeping in mind the qualities discussed here, organizations can create a physician executive job description that will attract high-caliber, mission-driven candidates who are sure to succeed in the role. 

Our Physician Executive Search team has the experience, network, and expertise required to provide organizations of all types and sizes with the physician executive recruitment support you need. Contact our team today to learn more.