1. Deb Collier, Director
Michigan Health Council

2.  Discuss the impact of physician turnover on
your practice and the community.
 Learn why the Patient Portability and
Accountable Care Act and the projected
physician shortage matter.
 Consider the top10 reasons why physicians
leave.
 Review how to recruit to retain.
 Realize what to expect without a retention
plan.

3. After enduring almost 4 years of recession,
downsizing, budget cuts and lowered morale, many
doctors are restless to move on.
As many as two thirds of the US Workforce would like
to change jobs.
Who are the 20 % of your physician workforce who
bring 80% of the value?

4.  Each physician generates an average of 1 to 1.54
million annually in health related revenue including
inpatient and outpatient revenue, and related
medical services i.e. nursing home, pharmacy and
therapies.
 According to Press Ganey, the total cost of
replacing one physician is over $250,000.

5. Survey results indicate that there is a 900,000 to 1
million dollar economic impact to the community by
each physician per year.
Jobs created by the physician as an employer.
Related jobs in the community which studies state at
8 – 13 per physician.
The impact of the physicians family spending which
includes education, housing, retail and entertainment
expenses.

6. Uncompensated Care
An additional factor frequently overlooked, is the
care which is delivered to disadvantaged patients by
physician practices.
A study by the Michigan Emergency Physicians,
estimated over 56 million dollars in non-reimbursed
care was delivered by their members.

7.  Negative reflection on the organization.
 Reduced referrals within health organization – keep
the patient in the system, keep the specialists busy.
 Direct recruitment costs ($22,500 plus).
 Patient access suffers.
 Patient Turnover.
 Gross Billings & Inpatient Revenue lost.
 Quality and continuity of care are impacted.

8. 30 million uninsured people
will have access to our medical system
in 2014 - 1 million in Michigan.
Over 50% of primary care physicians in
Massachusetts are closed to new patients.

9.  The Association of American Medical Colleges
predicts a shortage of 159,300 doctors by 2025.
 The US population grew 30% in the past 25 years.
 The older population in 2030 is projected to grow
from 35 million to 72 million and represent nearly
20 percent of the total U.S. population.
 The number of physicians graduating from medical
school has remained at 16,000.

10.  43,562 Physicians Licensed
in Michigan
 27,008 Active Physicians in Michigan (35% are
primary care physicians)
 46% of active physicians will retire within 8 years.
 47% of Michigan’s physicians are 55 years or older.

11.  260 PCP jobs for in Michigan today.
 Time to fill for FP & IM positions average 180 days.
Many specialty searches take 2 or 3 years.
 68% of Hospital CEOs say access to care is
compromised by a shortage of physicians.

12. GENERATION BORN AGE %
Traditionalists 1922-1943 85-64 7
Baby Boomers 1943-1960 64-47 42
Place a heavy emphasis on work and climbing the corporate ladder.
Generation X 1960-1980 47-27 29
They enjoy work, but are more concerned about work-life balance.
Millenials or Y 1980 – 2000 27-07 22
With technology can work anytime, anyplace. Most want long-term work
relationships, but favor more family time, less career ambition.

13.  62% don’t get enough feedback. (9 out of 10
millennials say they expect feedback once a day.)
 50% left because the practice was a poor cultural
fit. (poor hiring practices.)
 32% want to be closer to their families.
 26% sought more money – low reimbursement.
 26% not feeling valued – lack of respect.

14.  22% seeking a better community fit.
 18% left because of lack of trust in senior leaders.
 8% want a work schedule that is more compatible
with their lives.
 6% felt call requirements were excessive.
 6% Not using their talents, not learning/growing,
and/or not seeing a realistic future.

15. Define the practice opportunity.
 Define the qualifications necessary, work
expectations, work duties, compensation and
benefits.
Really interview the candidate.
 Why do they want THIS job?
 What do they bring to the position?
 Why are they looking and what do they really want?

16.  Recruit the family
◦ Screening the spouse for career objectives.
◦ Identify educational needs.
◦ What do the kids need? Sports? Music?
◦ Are Grandma and Grandpa coming too?
If Mama ain’t happy …

17. A thorough orientation to your practice
and the hospital will:
 Set the stage for a smooth beginning.
 Establish the office culture and expectations for
performance.
 Begin the relationships which are critical to build
support, referrals and success.
 Create a welcoming environment.

18. “As the economy perks up,
it appears that rates of physician turnover
rise with it….
improvements in the marketplace make it more
conducive for physicians to retire or relocate.”
American Medical Association, 4/2011

19. Since 2005 , the part-time workforce
has grown by 62%.
Medical groups who are successfully hiring and
retaining physician are the ones who provide flexible
practice models that support lifestyle choices made
by physicians throughout their career.

20. 83% of medical groups will hire more physicians
indicating an already competitive market will be
come more so.
Turnover is lower for medical groups who assign a
mentor with written goals and guidelines.

21.  Decreased morale.
 Reduced productivity.
 Increased performance issues.
 Declining patient satisfaction.
 Negative practice image.
 Inability to recruit.
 Lack of physician leadership.
◦ Community
◦ Hospital
◦ Staff

22.  Trinity Mother Frances Hospitals and Clinics;
Tyler, Texas
◦ Set aside $100,00 for a retention program - $300 per
physician reducing turnover to less than 4%.
 Memorial Healthcare, Owosso, Michigan
◦ Two years after implementing a full retention program,
increased physician satisfaction by 20%.
 Banner Healthcare; Phoenix, Arizona
◦ Turnover was at 10%!
◦ One year after implementing an “On Boarding” program,
not a single new physician left BMG.

23. “A company with a high inspiration factor
attracts and keeps good talent and it’s
employees forge long-term profitable
relationships with customers.”
Terry Barber is the Chief Inspirator
for Gizzard Communications Group

24. Deb Collier
800-479-1666
Deb.Collier@mhc.org
Kimberly Benjamin
517-827-0468
kbenjamin@mpca.net