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April 1, 2004         

 

Are You Putting First Things First When You Are Hiring A Value Analysis Coordinator, Manager Or Director?

by Robert T. Yokl, President

I believe that highly effective healthcare organizations, “Put First Things First” as Stephen Covey would tell us, by investing training dollars in their most important asset “people”

A new trend that I’m observing in healthcare management today is  the hiring of value analysis coordinators, managers and directors to establish and manage their healthcare organization’s value analysis programs, then giving them the mandate or charge, “OK now that you are on-board -- go save us money”!

Larry Miles, the father of value analysis, counsels us that an individual that will be filling the positions of value analysis coordinator, manager or director requires a minimum of 40 hours of classroom instruction and 40 hours of on-the-job training for leading and coaching their value teams before they can become proficient as a value analysis practitioner.  Do these new hires for these positions have these kinds of credentials?

And if that’s not enough, these new hires should also be experienced value analysis trainers, because 80% of what a value analysis practitioner does is training, coaching, consulting and facilitating value teams so they can grow and quickly reach peak performance. Do these new hires in this position also have these credentials?

 

Putting First Things First

Since the starting salary for the positions we are talking about could range from $65,000 to $75,000 annually, I believe that highly effective healthcare organizations should, “Put First Things First”, by investing training dollars in their most important asset, “people”.

For a value analysis practitioner/trainer this investment in training would mean that the individuals in these “people sensitive” positions must be taught and must learn how to expertly and skillfully:

ü      Plan, organize, lead and direct their organization’s value analysis program without pushing and pulling their clinicians in the wrong direction

ü      Train their organization’s value team leaders and team members in the art and science of  value analysis and team building, so that they will grow in performance and purpose

ü      Deploy, facilitate, consult and coach their organization’s value teams to generate prompt action and peak performance

ü      Administer, maintain and sustain their organization’s value analysis program over the long term by cultivating commitment, discipline and order

ü      Maintain Documentation and Databases of studies and data collected that is imperative now and in the future for your healthcare organization.

The mastery of the above basic learning objectives by your value analysis coordinators, managers or directors is to insure that no key element of your value analysis program will be overlooked, neglected, ignored, forgotten or eliminated because no one had the responsibility to manage these critical functions for your value analysis program.

 

Ignorance Can Be Hazardous To Your Healthcare

Organizations’ Financial Health

It’s been my observation that healthcare organizations who haven’t invested in the education and training of their value analysis coordinators, managers and directors have found that this flawed decision not to educate or train them has stunted the growth of their value analysis program irreparably and caused them irreversible financially losses.

After a year or two an executive management team watching their anticipated savings machine come to a sputtering, coughing and wheezing end, then breathe its last breath and die, because their coordinator, manager or director didn’t know what they should of known.

This is just part of the story! To their amazement executive management then finds out that their value analysis program administration cost was $200,000 annually (sum of salaries, time expended and resources utilized), and only had meager savings and quality gains to show for their efforts.

No Wonder…Ignorance, blindness or naiveté can be hazardous to your healthcare organizations’ financial health. If you hire individuals to lead these mission critical programs that don’t have the requisite and essential training in art and science of value analysis, it can inhibit the growth and maturity of your value analysis program.

 

Is this also how you would select and hire your CEO, COO, CFO, CNO and CIO?  I don’t think so…

 

 

 

About the Author

Robert T. Yokl, President, The HCP Group, Ltd., has over 35 years of experience as a consultant and manager in the field of Supply Value Chain Management and is one of the country's leading healthcare experts in value analysis, value engineering, Non Salary Expense Reduction and materials management. He is the developer and program leader of the award winning Certified Value Analysis Practitioner Training Program™. Mr. Yokl is also the developer of the healthcare industry's leading ValueNetCentral™ Value Analysis Software. Over the past two decades he has trained thousands of healthcare managers in his patented Strategic Value Analysis™ and Team-Based Project Management™ processes and has assisted scores of organizations in developing their own value management programs. He has published six books, videos and audios on supply/value chain management. His latest book being, “ Strategic Value Analysis™: The #1 Smart Strategy for Taking Cost Out of a Healthcare Organizations’ Healthcare Supply Value Chain”.

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