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When Is It Time for the Board When Is It Time for the Board The Board Chair gets a call from the CEO to Face the Public? to Face the Public? Steve Rivkin w w w.Rivkin.net Senior Fellow, Health Communications & Marketing Strategy w w


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SLIDE 1

When Is It Time for the Board to Face the Public? When Is It Time for the Board to Face the Public?

Steve Rivkin

w w w.Rivkin.net Senior Fellow, Health Communications & Marketing Strategy w w w.EstesPark.org

The Board Chair gets a call from the CEO

“Harriett, the Med Exec committee just gave me a unanimous no-confidence vote. “They’re complaining about closed communications and

  • aloofness. And the Gazette

called, and wants to talk about my compensation. “I’m asking you to release a statement on behalf of the board, backing me completely.”

  • - CEO

“Harriett, the Med Exec committee just gave me a unanimous no-confidence vote. “They’re complaining about closed communications and

  • aloofness. And the Gazette

called, and wants to talk about my compensation. “I’m asking you to release a statement on behalf of the board, backing me completely.”

  • - CEO

Questions for this Session Questions for this Session

  • 1. Where do the “public” responsibilities of

management end … and those of the Board begin?

  • 2. When is it appropriate (or obligatory) for the

Board to speak publicly on behalf of the institution?

  • 3. How should the Board deal with the media?
  • 1. Where do the “public” responsibilities of

management end … and those of the Board begin?

  • 2. When is it appropriate (or obligatory) for the

Board to speak publicly on behalf of the institution?

  • 3. How should the Board deal with the media?

Management’s Responsibility to the Board Management’s Responsibility to the Board

  • What they should know
  • When they should know it
  • Input before output
  • What they should know
  • When they should know it
  • Input before output

Board’s Responsibility to the Community Board’s Responsibility to the Community

  • Proud to be operating in the

sunshine

  • Adamantly pro-disclosure, pro-

communication and pro- transparency

  • Proud to be operating in the

sunshine

  • Adamantly pro-disclosure, pro-

communication and pro- transparency

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SLIDE 2

Example: OhioHealth System Example: OhioHealth System

  • The Board passed a resolution regarding

physicians who compete with them by investing in for-profit, limited-service hospitals

  • Then the Board posted its point-of-view
  • n the website and spoke out
  • The Board passed a resolution regarding

physicians who compete with them by investing in for-profit, limited-service hospitals

  • Then the Board posted its point-of-view
  • n the website and spoke out

OhioHealth Board of Directors Takes Stand Against For-Profit, Limited Service Hospitals

“Trustees are empowered with special authority when it comes to telling the hospital story. You know the issues, you know the impacts. And chances are, you know the players in your community, too.”

Rich Umbdenstock, AHA president, in Trustee magazine (June 2011)

“Trustees are empowered with special authority when it comes to telling the hospital story. You know the issues, you know the impacts. And chances are, you know the players in your community, too.”

Rich Umbdenstock, AHA president, in Trustee magazine (June 2011)

“ Most important of all, your position gives you unrivaled credibility.”

Rich Umbdenstock, AHA president, in Trustee magazine (June 2011)

“ Most important of all, your position gives you unrivaled credibility.”

Rich Umbdenstock, AHA president, in Trustee magazine (June 2011)

_________________________ Most Hospital Situations Do Not Require a “Visible” Board _________________________ _________________________ Most Hospital Situations Do Not Require a “Visible” Board _________________________

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SLIDE 3

Basic Principle Basic Principle

  • The vast majority of hospital issues

are operationally oriented

  • They should be handled directly, and

exclusively, by management

  • The vast majority of hospital issues

are operationally oriented

  • They should be handled directly, and

exclusively, by management

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SLIDE 4

These Incidents Demand… These Incidents Demand…

  • Management’s attention, explanation

and reconciliation

  • Whereas the board’s role is to serve

as silent supporter:

