Connection March 2011

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The Saint Thomas Health Services

CONNECTION We’re here for life. In This Issue: Message From Mike Schatzlein, M.D. Saint Thomas Heart and Go Red for Women l Symphony Go Live in January 2012 l Vitals Check from Alan Strauss l l


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A Newsletter For Saint Thomas Health Services Associates

CONNECTION Dear Fellow Saint Thomas Health Associate: When I came to Nashville and Saint Thomas Health in July, I committed to taking time to evaluate our current situation, our environment, and both our strengths and opportunities. As we approached the beginning of 2011, I worked with our Senior Leadership to refine my assessment of our Ministry and make plans for our future. It is now time to begin sharing with you our vision for the new Saint Thomas Health. Regarding our current state, I know from both observation and experience that our hospitals, staff and physicians provide outstanding clinical quality. We also excel at providing a superior patient experience. And we are particularly fortunate to have physicians who are not only so capable, but also committed and involved in helping to pursue our Mission. It is that Mission that is foundational to all our strengths. It drives this organization and it energizes, informs and inspires us all. Everything we do going forward will be designed to ensure our ability to fulfill that Mission now and for generations to come.

On the Cover: From left to right: Dawn Rudolph, President and CEO of Saint Thomas Hospital, Lisa Davis, Saint Thomas Health Services Corporate Controller and V.P. of Finance for Saint Thomas Hospital, Cindy Ferguson, wife of Middle Tennessee Medical Center’s President and CEO Gordon Ferguson, Anna Harb, Chief Nursing Officer for Saint Thomas Hospital, and Kathie Hirsch, Chief Nursing Officer for Baptist Hospital, in red as a part of Saint Thomas Heart’s Go Red for Women campaign.

There does seem to be a lack clarity about the reasons the facilities came together to form the network of Saint Thomas Health, and whether those reasons were good ones. Without a clearly articulated vision, even good strategies may have seemed vague or confusing. This lack of clarity is magnified by the momentous changes occurring today in the health care delivery system. In this issue of Connection, I’ll present a broad outline of our vision for a strong and vibrant future. More information will come in future editions of Connection as well as through many other channels. We’ve even set up a special intranet site, www.vision2015.sths.com, where you can find the latest. Right now it features the vision document accepted this month by the Board for use by its Strategic Planning committee. This is a very exciting time in Saint Thomas Health’s history. I look forward to working with each of you to realize the potential of this great organization as we continue our mission of serving the poor and vulnerable in our community. You, the associates, make our mission a reality. You are appreciated! Sincerely, Mike Schatzlein, M.D. President and CEO

Saint Thomas Health Services is a member of Ascension Health, the nation’s largest not-for-profit healthcare system. Our ministry includes Saint Thomas Hospital, Baptist Hospital,The Center for Spinal Surgery, Middle Tennessee Medical Center and Hickman Community Hospital. www.sths.com


Go Red for Women celebrates the energy, passion and power women have to band together and wipe out heart disease. Every year more than 1,000 Middle Tennessee women die from heart disease, but only about 20 percent view heart disease as a serious problem. By educating more women about this threat, Saint Thomas Heart is working to help more Middle Tennessee women survive heart disease. To learn more about Saint Thomas Heart’s commitment to the Go Red for Women movement, visit NashvilleGoesRed.org.

Saint Thomas Heart an d

Go Red for W omen

February was American Heart Month and Saint Thomas Heart celebrated at home and out in the community. Babies born on Feb. 4 at Baptist Hospital and MTMC were given red caps to promote awareness for heart disease.

Tuesday February 8 • S aint Thomas Heart Cooking School at Saint Thomas Hospital with Kitty Fawaz, Registered Cardiac Dietician, L.D.N and Chef Julian. •M TMC hosted a lunch and learn for the St. Clair Senior Center in Murfreesboro with Dr. Peter Robertson speaking on heart care.

Wednesday, February 9 • S aint Thomas Heart Cooking School at the Martin Center in Brentwood with Jenna Vandiver, Certified Nutritionist and Chef George with Dr. Tommy Thompson as the guest speaker.

Friday, February 11 •N early 200 women attended Saint Thomas Heart at MTMC’s Her Heart Luncheon with guest speaker Dr. Chester J. Falterman, cardiologist. •F ree Cardiac Screenings at Saint Thomas Hospital.

Wednesday, February 16 • S aint Thomas Hospital Cardiac Summit hosted over 150 community members at the all-day event with Heart Healthy Cooking School and provided free heart screenings.

Thursday, February 17 Tuesday, February 1 • S aint Thomas Heart at MTMC cardiologist, Dr. Britt Mioton, spoke at the Manchester Chamber of Commerce Membership luncheon to nearly 100 community leaders.

