New Research Highlights Significant Gaps in Preparing Physicians for Leadership Roles
In the ongoing quest to improve healthcare delivery and meet the needs of the population, experts widely recognize that physician leadership is an essential component. Adding physicians’ clinical perspectives to the boardroom ensures administrators understand the potential impact of their policies on clinical staff and patients.
Research consistently confirms the value of physician leadership, but finding qualified candidates to fill these roles is undoubtedly difficult. As Vice President of Physician Executive Search at Jackson Physician Search, I am proud to help my individual clients overcome the challenge, but on a broader scale, questions arise about whether there are enough physicians with both the desire and the training to lead us into the future. These questions led Jackson Physician Search and the Medical Group Management Association (MGMA) to conduct a survey in August of 2024. We surveyed more than 300 administrators and physicians to learn how physicians feel about leadership roles and find out what the industry is doing to develop them. The findings reveal that leadership training is not widely available despite strong interest from physicians. The report, Developing the Next Generation of Physician Executives, also sheds light on what some organizations are doing to prepare tomorrow’s leaders successfully.
Physicians Show Strong Interest in Leadership
According to the research, two-thirds (67%) of practicing physicians expressed an interest in pursuing leadership roles. Their interest is motivated primarily by a desire to have a voice in organizational decisions (69%), to have an impact on the community (49%), to build and sustain culture (42%), and for higher compensation (42%). Departmental leadership roles are most desirable (64%), followed by advocacy roles (43%) and executive management at the clinic or hospital level (42%). Executive management roles at the system level were less appealing, with 28% expressing interest. Only 18% expressed a desire to be a chief executive at the system level. Clearly, many physicians see themselves as future leaders at some level, but how are they preparing for those roles?
Significant Gaps in Physician Leadership Training
Few will be surprised to learn that medical school focuses almost exclusively on clinical expertise and touches little, if at all, on business and leadership skills. In the new research, just 18% of physician respondents said they had access to any business or administrative training during medical school. This leaves physicians to either pursue additional formal education or acquire business and leadership skills on the job.
Considering the time and tuition invested in formal education, learning leadership skills on the job is preferable. Yet, only 21% of respondents said their organizations offered formal physician leadership training. This aligns with an MGMA STAT poll published earlier this year in which only 23% of medical practice managers said they had a formal program for physician leadership development.
How are Organizations Filling the Void?
Despite the fact that few organizations focus on developing physicians as leaders, two-thirds say they hire physician leaders from within. This fact reinforces the need for internal training programs, but what exactly does a formal physician leadership training program look like?
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Internal Physician Leadership Training
Of those organizations that do offer formal training programs, the most common elements are leadership/executive coaching (76%), physician leader mentoring (63%), and individual assessments (63%). Group learning and workshops, simulations, or role-playing exercises were also common (54%). Not surprisingly, the more elements an organization has in its training program, the more likely it is to place a high value on physician leadership in the organization.
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External Education
Half of the organizations represented by the survey respondents encourage physicians to pursue external leadership training by offering to cover some or all of the cost, either through a CEU allowance (80%), direct reimbursement (59%), or dedicated PTO for continuing education (46%). While just 33% of respondents said at least some physician leadership positions require advanced degrees (in addition to an MD or DO), the offer to pay for external training indicates they do value the additional education. Beyond formal education, certifications such as the Certified Physician Executive credential from the American Association for Physician Leadership (AAPL) also hold value, the extent of which was explored in a report published earlier this year by AAPL and discussed on the Jackson Physician Search blog.
Developing Tomorrow’s Physician Leaders Today
The new research indicates general agreement about the positive impact of physician leaders. It also shows that most organizations prioritize hiring physicians in leadership roles. The healthcare industry’s growing need for physician leaders is evident, but the path to cultivating these leaders remains underdeveloped. As a result, finding candidates for physician leadership jobs is a significant hurdle. While physicians express strong interest in leadership roles, they have limited access to formal training opportunities.
However, some organizations are taking proactive steps, offering internal programs and supporting external education to bridge this gap. As the demand for physician leadership intensifies, it is crucial for more healthcare institutions to prioritize leadership development, ensuring that the next generation of physician leaders is equipped to meet the challenges of the evolving healthcare environment.
If your organization is seeking physician leaders, the Physician Executive Search team at Jackson Physician Search is eager to leverage our considerable network to help you find the best candidate for your organization. Reach out today for more information.
About Tom Rossi
Tom Rossi has over three decades of dedicated experience in recruitment and leadership within the healthcare sector. Prior to joining Jackson Physician Search as the Vice President of Executive Search in 2023, Rossi served as National Vice President of Physician Recruitment for HCA Healthcare for 20+ years. Before spearheading physician and provider recruitment, Rossi played a pivotal role in HCA’s executive recruitment division and spent six years prior to that leading a team of executive recruiters for a professional services firm.
Outside his professional endeavors, Rossi engages in meaningful volunteer work, contributing to organizations such as Football Parents at Ohio State (FPAOS) and Habitat for Humanity. Rossi cherishes family life and is a proud parent of three adult children.
