Attracting primary care physicians to your hospital
The adage for success in the real estate business is: Location, Location, Location. A similar stream is identifiable for successful Hospitals: Physicians, Physicians, Physicians. With healthcare reform extending insurance to millions, growing attrition rate of current physicians, and number of Americans 65 and older aging, hospitals are competing for primary care physicians.
The American College of Physicians projects a shortage of 35,000 to 44,000 primary care physicians by 2025. Additionally the number of Americans 65 and older is projected to reach 72.1 million by 2030 as reported by the federal Administration of Aging. That is a jump of 32.5 million from 2009 stats. This demographic faces chronic conditions more than any other which will promote the need for outpatient services.
Sg2, a Chicago-based health care information company predicts outpatient usage will grow 30%. In order to be ready for outpatient usage, an influx of patients and specifically an influx of patients requiring treatment for chronic conditions, hospital executives need a recruitment strategy that will attract and retain primary care physicians.
According to Steve Messinger, partner at the healthcare consulting firm ECG, primary care physicians’ two top priorities are fair compensation and some control in the flexibility of their schedule. Copper Queen Community Hospital did just this by offering a competitive salary of $175,000, payment bonuses, and had physicians on call only every seven weeks in order to retain departing physicians. The departures abruptly stopped.
Subsidizing electronic health records is another technique in acquiring primary care physicians. Under 2006 Stark laws, hospital may contribute 85% of electronic health record expenses. With electronic health records increasingly growing in popularity for better coordinated health care and often more efficient care, this subsidy is a great incentive for any primary care physician.
Once the primary care physician is on board, strive to mentor and help him or her understand the hospital’s dynamics and expectations. Have them get involved with the community, upper level hospital directors, and set up social engagements. Also allow them the freedom and creativity in assessing the best treatment practices for ailing conditions in a high quality and cost effective manner.
As healthcare matures the strategies to attract quality loyal physicians or physician group to one institution over another requires revaluation. As medical real estate professionals we are always looking to add insight and strategies to benefit the mutual success for us and our clients.
James Ellis, CEO, Health Care Realty Development Company, is a nationally recognized successful real estate investor and developer of medical office properties with a comprehensive knowledge of sophisticated real estate transactions, cost effective designs, and efficient property management.
Aaron Razavi is Associate Marketing Director at Health Care Realty Development.
Visit their blog at http://www.hcrealty.com/medicalrealestatedevelopment/