Friday, February 4 •N ational Wear Red Day. •B abies wore red caps at Baptist Hospital and MTMC. • S aint Thomas Heart Cooking School in Paris, Tennessee at Henry County Medical Center with Kitty Fawaz, Registered Cardiac Dietician, L.D.N. and Chef Julian.

Saturday, February 5 •N ashville Heart Ball at the Schermerhorn Symphony Center.

•H ealthy Cooking with MTMC “date night” provided over 20 couples with a heart-healthy recipe and dinner.

Friday, February 18 •R utherford Heart Ball at Embassy Suites in Murfreesboro.

Thursday, February 23 •U PS Brentwood – Free Cardiac Screenings.

On Feb. 8, Saint Thomas Hospital hosted a record 168 people at its Heart Healthy Cooking School.

Thursday, February 24 • S aint Thomas Heart at Baptist Hospital Cooking School with Jenna Vandiver, Certified Nutritionist and Chef George. Ranee Lassinger, NP – Saint Thomas Heart at Baptist Hospital was the special guest.


vita l s ch E C k A Message from Alan Strauss CFO of Saint Thomas Health Services

Keeping on Track— We have just completed our second quarter of operations on December 31, 2010. Saint Thomas Health Services income from recurring operations for the quarter was $16.5 million, compared to a budget of $8.8 million – a favorable variance of $7.7 million. This has brought our year to date performance to $21 million which exceeds budget by $5.7 million. While these results are positive they are driven by a significant one-time event from the sale of certain strategic assets. The proceeds from the sale were used to acquire additional shares in various ambulatory surgery centers thus expanding our presence in several markets. Patient volumes, in general, remained strong; however it is also important to note that the economy is still struggling and the level of support provided to the community through charity care continues to significantly increase. This quarter STHS provided $14 million in Community Benefit/Care to the Poor, which is $1.2 million more than budget. While this is somewhat reflective of the challenging economy, it is also a strong indicator of the continued commitment by STHS to provide quality health care to those in need. Once again without the support of each and every one of you, the challenges facing us would be insurmountable. It is through you that we continue to provide health care that works, health care that is safe and health care that leaves no one behind. From Administration we thank you for your support and commitment to this exceptional ministry.

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Saint Thomas Hospital Associates F e at u r e d

in

HealthStream Promotional Materials

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aint Thomas Hospital’s education partners, HealthStream, will soon be featuring Saint Thomas associates on their web site and in their marketing materials.

A creative marketing team spent a couple days at Saint Thomas Hospital taking pictures of associates in the Registration area, CT, HR, RN Training, the Maria Nathanson Center, the ED and the Pharmacy. HealthStream wanted to showcase “real people” doing their job in their materials. “Saint Thomas, an exemplary HealthStream customer, was the obvious choice for us when searching for a location to capture new photography. We are grateful to Saint Thomas for allowing us to use their beautiful facility and talented staff for our first-ever customer photo shoot. Our marketing approach at HealthStream,

to showcase real customers in their environment, was brought to life through this opportunity. Thank you to everyone that participated,” said Kevin O’Hara, Senior Vice President at HealthStream.


Saint Thomas Health –

O ur F uture D irection P art

O ne

b y M i k e S c h at z l e i n , M . D .

Some of you may be concerned about the new

health reform law, the Accountable Care Act (ACA). My personal view is that the law is just a symptom of the problems in U.S. health care, not the problem itself. Our current health system is too fragmented, resulting in care that is more expensive and less effective. America cannot afford care that is provided this way and, worse, it isn’t serving the need of either caregivers or patients. For one thing, it puts more emphasis on treating disease than on keeping us healthy. One of the good things about the Affordable Care Act is that is encourages the formation of “accountable care organizations” (ACOs) that can coordinate and organize the care that is delivered to defined populations. With our hospitals, great physicians and extensive presence in our 68-county region, Saint Thomas Health is well positioned as an integrated delivery system to function as an ACO. I believe that this is the real reason that our hospitals and practices were brought together: not to consolidate services or cut costs, but rather to meet the coming challenges of accountable, coordinated care, focusing on quality, service and value.

It is not possible to provide holistic, reverent care that is safe without an integrated electronic clinical information system that provides all the relevant information in real time. Our new ACO will be dependent upon a fully integrated information system. At present, we do not have sufficient connectivity within our organization or with affiliated physician practices. We have, however, already begun the process of developing web portals for our physicians; these will be followed by specific portals for our patients and consumers.

I believe that this is the real reason that our hospitals and practices were brought together: not to consolidate services or cut costs, but rather to meet the coming challenges of accountable, coordinated care, focusing on quality, service and value.

The best integrated delivery systems will provide what some call a “patientcentered medical home” (PCMH). That’s a conveniently located place where all providers coordinate the care for each patient under their care. Typically built around a primary care practice, the medical home promotes wellness and prevention, provides education and helps patients navigate among specialists when specialty care is needed. Each member is fully connected to their medical home by a robust web portal.

