It's A Great Big Recruiting World Out There

I have been working with a consulting group at my new Hospital and I have been introduced to the concept of a "content expert."  As we discussed the utlization of these people in the structural reorganization of our medical group practice I was suddenly struck by the fact that I am one of those content experts.  In my everyday dealing with all things physician recruiting I am constantly called upon to offer my expert opinion of matters ranging from successions planning to networ development.  I dare say that any of my fellow recruiters who have been on the job 5+ years are also content experts.  Globally we can add to the chat banter by offering expert advice on content areas such as immigration and budgets.  Locally, we are also content experts in our own markets offering expert advice to CEO's, COO's and the rest of senior leadership.  Of perticular interest to me is the fact that the content expert constantly evolves and grows in his/her role.  We attend conferences, write, lecture and pontificate about the world of medicine and the struggles of recruitment therein.  Content experts can also be harnessed to push projects forward, restructure organizations, and maintain best practices.  In healthcare today our roles are more vital than ever.  Our knowledge is of worth to our employers and we are continuously needed to provide substance and credibility to everything from medical staff development planning to network growth and market share capture.  I am grateful for my place in this wonderful industry and I take this moment to share that gratitude with all of you who are grateful also.

CEOs & Other Healthcare Executive See Easy Money In Hospital System

In this age of public scrutiny about financial wrongdoings and at a time when Occupy Wall Street sends a strong message to corporations about greed there is a segment of the financial sector that still manages to break the rules day after day, healthcare.  In a day and age when a piece of newsworthy material can make it from Beijing, China to Los Angeles, CA in a viral second the headlines are full of hospital executives, accountants, CFOs and physicians stealing.  We call it embezzlement because it sounds nice as it rolls of the tongue but it is stealing no matter which way you roll it. 

Consider the case of Paul Cardwell, the former CEO of Powell Valley Healthcare in Powell, WY who is accused of embezzling nearly$850,000 from the organization¹. Cardwell authorized the spending of $847,934 for recruiting physicians, monies which were found to have been funneled to a straw company owned by Cardwell’s friends and then transferred to Cardwell by way of electronic transfer.  Cardwell is currently believed to be living in Thailand even though he has no ties to that country.

Consider the case of Carol Maultsby the former VP of Corporate Risk Management for Novant Health in North Carolina².  Ms. Maultsby plead guilty to eight state counts of embezzlement, admitting to stealing $620,000 from Novant.  Maultsby had set up a dummy company and authorized 50 checks of amounts between $12,000 and $13,000 apiece over seven years to be deposited into a back account under the dummy company’s name.

Consider the case of Richard Crabtree, Senior VP, COO for Christus St. Vincent Regional Medical Center who billed and collected $3.2M for claimed services that were never provided or grossly overestimated³.  The Great American Insurance Co. filed the lawsuit last month against former hospital executive Crabtree, Loretta Mares, her two brothers and five of their companies, according to the Associated Press. The lawsuit, which calls the fraud "a pervasive scheme," alleges that Crabtree and the other defendants engaged in the plot to misappropriate money from the start of his employment in 2002 until his termination in 2008. Although St. Vincent officials didn't comment on Crabtree's departure in 2008, the executive's termination coincided with St. Vincent's merger with the Christus healthcare group.

Further consider the case of Susan J. Morrison a former accountant for Michigan’s Munson Healthcare who in September plead guilty to charges of wire fraud and money laundering that totaled $1.1 million⁴. She transferred the money from Munson's Regional Healthcare Foundation's bank account to her former business, Great Lakes Bear Factory, between October 2007 and April 2011. She also made up false receipt accounts to cover up the theft.

If you think physicians are immune then consider the case of University of Louisville medical school physicians inappropriately used $4.8 million in Medicaid state funds for their own personal bonuses, diverting money away from indigent care⁵. Even more, the physicians used another $5.2 million for electronic records that would earn additional bonuses, according to the article.  Known as the repeat of the "Passport scandal," the accusations against University of Louisville physicians are similar to claims that nonprofit Medicaid managed care organization, Passport, transferred $30 million in funds to University of Louisville, University Physicians Associates, and other board members, according to the article. The groups repaid most of the funds to settle allegations by the Attorney General, who established the Passport transfer was illegal.

