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To Medical Center Employees:
At the July 20 communication meeting, the management team reviewed and discussed the draft pilot Medical Centerwide (Hospital Authority) incentive pay plan for Fiscal Year 2004 – 2005. The plan is now being fine tuned based upon input from the entire management team.  Key elements of the draft plan are highlighted below. 

The intent of the incentive plan is to help us develop a “cost conscious culture” throughout our organization with a focus upon enhancing patient satisfaction.  It is clear that achieving financial strength while providing excellent and compassionate care is the key to success. 

The incentive pay, while a relatively small amount for employees, amounts to a significant total funding commitment by the Medical Center. The incentive pay will be awarded if goals, as explained below, are reached. Perhaps most importantly, this pilot incentive plan will serve as a vehicle to underscore the important role all employees have in working as a team to accomplish our goals. 

Thank you very much.

W. Stuart Smith
Vice President for Clinical Operations
Executive Director, MUSC Medical Center
 

Pilot incentive pay plan for fiscal 2004-2005 set

The MUSC Medical Center will implement an organizationwide pilot incentive pay plan during fiscal year 2004-2005. 

This incentive plan will serve to place emphasis upon attainment of designated core organizational goals including the Medical Center’s financial target and patient satisfaction goals.  It is designed to be basic and simple to enable ease in communication and implementation. 

This organizationwide incentive plan is designed award a 1 percent lump sum payment (based upon annualized base pay rates) to eligible employees, if the goals are met. The plan is not a contract of employment and may be changed if necessary.

The continuation of this incentive plan will be based upon its success during fiscal year 2004-2005. In the event the plan is continued in the future, the financial target will need to be increased in keeping with financial targets for the Medical Center’s operational needs and patient satisfaction goals will be increased to a statistically reasonable level.

The purpose of the plan is to underscore the Medical Center’s goals to enhance patient satisfaction and to reduce costs, thereby improving the operating margin. Employee involvement in achieving these goals is critical.

Employees eligible to participate in the incentive pay plan include: 

  • “Permanent” and temporary hourly-paid employees who work (paid hours) 1,040 or more hours during FY 2004-2005 (July 1, 2004 – June 30, 2005). (Note: The 1,040 hours equates to a .5 FTE; however some employees may be reported in the system as a .5 FTE but fail to work 1040 hours).
  • Salaried employees must be in at least a .5 FTE position and in an active pay status throughout the fiscal year; or full-time and employed by Dec. 31, 2004.
  • Crothall (Environmental Services) and Sodexho (Dietetic) employees who work (paid hours) 1,040 or more hours during fiscal year 2004–2005.
  • Must be actively employed at the time the award (lump sum check) is distributed. (Employees on approved paid leave of absence will be eligible).
Employees not eligible for the incentive pay plan include:
  • Administrators and contract employees (e.g., travel and per diem) employees will not be eligible, except for Crothall and Sodexho as indicated in above.
Participation for eligible employees will be “automatic” and there will be no enrollment forms and/or incentive pay forms to complete for this organization-wide pilot incentive plan.

The Medical Center will fund the plan to enable a 1 percent “lump sum” payment for eligible employees provided predetermined organizationwide financial and patient satisfaction goals are met. The organizationwide goals include:

  • Achieving the financial target of a 3.5percent operating margin. Periodic reports will be disseminated on progress, including an array of issues that could impact the margin and examples of cost-savings opportunities. The audited financial statement will serve as verification as to whether the financial goal was met. This financial goal must first be met to enable funding of the plan.
  • A statistically significant organi-zationwide increase in the patient satisfaction scores as indicated by the NRC survey for the fiscal year must be achieved to reach the goal(s). For purposes of measuring the attainment of patient satisfaction goals, responses (average performance scores) to two key survey questions will be used to determine organizationwide perform-ance (overall combined measure). To the question of overall quality of care and services, the score must increase from the current 93.3 to at least 93.7. To the question, Would you recommend? The score must increase from the current75.4 to at least 76.1.


Organizationwide patient satisfaction score(s) and financial updates will be widely and routinely communicated.  Information will also be disseminated to provide examples of methods to address and enhance patient satisfaction and control costs.

Service areas including Adult Medical/Surgical; Pediatrics; Labor and Delivery; Adult ER; Pediatric ER, and Psychiatry will also monitor their service-specific respective NRC scores (as these scores impact upon the overall score).

Ambulatory Care may use another satisfaction survey instrument, but for purposes of this pilot incentive plan will rely upon responses to the NRC questions indicated above.

All departments/service areas will be encouraged to take initiative and use creativity with implementing tactics to enhance patient satisfaction and control costs.

Although the pilot incentive plan covers the FY 2004-2005 period (July 1, 2004 – June 30, 2005), the Medical Center cannot fully determine its operating margin (financial success or lack thereof) until the annual audit is completed. The audit should be completed on or around the August to September 2005 time frame. If goals are met, the 1 percent lump sum incentive will be awarded after appropriate verification of the audit results. Assuming goals are met, the specific lump sum payment date will be announced.

Lump sum checks for meeting the goals will be subject to state and federal taxes.  Retirement, insurance and other deductions will not be made. 

MUSC Food Drive for Charleston Crisis Ministries
The Office of Volunteer Services is collecting canned food and non-perishable items for the Charleston Food Bank until Aug. 1. 

Individuals may deposit food in containers outside of the Volunteer Office (101 Children’s Hospital) or call the office, 792-3580, for a scheduled pick-up.

Volunteers, the Medical Center management team, including managers, directors, administrators and guests, are invited to a team-building social from 6:30  to 11 p.m. Friday, Aug.13, at the Pelican Watch Shelter, Folly Beach County Park. There will be food, beverages and beach music. For details, call Kady Kuder, 792-0858, Susanne Banks, 792-7038, Christine Messick, 792-3120, Judy Garris, 792-3580, or Elaine Rudd, 792-3344.

OSHA's New Requirements for N-95 Respirators
On July 1 the Occupational Safety and Health Administration placed N-95 respirators under their General Industry Respiratory Protection Standard. 

Employees required to wear a N-95 respirator must now have fit testing performed annually and medical questionnaires must be administered by a registered nurse. Managers should have their employees annual fit testing performed in conjunction with their yearly competencies. Annual fit testing may be scheduled by contacting Occupational Safety and Health Programs (792-3604). A manager-designated registered nurse or infection control nurse must administer the medical questionnaire prior to fit testing. 

New employee fit testing should be limited to employees who have a potential for exposures to suspect or confirmed TB patients. Managers will be provided a list of current employees enrolled in MUHA's fit testing program and the dates they received initial fit testing.

Friday, July 23, 2004
Catalyst Online is published weekly, updated as needed and improved from time to time by the MUSC Office of Public Relations for the faculty, employees and students of the Medical University of South Carolina. Catalyst Online editor, Kim Draughn, can be reached at 792-4107 or by email, catalyst@musc.edu. Editorial copy can be submitted to Catalyst Online and to The Catalyst in print by fax, 792-6723, or by email to petersnd@musc.edu or catalyst@musc.edu. To place an ad in The Catalyst hardcopy, call Community Press at 849-1778.