Press Room

Owen Offers Foundation for Health Care Careers

Posted on September 06, 2006

By Paul Frankenberg

First appeared in the Summer 2006 issue of Vanderbilt Business magazine. Reprinted with permission.

Many signs point to career opportunities in health care: advances in medical science and technology, technology applications and electronic health records, evidence-based medicine, consumer-driven health care, and the aging population. The leadership role Owen is assuming through its Health Care MBA is supported by both industry leaders and industry trends and statistics. Graduates of this program will enter an industry where they will immediately learn and provide value to the system. This article is aimed at those both beginning a career in health care and those further developing a career or moving towards the executive rank.

Foundation for a Career in Health Care

Dean Jim Bradford, Jon Lehman, associate dean for Health Care, and his team, the Owen faculty, the Health Care advisory board, Vanderbilt's Law and Medical Schools, and alumni have come together to develop and properly launch a world-class program. Owen students are looking at the industry broadly with opportunities to dive deep into their functional interest(s). The student immersion is being well received as a differentiator to the four other nationally recognized programs: Duke, Northwestern, Wharton, and Emory.

During a recent lunch conversation with Manny Villafana, (founder of five public companies: CABG Medical, ATS Medical, Inc., GV Medical, Inc., St. Jude Medical, Inc., and Cardiac Pacemakers, Inc., now a division of Guidant Corporation), he shared the information that entrepreneurs and up-and-coming executives must also be well-versed across multiple functional areas. An individual can lead with depth in one area— legal, finance, or marketing, for instance—but must be conversant and knowledgeable across the entire functional spectrum to have career success and be chosen a leader of a health care organization.

Building a Career in Health Care

The Nashville Healthcare Council recently reported that "By 2012, one in every seven new jobs in the nation will be in health care." Labor statistics and forecasts estimate that between 2002 and 2012 there will be an increase of 22 million jobs, approximately 21 million of which will be service-oriented versus goods-producing. A total of 18.4 percent of the country's GDP is projected to be health care expenditures in 2013, up from 15.7 percent in 2005.

The growing percentage of health care expenditures to GDP, in addition to the advancements mentioned above are resulting in fast-moving opportunities for individuals interested in a health care career.

There are countless books on career advice, leadership, how to make more money, and find the career that best suits you. Success in the health care industry requires focus and concerted effort, just as in other industries. I believe three points are applicable to your career progression.

1) Understand that business is global.

While this is obvious to someone who works for GE or another international organization, how does this apply to the small business owner/employee or consultant who does not work outside of the USA? Recognize that many of your clients' customers, vendors, and competitors work and think on a global basis, so you need to think of their business in the proper context. McDonald's spent billions of dollars researching how to infuse French fries with vitamins and minerals and even an AIDS vaccine to vaccinate children in Africa. We do not think of McD's as a global biotech company; however, they obviously see how their business can cross boundaries. If you currently work for an international company, seriously consider a global assignment. At least put yourself in a role where you are exposed to international aspects of your business. You will gain real, hands-on knowledge of your business, cultures, competitors, and vendors, etc.

2) Possess high integrity and be on the front end of compliance.

Sarbanes-Oxley is here to stay, and business leaders understand the regulations, importance, and consequences of making poor decisions. Taking five dollars out of the petty cash fund, and overstating your sales numbers are considered violations. Speaking as an executive recruiter, I can tell you that background checks increasingly are more extensive and exhaustive. References no longer consist of two to three names you give a recruiter or employer. Those are clearly biased. Boards and senior management want to know that we have spoken with your previous supervisors, peers, subordinates, industry trade association heads/employees, and sometimes customers. One red flag around integrity/compliance can have a career limiting consequence.

3) Get past the rhetoric around leadership so that you truly understand and act like a leader.

The bottom line is that a leader is someone people will follow. When we consider candidates, we define leadership in a few different ways:

- Career path — have you been put in roles with increasing levels of responsibility and exposure to senior management?

- Working with others – have you developed people around you, so that when you are promoted or leave, there are one or two people groomed to take on your role? Additionally, what do your subordinates and others in your organization think or know about you?

- Visibility — are you known by senior management and/or the board of directors? Figure out who is driving business revenues and expenses and make sure you have some exposure at the top. The more you are known outside your functional area, the more your work and results will percolate upstream to senior management or the board.

Owen Alums Positioned as Leaders

With the school as the foundation, and individuals focusing on what it will take for them to succeed, Owen will inevitably see large numbers of alumni leading health care organizations.

Paul Frankenberg is president and cofounder of Kraft Search Associates, LLC, a retained executive search firm focused in the health care and financial services industries