PRIME 2005 Prioritize

1
PRIME 2005Prioritize Realign Incentives thru
Missions and Excellence

• Faculty Meeting
• January 31, 2002

2
Relevant AMC Experience CSC

• CSCs Recent Academic Engagements
• Baylor
• Washington University
• University of Pennsylvania
• University of Virginia
• UCLA
• Mt. Sinai School of Medicine
• Beth Israel/Deaconess Harvard
• University of Wisconsin
• Loyola Stritch School of Medicine/Loyola Univ Med
  Center
• University of Maryland School of Medicine/UMMS
• University of Florida College of Medicine/Shands
• New York Medical College
• Creighton University
• East Carolina University/Pitt Memorial Hospital
• University of Texas, Galveston/UTMB Medical
  Center
• West Virginia University/Ruby Memorial Hospital
• Medical College of Georgia/MCG Health

3
Project Structure
Dean
Steering Committee
Joint Project Team

• Agree on performance measures and compensation
  plans
• Outline communications plan
• Sell message decisions build acceptance
  awareness

• Support Steering Committee and design teams
• Coordinate with Funds Flow Project

4
Project Membership
Steering Committee

• Chair Marco Zarbin, MD, PhD Chair
  Ophthalmology
• Russell Joffe, MD Dean
• Fred Behrens, MD Chair Ortho
• Edwin Deitch, MD Chair Surgery
• Jerrold Ellner, MD Chair Medicine
• Sidney Mitchell, FACHE President CEO Univ
  Hosp
• William Reichman, MD Vice Dean
• Andrew Thomas, PhD Chair Pharmacology
• Gerson Weiss, MD Chair OB/Gyn
• Allen Abramson VP HR
• Larry Frohman, MD President, UPA
• Linda Luciano, MBA Exec Dir. Admin Fin
• Linda Reich, MBA Dir. Special Projects
• Maria Soto-Greene, MD Assoc Dean Educ
• Bill Stephenson, PhD Acting AD Research

Measures Comp Plan Design Team

• Chair Edwin A. Deitch, MD Chair Surgery
• William Reichman, MD Vice Dean
• Michael B. Mathews, PhD Chair Biochem
• Stephen Baker, MD Chair Radiology
• Andrew P. Thomas, PhD Chair Pharma
• Maria L. Soto-Greene, MD Assoc Dean Educ
• Bill Stephenson, PhD Acting AD Research
• Allen C. Abramson VP HR
• Marcia F. Blacksin, MD Radiology
• Catherine T. Marino, MD Medical Director, UH
• Howard Tepper Administration Medicine

5
Project Membership
Funds Flow Team

• Sponsor William Reichman, MD
• Chair Fred Behrens, MD
• Jane Bernheim
• Debra Johnson, MD
• Jim Lawler, CPA
• Linda Luciano, MBA
• Diane Omdal
• Joseph Rondinelli, MBA
• Mike Saulich
• Steve Schmidt
• Howard Tepper
• Jim Trotter, MBA, CPA
• Rich Wagner
• Kevin Wassong

• Vice Dean
• Chair Orthopaedics
• Dept Admin Ophthalmology
• Associate Dean of Clinical
• CFO University Hospital
• Exec Dir Admin Finance
• Dept Admin Microbiology
• Dept Admin Pathology Lab
• CEO UPA
• Dept Admin Orthopedics
• Dept Admin Medicine
• NJMS Business Manager
• Grants Contracts
• UMDNJ Controller Office

Implementation Team

• Sponsor William Reichman, MD
• IST Support

• Vice Dean

6
Long-term workplan
This begins a long-term process that typically
takes from 1-3 years to fully implement. The
actual timeline depends on existing school
initiatives and faculty willingness to change.
FY03 Implement Comp. Plan
FY04 Review Fund Allocations
FY02 Test Measures
Development Nov - Mar 2002

• Develop reporting systems
• Develop productivity measures
• Produce one-time financial and productivity
  reports

• Run shadow reporting period for compensation
  plans and productivity measures for selected
  departments
• Integrate information systems

