Michelle_Obama_at_National_Craft_Museum _Delhi _2010I. Leaders Determine Culture

   The call was from top notch search executive Cindy Chandler. She asked about an ideal leader-type for Nashville's largest hospice,"Alive," after their tumultuous year and the CEO's departure.

   "The new President needs to turnaround culture and financials simultaneously," I offered. "But, the numbers will not improve until the culture does."

   Sensible as this seems, anxious board members often default to a terrible mantra: "No money. No mission."

   What had demoralized hospice caregivers and enraged the Nashville community was the prior CEO's advocacy of selling to a for-profit! The best charity leaders see their work as a mission calling not a job. 

   My nomination for what Alive needs? Someone like Michelle Obama. Cindy instantly recognized this example was self-explanatory. Leaders like Ms. Obama bring out our best the moment they enter a room. 

II. Success Example for Alive

   Big turnarounds can happen. When I came to Nashville to head its largest hospital, Baptist, I was met with shocking news: a $73,000,000 loss! Any leader, would need to be not just  "tough-minded, and tender hearted"* but inspirational and innovative.

   Staff competence was there. Morale was not. The prior CEO left a legacy of fear and near-bankruptcy. 

   Like a great sports team, our staff got fired up and innovative. Over just three years, we cut the loss to $30 million, then $4 million then netted $1 million. That was because all 4,000 staff got on board, energy was restored, morale was sky high, patient satisfaction was 90th percentile, quality levels were superb.

   Then, despite making timely payments to Bank of America on a $52 million loan BOA dropped a bomb: Pay now or face foreclosure. Unjustifiably, BOA became Scrooge. THAT is the little-known and only reason Baptist's success story became St. Thomas Midtown. 

   Once Alive turnsaround, public support and increased contributions will protect it from a BOA-type setback. 

III. Board

   Because board members do not run organizations, their biggest responsibility is CEO selection. The right choice means thriving, not just surviving.

   Hospices do not cure, they heal. Right now, "Alive" needs both. 

   Good luck to Cindy and the Alive board in finding a change-maker that will accomplish that. 

-Erie Chapman

*Martin Luther King  

 

Erie "Chip" Chapman Avatar

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One response to “Turnaround Leaders – Days 8-12”

  1. Liz Wessel Avatar
    Liz Wessel

    I am wishing Alive Hospice the very best. Hospice provides such holistic care, love , hope and support to patients and families at such a poignant and vulnerable time. It is succh a vital program and I hope that the community rallies to offer Alive the support it needs.This coupled with the right leader, board support and community support sounds very hopeful.

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