We are in the process of establishing a structure that will provide for patient centered medical homes and we have taken two important initial steps. The first is the revitalization of an associate wellness and fitness program so that Saint Thomas Health associates can be the first to enjoy the benefits of integrated care focused on helping them lead healthier lives. The second step forward is naming the leadership of a division with Saint Thomas Health that will work with our physicians to create a formal accountable care organization. Jason Dinger, who has brought so many of our most innovative ideas to completion, will lead the group called MissionPoint Health Partners. You will be hearing much about this in the coming months.

Our journey toward a refined vision will require significant capital investment in our hospitals. MTMC has a beautiful new hospital and Hickman Community Hospital has just undergone significant facility upgrades. We have a 5-year plan devoting tens of millions to keep Saint Thomas Hospital ahead of the current state of the art. This plan begins immediately with the construction of advanced “hybrid” operating rooms for cardiac services. A similar multiyear renovation of Baptist Hospital is in the planning stages. This summer, we hope to kick off this plan with renovation of much of the second floor to create true home for Saint Thomas Heart at Baptist Hospital.

A great deal of our recent success has been achieved through working with hospitals, physicians and communities in our broader region. We will be aggressive in the development of further relationships, expanding our chest pain, stroke and heart failure networks. At “home,” we will continue our efforts to improve our operating performance and, the good news is, we know where improvements can come and how to achieve them. We have utilized LEAN process improvement principles throughout our network and have seen the benefits when we reduce waste and variance. The cool thing about reducing variance in processes is that is has been proven to increase quality and improve outcomes. This effort becomes even more important as we face reductions in reimbursement from government payers and additional pressure from other third party payers. Finally, and foundational to all that I’ve outlined above, everything we do in respect to growth and margin improvement will be supportive of our Core Value of service to the poor and vulnerable. We will enhance our Family Health continued next page


O ur F uture D irection continued from previous page

Centers, collaborate with others who have similar mission and values and seek additional opportunities to expand our services to the poor. Thanks to each of you for your support of this marvelous Ministry. We are entering what might be the most challenging and exciting time ever for health care delivery in the U.S. and I look forward to working with you as we expand and enhance our services in pursuit of our mission.

Saint Thomas Health Services out in the

coMMUNity Associates Donate Time and Expertise to Help Nashville Community During Medical Mission at Home On Saturday, Feb. 19, an estimated 100 volunteers from across Saint Thomas Health Services served members of the Nashville homeless community at Holy Name Catholic Church. Medical services, along with dental, eye and foot care, were provided to close to 100 individuals in need of care. “This was an amazing day of mission work in Nashville,” said Nancy Anness, Vice President of Advocacy Access and Community Outreach. “The outpouring of caring and compassion from our associates and the community was absolutely heart warming. Truly, it demonstrates our continued commitment to service of the poor and vulnerable. Our volunteers were truly missionaries to those in need at our Medical Mission at Home. We look forward to our next Medical Mission at home in Rutherford County.” This was STHS’ fourth Medical Mission at Home where volunteers go out into the community to serve the poor and vulnerable. The next Medical Mission at Home is scheduled in Rutherford County in late spring of 2011. Stay tuned for more details and an opportunity to volunteer.

MTMC President and CEO Named Person of the Year

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he Daily News Journal has named MTMC President and CEO Gordon B. Ferguson as Rutherford County’s Person of the Year. Quoted in the article was MTMC VP of Mission Integration Timm Glover saying, “Gordon is the poster and the symbol of servant leadership. Gordon looks at his own work- and it spills over to us, too- as a calling and a ministry.” “The success of the new MTMC and the transition on Oct. 2 was 100 percent a team effort. I’m deeply appreciative of the time and energy every single person put into the project, and this recognition is just a reflection of that teamwork,” said Ferguson. Ferguson has served as president and CEO since 2006, overseeing the construction and relocation process, while also directing the establishment of multiple joint ventures and creating strategic plans to meet the needs of a growing patient population. He and his wife Cindy, a speech pathologist for Murfreesboro City Schools, have two sons, Andy, 15 and Robbie, 18 and attend First United Methodist Church in Murfreesboro. “While I am the CEO, it is really quite a privilege to lead this organization, in particularly with it being a faith-based organization. There is just good chemistry there with my own personal values and the values of the organization,” said Ferguson as quoted in the DNJ article. Effective Jan. 1, Ferguson also became chairman of the Rutherford County Chamber of Commerce Board of Directors. The Rutherford County Chamber is the third largest chamber in the state, representing more than 2,200 businesses. At the chamber’s annual Business at its Best event on Feb. 4, Ferguson will also be recognized as the Chamber’s Business Person of the Year.