• Initiate shadow run for remaining departments
  by 12/1/02 and Go Live with depts. that
  completed test
• Evaluate funding against departmental
  productivity
• Refine productivity measures as needed
• 1st year comp implemented with limited at-risk
  amounts

• Final comp plan rules implemented
• Review allocation of all School-wide resources
• Refine budget process as needed
• Refine productivity measures as needed

7
Comp Incentives Reside in a Context
Strategy to Build Enterprise

• Articulate Strategic Priorities w/ Financial
  Modeling
• Research Strategy
• Educational Strategy
• Clinical Enterprise Strategy

8
Some Lessons Learned Along the Way

• Chairs are a fundamental point of leverage for
  the institution
• Formulas inform, not replace, Chairs judgment
• Chairs (and division chiefs) must be clear about
  their expectations with faculty
• Make all institutional cross-subsidies explicit
  (transparency)
• Identify and align all sources of income with
  faculty performance by mission clinical,
  academic, research, administration, etc
• Recognize and reward individual performance
  excellence decrease comp for those who do not
  meet department or division-specific goals
• Reward academic excellence
• Ensure incentives can be paid out if department
  budget is met (retention issues handled by
  exception if budget not met)
• Although formulas recognize differences between
  clinical and research or between specialties, all
  faculty evaluated against a similar level of
  performance

9
Managing Our Resources
Key Question Does this reflect our values?
President Deans Challenge Deans
Perspective Chair manages the
Departments portfolio of talent
WHERE THE DOLLARS FLOW
WHERE THE EFFORT IS EXPENDED
P R E R O G A T I V E S
10
Productivity Metrics
A system of objective metrics, which can be used
for quantifiably evaluating faculty performance
in all areas - clinical, teaching research,
needs to be outlined.
ILLUSTRATIVE
RESEARCH
CLINICAL
EDUCATION
SERVICE/ADMIN

• Grant Dollars/FTE
• Salary Covered by Grant Dollars
• Space Productivity
• Grants Submitted
• Publications
• Intellectual Property
• Invitations

• RVUs/FTE
• Billings/FTE
• Collections/FTE
• Capitated Payments/FTE
• Collections/ Clinical Salary
• Panel Size/FTE

• Graduate Students Taught
• SOM Courses Taught
• Medical Students Taught
• Student Evaluations
• Contact Hours
• Performance of Students on Board Exams

• Intensity Duration of Defined Activities
• Clinical
• Research
• Education
• Community Service

frequently used measures
11
Our Approach to Data
Strive to get here!
There is no such thing as perfect data. Data is
useful to provide us with a direction for change.
12
What Do We Need From You?

• We will communicate the progress of the project
  periodically and will look for your feedback on
  the methodologies and the validity/usefulness of
  the results
• Understand that this is a work in progress and
  the preliminary results will not be perfect,
  future refinements are expected
• We welcome input from you regarding the process
  and want to hear your questions/concerns

13
Project Support Team
The Project Team for this engagement will be made
up of both CSC and NJMS staff.

• Phone 2-7026
• Office MSB A550
• (Located in Hispanic Center of Excellence)

• CSC Project Team
• David Hefner, Director 212-401-6119 dhefner_at_csc.co
  m
• Doug Pedersen, Project Manager 415-439-2893 dpeder
  se_at_csc.com
• Gene Corapi, Associate 212-401-6154 gcorapi_at_csc.co
  m
• Andrew Glass, Analyst 212-401-6369 aglass2_at_csc.com
  
• Richard Nuttall, Analyst 415-439-2894 rnuttall_at_csc
  .com

• NJMS-UMDNJ Project Team
• Linda Reich, Dir Special Projects 973-972-7093 rei
  ch_at_umdnj.edu
• James Trotter, Business Manager 973-972-4398 trott
  ejj_at_umdnj.edu
• Linda Luciano, Exec Dir. Admin
  Fin. 973-972-1147 lucianli_at_umdnj.edu

14
CSC Proprietary 10/9/2009 124335 AM
008_P2_CSC_white 14