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Article #377: Health Care & Higher Education: Different Industries, Similar Profiles

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Introduction to dynamic marketplace conditions. In
Over the past several months, members of academia, the president requires input
Phillips & Associates have remarked on a from faculty members. With decisions made
growing trend: mid- to senior-level by committee, change can come slowly. In
managers and administrators are these dynamic industries, however, it is
successfully making the transition imperative that organizations move
between the health care and higher quickly to mitigate risk. In addition,
education industries when seeking new the administrators of higher education
career opportunities. and health care facilities must deal with
We were curious about this phenomenon and a unique group of service providers,
decided to investigate further. We spoke physicians and professors, who are often
with leaders who had moved between the independent, entrepreneurial, and
two industries about their reasons for somewhat autonomous.
making the switch. We also talked with The types of roles in which people have
folks about the similarities and made successful transitions from one
differences between the two industries. industry to the other are varied,
We want to share with our clients the including support services, development,
insights we are witnessing in the information systems, facilities and
marketplace. We believe that this finance. Having worked in both
information will change some of the ways industries, Cheryl Hoffman, former Chief
you look at recruiting, as well as the Financial Officer at Beth Israel
way you look at future career Deaconess Medical Center and now Finance
opportunities. Dean/Chief Financial Officer of the
Health Care And Higher Ed: What Faculty of Arts & Sciences at Harvard
Similarities Do They Share? University, provides this view: "The
The health care and higher education leadership structure within the
industries share a similar profile and departments is very similar between the
nowhere is that more apparent than in New two industries. For example, the
England. In fact, some of the country's departments on the medical side are often
leading universities are located in New divided along clinical lines, such as
England. Many of these colleges and pediatrics and surgery, with a chief
universities also have prestigious heading each; on the faculty side, the
medical schools, such as Tufts, Boston structure is divided along department
University, University of Massachusetts, lines such as humanities and social
Yale, Harvard, Brown and Dartmouth, and science with a department chair of each.
they are affiliated with the area's top If you look at the roles and titles of
teaching and community hospitals. Gary administrators between the two
Vassar, Director of Human Resources at industries, you will see that health care
Children's Hospital, notes that the close and academia have parallel
affiliation between academia and health responsibilities: for example, both may
care also extends into the training of have a vice president in charge of plant
allied health professionals; now most and facilities or a vice president of
nurses and other non-physician providers finance." Another example in the finance
are trained in schools that are part of area is the controller or trust fund
university or college systems. In finance position that is similar in both
addition, many of the instructors for health care and higher education,
these academic programs are also especially given similar cultures,
practitioners. missions and operations.
Besides sharing a close connection from Transitioning Between The Two Industries
an academic perspective, health care and The fact that there are so many
higher education institutions share many similarities between health care and
similarities in terms of organizational higher education is good news for
structure, philosophy or mission and professionals in both industries. Many
personnel needs. These similarities open people have successfully made the
the way to increased career opportunities transition from one industry to the
for seasoned organizational leaders, other. The skills required for mid- to
especially during these times of strong senior-level administrative positions are
demand coupled with a limited supply of complementary and applicable to either
professionals. For this reason, many industry. The cultures are similar, as
employers are seeking to hire people from are the roles within the operations area,
similar industries, rather than requiring often leading to a smooth transition for
specific industry experience. the new employee.
Health care and higher education MIT's Avakian believes that the essential
organizations are service providers. skills for many roles, such as human
Their success depends on their strong resources, purchasing, facilities
reputation and the satisfaction of their management, budget, and audit are easily
customers with the quality of the service transferable between industries. "The
provided. Quality is determined through nuts and bolts of the job are similar. I
consumer feedback and success rates. This have a friend in HR at a manufacturing
contrasts with many other industries, firm; she spends a considerable amount of
which are sales-oriented and time dealing with incentive compensation
product-driven in nature. and other for-profit issues. My job
Health care and higher education requires more time dealing with labor
organizations have to compete mightily employee relations and management
for customers, requiring these structure issues in higher education,
institutions to invest in the resources just as I did when I worked in health
that will help them be more care. Similarly, in the specialty fields,
qualityoriented, more cost-conscious, a research biologist here at MIT also
more customer service driven and more could work in health care."
innovative than their competitors. Mark Kostegan, President of the
Higher education and health care attract Healthcare Foundation of Cape Cod, hired
individuals with similar profiles. "The several professionals with higher
service mission of both health care and education experience into positions he
higher education tends to attract people supervised while at Children's Hospital
who are engaged in a social cause," and Massachusetts Eye & Ear Infirmary. "I
according to Laura Avakian, Vice looked into the academic pool for talent
President of Human Resources at the in the area of development and concluded
Massachusetts Institute of Technology that if you can raise money successfully
(MIT) and former Senior Vice President of in academia, you can transfer those
Human Resources at Beth Israel Deaconess skills to health care, and vice versa.
Medical Center and CareGroup, Inc. It's the same skill set, tactics and
"Employees at all levels have social good process. Basically it's a service-based
as an important cause in their daily environment with a strong social cause.
work." There are few obstacles to prevent
Both health care and higher education are someone from transitioning from one
labor-intensive industries, employing a environment to another. With the right
widely diverse population, in terms of skill set, you can be successful in
ethnicity, job function and level of either arena."
education. As Avakian explains, "You have Keene Metzger, Dean for Administration at
highly educated people at one end of the Radcliffe Institute for Advanced Study at
spectrum, such as doctors and professors. Harvard University and former Vice
On the other end of the spectrum, there President of Finance at Somerville
is a large population of culturally Hospital, acknowledges that switching
diverse individuals whose first language industries can be worrisome. One may be
is often not English. These are the concerned with the different skill base
dominant ends of the spectrum with and knowledge needed for the new
specialized folks in between, providing industry. As a financial officer for the
an interesting organizational structure, third time, but without experience in
which significantly affects policy academia, Metzger had this to add: "The
making. This is of particular importance key is to listen to the advice of those
since these industries are complex, labor who have been in the industry for a long
intensive organizations, where salary and time. There is a wide range of
benefits account for about 50% of the opportunities and if you listen to others
operating budget. Compare that to the you can benefit from their strengths and
airline industry, for example, which may knowledge. Keep your eyes and ears open."
be at 20%. In health care and higher Cheryl Hoffman agrees, "Be open minded;
education, you need hundreds of people learn and begin to understand the
with specialized skills at all different organization before you move forward with
levels to make the place run well." changes. New blood and new perspectives
Most health care and higher education can be very healthy for the organization
institutions are long-standing, as well for the individual."
not-for-profit organizations with rich This article is drawn from Phillips
traditions dating back one hundred years DiPisa's Thought Leadership Library. You
or more. Over time, they evolved into can find more perspectives on managing
complex organizations, where today's complex healthcare organizations
decision-making involves input from a on our Web site at
variety of key constituencies with a Phillips, DiPisa & Associates
variety of viewpoints. For example, 62 Derby Street
hospital administrators must involve Hingham, MA 02043telephone: 781-740-9064
physicians who may be reluctant to Copyright (c) 2007. Phillips, DiPisa &
embrace the changes required to respond Associates.






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