  • Knowledgeable about the situation
  • Supportive of management’s plans
  • But with nothing to say publicly
  • Management’s attention, explanation

and reconciliation

  • Whereas the board’s role is to serve

as silent supporter:

  • Knowledgeable about the situation
  • Supportive of management’s plans
  • But with nothing to say publicly

_________________________ Some Situations Do Transcend Management _________________________ _________________________ Some Situations Do Transcend Management _________________________

An Ill-Advised Reaction An Ill-Advised Reaction

Hospital CEO Stern could not be reached for

  • comment. During an earlier interview, he said

he resented questions about his salary and said it wasn’t anyone’s business. As a non-profit institution, hospitals are required to file tax records that list salaries. Those records are public. Hospital CEO Stern could not be reached for

  • comment. During an earlier interview, he said

he resented questions about his salary and said it wasn’t anyone’s business. As a non-profit institution, hospitals are required to file tax records that list salaries. Those records are public.

  • - from the Page One article
  • - from the Page One article
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SLIDE 5

What’s Needed Here… What’s Needed Here…

  • The Board should step in and take

charge, in a visible and public way

  • And reassure the community that, in

effect:

  • Its interests are being protected by

wise and objective stewards

  • The Board should step in and take

charge, in a visible and public way

  • And reassure the community that, in

effect:

  • Its interests are being protected by

wise and objective stewards

What’s At Stake What’s At Stake

  • Is nothing less than the very

community trust that the Board, its chair, its vice-chair, etc., were entrusted to safeguard

  • Is nothing less than the very

community trust that the Board, its chair, its vice-chair, etc., were entrusted to safeguard

_________________________ Have you “Reached Out” to the Public? _________________________ _________________________ Have you “Reached Out” to the Public? _________________________

Existing Goodw ill Existing Goodw ill

  • Have you made “goodwill deposits”

in the bank of public opinion?

  • Been “out there” in the community?
  • Met with the media, perhaps jointly

with the CEO, for an annual “State of the Hospital” discussion?

  • Have you made “goodwill deposits”

in the bank of public opinion?

  • Been “out there” in the community?
  • Met with the media, perhaps jointly

with the CEO, for an annual “State of the Hospital” discussion?

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SLIDE 6

Reassurance Reassurance

  • Especially in a time of crisis, the

community needs to be reassured by the cool and calming presence of levelheaded individuals on the Board

  • Especially in a time of crisis, the

community needs to be reassured by the cool and calming presence of levelheaded individuals on the Board

Orientation Orientation

  • It should be clear that your

allegiance is to the community -- not to one side or the other, or to any of the quarreling parties

  • Public statement must reinforce

community interests first

  • It should be clear that your

allegiance is to the community -- not to one side or the other, or to any of the quarreling parties

  • Public statement must reinforce

community interests first

Tw in Commitments Tw in Commitments

  • To providing the highest quality

healthcare possible for the community

  • To keeping the community informed

throughout any major situation

  • To providing the highest quality

healthcare possible for the community

  • To keeping the community informed

throughout any major situation

Announce an Action Plan Announce an Action Plan

  • Your objective should be to get the

issue resolved (and out of the news)

  • You need an action plan and a

timeline to “fix the problem” -- a task force, outside expertise, new people

  • Your objective should be to get the

issue resolved (and out of the news)

  • You need an action plan and a

timeline to “fix the problem” -- a task force, outside expertise, new people

_________________________ Facing the Public: Some Do’s & Don’ts _________________________ _________________________ Facing the Public: Some Do’s & Don’ts _________________________

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SLIDE 7

1.Do speak with one voice 2.Do start with the staff 3.Do seek out your allies 4.Don’t speak on the record with

anyone and everyone

5.Do have a standby statement and

your MAPs (“Must Air Points”)

1.Do speak with one voice 2.Do start with the staff 3.Do seek out your allies 4.Don’t speak on the record with

anyone and everyone

5.Do have a standby statement and

your MAPs (“Must Air Points”)

Questions? Comments? Questions? Comments?