Getting Your Culture Right for Healthcare Transformation.
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Transcript of Getting Your Culture Right for Healthcare Transformation.
2
Panel Members
• Reginald W. Coopwood, MD, FACS– President and Chief Executive Officer
Regional Medical Center, Memphis TN
• Lisa E. Harris, MD– Chief Executive Officer and Medical Director
Wishard Health Services, Indianapolis IN
• Anna Roth, RN– Chief Executive Officer
Contra Costa Regional Medical Center, Martinez CA
3
Breakout Session Objectives
• Learn a simple framework for understanding culture and the importance of getting it right for organizational transformation
• Compare your organization’s culture to a healthcare industry benchmark
• Learn about ways that leaders can change culture to support organizational transformation
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Corporate Values
• Communication• Respect• Integrity• Excellence
Do these look familiar?
They were Enron’s (espoused) Corporate Values!
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Culture is Often Hidden
Norms, Behaviors & Artifacts
Personal Values & Attitudes
Cultural Values & Assumptions
Visible & Tangible
Less Visible butTalked About
Not Visible andRarely Questioned
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What is Culture?
Culture is the shared set of beliefs, values, and behaviors that have contributed to the
organization’s success in the marketplace over time. It is a powerful yet invisible force that fosters cohesion, reinforces organizational
identity, and pervades every aspect of how the business is run.
“It is the way we do things around here.”
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Some Examples of Culture (Positive)
• The vision of the organization is widely shared and it provides meaning and direction to the work of staff.
• There is clear agreement on the right way and wrong way to do things.
• Different parts of the organization often cooperate to create change.
• Authority is delegated so that people can act on their own.
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Why is Culture Important
“Any competitor can duplicate our putting satellite TV’s in every seat, any competitor can duplicate our larger overhead bin space, any
competitor can duplicate our extra leg room, any competitor can duplicate our roomier leather
seats, but NO competitor can duplicate the culture and leadership we’ve created that
delivers the JetBlue experience to our customers.”
David Neeleman, CEO, JetBlue Airways
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Changing Perceptions of Business Culture
Behaviorally based, measurable, and manageable via deliberate leadership.
Result of thoughtful leadership, values orientation, and involvement of the entire organization in a focused direction.
Have strategic impact that must be managed to preserve business value and ensure success.
Intangible, esoteric, and difficult to manage.
Just happens.
Luxury when there is time
From… To…
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Why Address Culture Now?
The Opportunity:
Never Waste a Crisis - Great leaders knowthat significant opportunity liesin a world turned upside down.
Dr. Saj-nicole Jonichief executive of Cambridge International Group
The Approach:
Culture will have a significant impact on theorganization’s ability to effectively transform itself
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A Framework for Understanding Culture
Translating the demands of the business environment into action
Defining a meaningful long-term direction
for the Company
Building human capability, ownership, and responsibility
Defining the valuesand systems that are the
basis of a strong culture
© Denison Consulting, LLC. All Rights Reserved
12
Does Culture Matter? – Links to Performance
Innovation &Customer
Satisfaction
StablePerformance
Over TimeProfitability
ROI, ROE
Operating PerformanceQuality
Employee Satisfaction
GrowthMarket Share
© Denison Consulting, LLC. All Rights Reserved
13
Composite for US Healthcare Organizations
Percentile is the composite score as a
percentage benchmarked against the average of other
organizations.
© Denison Consulting, LLC. All Rights Reserved
14
Dynamic Tension
Dynamic Tension:
Linking the purpose, direction, and goals of the organization (top - down) to a shared sense of responsibility, ownership and commitment with all employees (bottom - up).
© Denison Consulting, LLC. All Rights Reserved
15
Dynamic Tension
Dynamic Tension:
Successful organizations learn how to cope with the dual problems of external adaptation (stimulate progress) and internal integration (preserve the core).
© Denison Consulting, LLC. All Rights Reserved
16
Changing the Culture Example – HealthPlus of Michigan*
• Core Business – provider of HMO and point-of-service health plans• Employees – 400• Opportunity – Stability in the industry in 1997 provided chance to focus
on internal infrastructure and monitor/measure an environment that could be continuously improved
• Results:– Below the 25 percentile for most all of the culture traits– Chose to focus on Mission first – strengthening the vision, developed a
strategy, communicated it to staff, and set individual performance goals for staff tied to the company plan
– Suffered a setback in 2001 from the pressures of intense competition– Continued the process with focus on specific areas such as Core Values and
Capability Development– By 2007, company was scoring higher than 85% of all benchmarked companies
* Published by Denison Consulting, Volume 3, Issue 2, 2009
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Changing the Culture Example – University of Maryland Medical Center*
• Core Business – Healthcare facility, 700 beds, 1,000 attending physicians, 300,000 patients per year
• Employees – 6,600• Opportunity – Poor financial and operating performance in late 1990’s led
senior leadership team to believe that culture change was needed• Results:
– Initially received low results on culture and leadership surveys– Goal – help leaders develop the skills and relationships needed to make
culture stronger and healthier– Implemented a comprehensive leadership development program– Organization needed to learn a new level of empowerment – authentic and
truthful conversations with viewpoints respected by senior leaders– Culture survey scores increased on 11 of 12 traits and net income increased
150%
* Published in the Organization Development Journal; Winter 2007, page 63
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Creating a Master Plan for Change
• Gain a full understanding of the current reality – what aspects of culture need to be strengthened to improve the success of the organization
• Determine the best place to start, typically Mission and Involvement
– Mission – shared vision for the organization of the future, with ambitious but realistic goals, that motivates staff and gives meaning and direction to their work
– Involvement – Accomplishing the shared goals and objectives in the organization through information sharing, cooperation, and empowerment
• Design the right programs and interventions to improve the culture
• Broaden the ownership of the transformation to all internal and external stakeholders
• Execute the plan and monitor results