FACHE Board of Governors Exam Study Group

1. FACHE Board of Governors ExamStudy Group Management Module Speaker: James B. Burke, FACHE Chief Operating Officer Hahnemann University Hospital

2. Agenda • Objective, Purpose and End state • Overview and Management Module Structure • Study material on Management Module • Review sample questions • Additional references

3. Tonight’s Study Group • Objective • The FACHE study group will use their knowledge and experience to thoroughly study the Management Module of the BOG Exam • Purpose • To achieve a level of comprehension valuable to both our exam prep and our professional development • End state • Study group members will be able to pass questions from the Management Module

4. Overview Management This area covers general management principles, planning, organizing, directing, and controlling in addressing overall organizational objectives.

5. Management Module Structure Management Knowledge (30 of 200 Questions) • Knowledge of: • Implementation planning (e.g., operational plan, management plan) • Contingency planning (e.g., emergency preparedness and response) • Organizational systems theory and structuring (e.g., span of control, chain of command, interrelationships of organizational units) • Management functions (e.g., planning, organizing, directing, controlling) • Leadership theory and situational applications • Team-building techniques • Mediation, negotiation and dispute resolving techniques • Potential impacts and consequences of decision making in situations both internal and external • How an organization’s culture impacts its effectiveness • Ability to: • Analyze and evaluate information to support a decision or recommendation • Distinguish relevant from irrelevant information • Integrate information from various sources to make decisions or recommendations

6. Mgt Functions & Decision Making • Five Management Functions • Planning • Organizing • Controlling • Directing • Staffing • Must juggle all functions • Decision making binds together and enables these functions

7. Decision Making • Decision making is subset of problem solving • Problem Solving Framework • Problem analysis • Course of action development • Decision making • Evaluation of results using explicit + measurable criteria

8. Skills, Roles and Competenciesof Leaders and Managers • Managers • Caretaking, status quo / transactional? • Leaders • Visionary, dynamic / transformational? Senior Leaders / Managers must be able to operate in both roles

9. Skills by level • Conceptual Skills • Interpersonal Skills • Technical Skills • Senior Managers heavily use conceptual skills • Middle and entry level managers evenly mix all three skills

10. Roles • Interpersonal Roles • Figurehead • Influencer • Informational Roles • Monitor • Spokesperson • Decisional Roles • Entrepreneur • Negotiator Successful leaders / managers integrate all these roles smoothly

11. Competencies • Conceptual • Technical • Managerial • Clinical • Interpersonal • Collaborative • Political • Commercial • Governance

12. Sources of Power • Leaders are able to influence behavior through authority or power • Sources of power: • Legitimate / formal • Reward • Coercive • Expert • Referent

13. Using Power • Most leaders have blended sources of power • Risks and benefits of using types of power

14. Leader Traits • Assertive • Cooperative • Decisive • Dependable

15. Leader Skills • Intelligence • Conceptually skilled • Creative • Persuasive

16. Leader Styles • Likert’s continuum of leadership effectiveness • Autocratic • Benevolent • Consultative • Participative / democratic

17. Situational / Contingency Theory • Leader changes behavior according to situation • More sophisticated, flexible and effective

18. Designing Formal Organizations • Planning drives organizing, which in turn drives design of organizations • Senior Managers / Boards focus on: • Authority and Responsibility • Department structure • Coordination of relationships • Managers focus on: • Individuals, workgroups and workgroups clusters • Span of control

19. Organizational Design

20. Informal Organization • Reflects wishes and preferences or workers • Characterized by “dynamic behavior and activity patterns” (!!) • Informal and Formal Organization structures combine to form the reality of the actual organization

21. Strategic and Operational Planning

22. Strategic and Operational Planning • Strategic Planning / Management • Long term goals and direction • Strategic Issues Management (SIM) • Systematic process that proactively influences the external environment vs. reacting to events • (Google search / Amazon)

23. Strategic and Operational Planning • Operational Planning • Direction and activities of individual units and departments • Operational plan must be coordinated with, and is subordinate to, the Strategic Plan

24. Planning Characteristics

25. Contingency Planning • External Disaster Planning • Mass Casualty • Internal Disaster Planning • Earthquake • Hurricane • Staff food poisoning • Utility cut

26. Managers as Negotiators • Win-Win (Cooperative) • Win-Lose (Competitive) • Informal • Handshake / memo • Formal • Contracts

27. Conflict in Negotiations • Resource allocation • Money, goods, services • Psychological Dynamics – more difficult • Ego • Fairness • Appearances

28. Resolving Disputes • Legal…last resort; Negotiate first! • Alternative Dispute Resolution (ADR) • Used for decades for commercial disputes • Private, inexpensive, efficient • ADR Includes: • Binding and Non-Binding Arbitration • Mediation, mini trials, fact finding

29. ADR • Application of ADR techniques • Mediation good when ongoing relationship is desired • Binding arbitration required to resolve disputes involving malpractice

30. Management Study Guidelines • Understand the management functions and their link to decision making. • Know various management skills, roles, styles and contingency (situational) leadership theories. • Comprehend the concepts of designing and redesigning formal organizations. • Differentiate the formal and informal organization and how each can aid in achieving objectives. • Distinguish strategic and operational planning and know their elements and processes. • Understand contingency planning and its application in health services organizations. • Know the uses of negotiation and how managers use their skills as negotiators. • Understand alternative dispute resolution and the roles of mediation and arbitration.

31. Sample Questions

32. Sample questions http://www.ache.org/mbership/credentialing/EXAM/govselftest.cfm

33. References Management and Business • Haimann's Healthcare Management, Eighth Edition, by Rose T. Dunn, FACHE • Healthcare Strategic Planning, Second Edition, by Alan M. Zuckerman, FACHE, FAAHC • Health Services Management: Readings and Commentary, Eighth Edition, by Anthony R. Kovner, Ph.D., and Duncan Neuhauser, Ph.D. • The Leader's Change Handbook, by Jay A. Conger, Gretchen M. Spreitzer, and Edward E. Lawler III (This book contains chapters covering several knowledge areas.) • Leadership for the Future: Core Competencies in Healthcare, by Austin Ross, LFACHE; Frederic J. Wenzel; and Joseph W. Mitlyng • Managing Health Services Organizations and Systems, by Beaufort B. Longest, Jr.; Jonathon S. Rakich; and Kurt J. Darr, J.D., Sc.D., FACHE • Mastering the Negotiation Process: A Practical Guide for the Healthcare Executive, by Christopher L. Laubach • The Well-Managed Healthcare Organization, Sixth Edition, by John R. Griffith, FACHE, and Kenneth R. White, Ph.D., FACHE

34. References All Modules: • http://www.ache.org/mbership/credentialing/EXAM/booklist.cfm Exam Prep three-book Study Set: • The Financial Management of Hospitals and Healthcare Organizations, Fourth Edition, by Michael Nowicki, EdD, FACHE, FHFMA • The Well-Managed Healthcare Organization, Sixth Edition, by John R. Griffith, FACHE and Kenneth R. White, PhD, FACHE • Human Resources in Healthcare: Managing for Success, Third Edition, by Bruce J. Fried, PhD and Myron D. Fottler, PhD • http://www.ache.org/pubs/redesign/productcatalog.cfm?pc=WWW1-2115S