"Bill of Health"-The Business of Medicine
Thursday, February 23, 2006SUSIE GHARIB: Physicians are experts about the science of medicine. But as many are finding out, the business of medicine is a whole other matter. In his latest "Bill of Health" report, Jeff Yastine looks at efforts to change that.
JEFF YASTINE, NIGHTLY BUSINESS REPORT CORRESPONDENT: Between college, medical school and residency training, it takes about 10 years to become a physician. Yet in all that time, few doctors get an education on how to run a medical practice profitably. That is starting to change, as more universities around the country offer MBA programs with a focus on health care, like this one at the University of Miami. Many in this group are doctors for a chain of assisted living facilities.
JOSEPH STEIER, PRESIDENT, HOME QUALITY MANAGEMENT: We`re hoping they can take a lot bigger leadership role in problem solving, quality improvement, forecasting, expansion.
YASTINE: One survey found the number of doctors going back to school to pursue MBA degrees grew by more than 20 percent in recent years. At a few medical schools around the country, like this one at Nova Southeastern University, even residents -- doctors in training -- are learning the ins and outs of business, including things like billing codes for Medicare and HMOs and the basics of running a business -- bookkeeping, scheduling, efficiency.
DR. SAM PERNA, RESIDENT, NOVA SOUTHEASTERN FAMILY HEALTH CTR.: Part of the reason I chose this program is because they do emphasize teaching us billing and coding and all the sort of un-fun aspects, the nuts and bolts of how to make a living.
DR. HAFUSAT FAWEHINMI, RESIDENT, NOVA SOUTHEASTERN FAMILY HEALTH CTR.: To stay in practice, you have to be able to survive. To survive means you have to be able to financially keep up with everything, keep up with your staff, keep up with the overhead costs like the rent and electricity, the bills. If you start a practice and because you couldn`t pay all those things the practice closes, you`re doing a disservice to your patients.
YASTINE: Supervisors say there are practical as well as medical reasons for teaching business basics to residents.
JOSEPH DEGAETANO, ASST. DEAN FOR CLINICAL CURRICULUM/GME, NSU: It`s so critical for us to teach the business aspect because unfortunately or fortunately, depending on your perspective, if they`re not familiar, they really can find themselves in difficult situations when they graduate where they`re not going to -- remember our graduates have tons of debt. They`re going to struggle just trying to eke out a living and an existence.
YASTINE: In a survey last year, physicians said their biggest challenge they faced was juggling their dual roles as healers and business owners, so training in the ways of business may help them to do both jobs better. Jeff Yastine, NIGHTLY BUSINESS REPORT, Miami.
