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Anatomy
of a Physician Consultant Relationship
by
Keith Borglum
According to a
Medical Economics poll "more than 80% of doctors who
have used practice management consultants are tickled pink by the job
they did". This high level of successful relationships may be due to
the fact that physicians are very used to using clinical consultants
on a day to day basis and may transfer those communication skills to
their business relationships.
There are those though, as indicated by the Medical Economics poll, that do not
experience a successful relationship. In some cases this is due to consultant
incompetence or error. Other disappointments may stem from personality conflicts,
hiring the wrong type of consultant for the task or not having the consultant
agree with the doctor's pre-determined solution or agenda. Proper goal setting
and hiring procedures will avoid most of these problems.
There are consultants for every need you can imagine and then some. The Professional
and Technical Consultants Association lists over 360 different types of consultant
and they barely scratch the surface. Despite the diversity of available expertise,
physician demand falls primarily into a few categories:
Increasing productivity and/or profitability
improving internal systems and reducing paperwork
staffing issues (hiring, retention, discipline, firing and compensation)
associating/group formation/associate relations
With these or any other need, there are a few rules that will allow a physician
to get the most out of a consulting relationship. They are:
1) Realize when help would be beneficial and get it.
2) Get the best qualified expert available. The most expensive advisers are often
the least costly in the long run.
3) Check their references.
4) Keep your consultant fully informed. Communicate frequently to keep them on
track.
5) When you have properly hired, involved and informed the consultant and they
give their advice, take it.
Case
Study #1. Solo Family Physician With Decreasing Patient Load
Problem: Dr. A knew why his practice was shrinking. Kaiser, an urgent care center,
a large multi-specialty clinic and another physician had recently entered his
area. He just didn't know what to do about it.
Solution: His consultant first got Dr. A to modernize his image. Fresh paint
throughout, new furnishings attractive plants and abundant patient education
literature for the reception area were installed. The doctor and staff were trained
in advanced communication techniques and guest relations to make new patients
feel welcome and let existing patients know that their referral of family and
friends were encouraged. Scheduling procedures were instituted that prioritized
new patient visits. Only then were discreet external marketing programs instituted
that attracted lots of new patients to the office. The new patients liked what
they found and stayed.
To his credit, Dr. A never let up. He no longer takes the busyness of his practice
for granted, and continues to strive for improvement, except in one way. With
his consultant's assistance, he clarified for himself that with his personal
style, he would remain solo rather than add associates or join a group.
Case Study #2: The Bungled
Retirement
Problem: Dr. B, nearing retirement age, determined to get his practice appraised
and sold before the anticipated deluge of doctors leaving practice occurred.
Solution: Dr. B had his CPA, a good accountant, appraise his practice. His CPA,
never having appraised a medical practice before, used the wrong formula and
priced the practice too high. Dr. B then tried to sell the practice himself but
had no takers because of the price and an inadequate effort. Word got out into
the local medical community, then the lay community. Patients steadily changed
providers until there were inadequate numbers left to support the practice, at
which point it folded.
Case Study #3: Almost
A Group
Problem: A loosely knit group of solo and partnership internists had been discussing
forming a group for a number of years, but never could quite get it going.
Solution: An aggressive local hospital constructing a new medical office building
wanted the physicians in it and retained a consultant on the physicians' behalf.
The consultant organized a series of presentations to the physicians to clarify
goals and benefits that could be expected and how a group could actually be a
reality. He then worked with a handful of practices who were most interested,
confirmed their suitability, and got them to individually conform to uniform
operational protocols that would allow for an easier merger. Simultaneously group
discussions were held on the details of group practice. This allowed the participants
to become better acquainted and more comfortable with each other and the feeling
for group involvement before making the big commitment. They finally did merge,
much to their benefit.
Author Keith Borglum is a consultant and medical practice appraiser with Professional Management and Marketing, 3468 Piner Road, Santa Rosa California 95401.
Keith is a member of the National Association of HealthCare Consultants, the AMA's Doctors Advisory Network, the American Academy of Family Physicians Network of Consultants, the American College of Physicians Managed Care Professional Advisory Network, the Business Appraisers Institute and an affiliate of the Medical Group Management Association.
Phone 1-707-546-4433 for consulting and appraisal information.
Permission is granted to reprint or quote any portion of this article provided that the author, firm, phone and city are named and two copies of the quoting journal are immediately mailed to the author at 3468 Piner Road, Santa Rosa CA 95401.