Lastly, consider the case of Marlene Rice Hoyle, 45, who was charged with embezzling $1.2 million from Jones Family Practice, where she worked for nearly 20 years, most recently as office manager⁶.  Hoyle, who pleaded guilty to five felonies on June 6, has been sentenced to four to five years in prison, according to the superior court clerk's office, with at least five years supervised probation following her release. Judge James J. Morgan also ordered Hoyle to pay more than $1 million in restitution, $100,000 of which she has already paid voluntarily.

The lure of money is a powerful thing when people face foreclosure, medical bills, dependant parents and trying to live a more “comfortable” life.  The occurrence of such theft marks us all and reminds us that those of us who work in healthcare are keepers of truth and decency within our organizations.  The crimes committed her are shocking not only because they violate the public trust but also because they are brazen and because they are only about money. 

Sources:

1.  Ilene Olsen.  “Former Hospital CEO Accused of Embezzlement.”  Powell Tribune [Powell, Wyoming] September 29, 2011.

2.  Michael Hewlett.  “Former Novant Executive Pleads Guilty To Embezzling Nearly $620,000.”  Winston-Salem Journal [Winston Salem, NC] February 21, 2012.

3.  Phaedra Haywood.  “Insurance Firm’s Lawsuit Alleges $3.2 Million Embezzled at Hospital.  Santa Fe NewMexican [Santa Fe, NM] December 29, 2011/

4.  James Russell.  “Munson Embezzler Gets Prison.”  Traverse City Eagle [Traverse City, MI] December 8, 2011.

5.  Deborah Yetter.  “Medicaid funds allegedly misused: U of L doctors used $4.8 million in Medicaid money for bonuses.” Courier Journal [Louisville, KY] September 29, 2011.

6.  Rebecca Clark.  ‘Woman Pleads Guilty to Embezzling $1 Million From Doctor’s Office:  DA Says She Has Nothing To Show For It.”  Shelby Star [Cleveland County, NC] June 7, 2011.

Can Social Media Expand Hospitals and Groups Presence

Many Hospitals and Group Practices are beginning to look at Social Media as a lifeline to patients and customers.  Clearly the use of social media in the health sector has increased overt he last five years and as interest grows so does the risk/reward equation.  Patient identity, patient records and employee interface all make the social media forum a place where risk management and marketing co-exist.  As we look out across the internet we can see several applications that social media has for hospitals.  Most prolific is sharing organizational news and services.  This allows hospitals and groups to engage in social media without creating any new content.  Sharing general news is a feature that allows healthcare organizations to post links to stories from local or national media outlets.  Most hospital also host community event and social media is a great way to promote an upcoming blood drive.  Success stories promote health and happiness and social media is an excellent outlet for stories about triumphing over illness or the success of an employee.  Lastly, customer outreach and awareness shifts the hospital's focus to being aware of what patients and other consumers are saying about the facility and their experiences and then responding appropriately.  Keep in mind social media can be used for so much more depending on the audience.

If you are thinking about entering the social media arena here are a few things to consider:

1)  Develop a social media plan that outlines the organization's goals and intended audience in using social media.

2)  Assign an individual or group accountable and responsible for posting content, monitoring usage, ensuring overall execution of the social media plan, and monitoring policy violators.

3)  Define which staff other than the accountability group or individual may participate in the organization's official social media.

4)  Identify which social media tools will be used to support the various goals listed in the social media plan.

5)  Include social media in all HIPPA privacy training.  Consider having staff sign a form after completion of the training.

6)  Ensure that privacy policies specifically address the use of photos of patients, staff, volunteers, and visitors, and that use without authorization is prohibited.

7)  Monitor social media for mentions, positive and negative, of the organization.

Hospitals and other healthcare organizations have begun to use social media in ways that attempt to meet consumer demand.  In doing so, they must create and enforce social media plans that define how engaged the organization will be, who its audience will be, and who will be responsible for managing social media outlets, as well as establish policies and procedures for managing risks related to privacy, reputation management, and employment issues.