Jack Keller Named Boss of the Year by Hickman County Chamber of Commerce

Hickman Community Hospital President and CEO, Jack Keller (right), was named ‘Boss of the Year’ by the Hickman County Chamber of Commerce Board of Directors at their annual Christmas Dinner on Dec. 7. Keller was nominated for the award by the associates of Hickman Community Hospital. Some of his accomplishments during his time at Hickman include: Hickman Community Hospital was the first Critical Access Hospital in Tennessee in 2000, became a part of Saint Thomas Health Services in 2002, and recently – after much fund raising – added a new emergency room and completed a hospital expansion.


S aint T homas H ea l th S ervices G ears U p

for Symphony

Go Live in January 2012

In 2010, Ascension Health announced

aren’t we providing high-quality care and winning awards for our patient outcomes? Yes, we are, and we should be proud of it.

the first group of health ministries set to roll out its Symphony initiative, a program designed to implement new operational practices in Finance, Human Resources and Supply Chain. Some processes currently taking place at the local level will move to the new Ministry Services Center in Indianapolis. Symphony will change the way Ascension Health hospitals and facilities connect with each other in these three areas. Saint Thomas Health Services was chosen as a beta site. Our health ministry will “go live” with Symphony in January 2012, just six months after the alpha site in Jacksonville. Leading up to Symphony’s implementation, associates in the areas of Finance, Human Resources and Supply Chain will be working to design and test the systems of Symphony. The changes will allow Ascension Health and its Health Ministries to reduce costs, increase efficiency of our operations and focus more resources on our patients and our mission. “The delivery of health care in the United States is changing and at Saint Thomas Health Services and throughout Ascension Health we have to operate more efficiently to sustain our mission. Symphony is essential to meeting that goal,” said Mike Schatzlein, M.D., President and CEO of Saint Thomas Health Services.

So why the need for change? The answer is that there are sweeping changes happening in health care and our economy that will have huge impacts on hospitals and physicians. And unless we act now to prepare for the changes, we will not be able to maintain the level of care we provide to the poor and all of our patients.

How Symphony Saves…

Ascension Health found that its ministries were purchasing 42,000 arm slings each year from hundreds of vendors. By using a disciplined process of bidding and product selection and then buying in bulk for all ministries, Ascension health reduced the total systemwide cost for arm slings from $4 million to $2.7 million.

Now that we are gearing up for Symphony implementation, a Steering Committee of stakeholders and subject matter experts has been formed to work with the Symphony team at Ascension Health as we transition our current systems to the new Symphony systems. In addition, a Communication and Change Management Council has been established to ensure associates are kept informed of new developments, upcoming changes and training programs throughout our transition.

Why Do We Have to Change?

Here are trends and changes which are impacting the bottom line of Saint Thomas Health Services: • Health care Reform – The new law will bring

about fundamental changes in the way health care is practiced. The focus on preventive care and expanded coverage to more Americans in 2014 are good things. At the same time, payments to hospitals from Medicare and Medicaid will be reduced substantially.

• Lower Reimbursement – Medicaid

reimbursements to hospitals have been reduced to the point that they do not cover our costs of providing care.

• Increased Competition – Middle Tennessee

is a highly competitive and rapidly changing market.

• Supply Costs – Supplies are a critically impor-

tant expense because we can save money there without impacting our care at the bedside.

“The trends we see now with reduced government payments for Medicare and Medicaid will make it extremely challenging for us to sustain our mission and continue to grow,” said Schatzlein. “The successful implementation of Symphony is extremely important to the overall success of our health ministry.” For more information on Symphony and answers to Frequently Asked Questions, go to LifeNet and click on the Symphony button under featured links.

As we hear about the changes coming with the Symphony initiative, you may be wondering why it is necessary. After all,

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Non-Profit Org U.S. Postage

PAID

P.O. Box 380 Nashville, TN 37202

Care for the Caregiver Saint Thomas Health Services Offering Voluntary Income Tax Assistance for Associates

Nashville, TN Permit No. 2116

W2’s

are now available online for Saint Thomas Health Service’ associates. Those who elected to receive their W2 by mail should be doing so shortly. Before spending your hard-earned dollars in letting a tax preparation company figure your income taxes, check out Voluntary Income Tax Assistance (VITA), a free program sponsored by Saint Thomas Health Services and Woodbine Community Center. The VITA program allows any associate whose 2010 family income is $49,000 or less to have their tax return completed free of charge.

A trained VITA volunteer will be on-site to prepare your return within 24-48 hours, return for your signature and file it electronically to speed up your tax refund. To take advantage of the VITA program, associates will need to complete an intake form and provide all appropriate tax information. Call or visit the Employee Service Center to learn more about the VITA program and what documents you will need to bring to complete the process. Contact the Employee Service Center at 222-STHS (7847).

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