NYC Health + Hospitals plans management makeover

Dive Brief:

  • NYC Health + Hospitals will revamp its management framework over the next few months, Becker’s Hospital Review reported.
  • In a statement to the publication, the health system said it is “redesigning [its] management structure to create a more efficient and financially sustainable organization that can direct resources where we need them most — at the front line of patient care.”
  • Senior leadership across H+H will propose reconfigurations of the management team. No layoffs are anticipated, officials said.

Dive Insight:

The announcement follows last month’s release of unaudited financial statements showing a $776 million operating loss in the fiscal 2017 first half. Roughly $78 million in municipal contributions brought the public health system’s net loss to $736 million.

The beleaguered system has weathered a string of bad news, from multi-year operating losses to an exiting CMIO’s criticism of launch preparations for a $764 million EHR system. And physicians have complained that the system’s quality goals are too high and threaten the loss of tens of thousands of dollars in incentive payments.

In November 2016, then-CEO Ram Raju stepped down and Stanley Brezenoff, a former president of the 11-hospital system, was named the interim CEO until a permanent replacement is found.

To help shore up its financial position, H+H outlined plans in April 2015 to extend evening and weekend hours and increase patient volume to 2 million by 2020. But with revenues trailing costs, that goal could fall short.  The management reboot may be an attempt to keep the turnaround on track.

Filed Under: Hospital Administration