Christopher

Korycki
ENLC 557-Strategic Planning and Management of Health Systems
5/4/2018




Strategic Plan for Rush University Medical Center






































1. The Nature of Strategic Management-Setting the Stage


The health care organization I have chosen is Rush University Medical Center in

Chicago, Illinois. It is a hospital which I have been to, is local and nearby and have two

friends who currently work there (one on the clinical side and one in the administrative

side). Even though it is not a “small health care organization” and considered a large

metro hospital compared to other larger hospitals in the city and immediate vicinity Rush

is considered more mid-size. The geographic proximity, access, familiarity and personal

contacts there all played a part in my selection for using this hospital for the duration of

the assignments, reflections and ultimately final Strategic Planning Project.

Rush University Medical Center is located in Chicago, the nations third largest city

and metropolitan area. It is a 664-bed academic medical center that includes hospital

facilities for adults and children. (wiki) It is also the central hub of an academic health

system network which also includes Rush Copley Medical Center in suburban Aurora,

Rush Oak Park Hospital in suburban Oak Park, as well as numerous outpatient care

facilities including the Johnston R. Bowman Health Center (a 61-bed rehabilitation

facility).(main1) As a not-for profit health care academic and teaching hospital it is

directly tied to Rush Medical University, a national ranked medical school which has

more that 2,500 students and comprises Rush Medical College, the College of Nursing,

the College of Health Sciences and the Graduate College which include programs in

allied health, health systems management and biomedical research. (wiki)

Rush is the largest non-governmental employer on Chicago's West Side and is the

20th largest private sector employer in Chicago, with more than 8,000 employees and a

payroll of more than $500 million. (wiki) As a large metropolitan hospital situated in the
renown Illinois Medical District (the largest medical district in the U.S) (wki-

ILMedDistrict) Rush University Hospital has a Level II Trauma Center. It’s location in

the heart of the city, in the Medical District as well as on Chicago’s West South also has

it serve patients across the economic spectrum.

Rush has been affiliated with Chicago medical history more than any other health care

organization in Chicago. It received its charter March 2, 1837, two days before the city of

Chicago itself was incorporated. (main-hist) The Medical School was the first in the city

of the Chicago. Rush was named in honor of Benjamin Rush, MD, historically the only

physician with medical school training to sign the Declaration of Independence. Early

Rush was nationally recognized for research and teaching, patient care as well as

numerous scientific developments and clinical procedures. (main-hist) It established a

teaching hospital via Presbyterian Hospital in 1883. It then was associated with the

University of Chicago from 1898 to 1941. (main-hist) Rush then upon ending this

affiliation in 1941 remained closed for the next 27 years. (mainhist) Meanwhile,

Presbyterian merged with St. Luke’s Hospital in 1956. In 1969 Rush Medical College

reactivated its charter and then merged with Presbyterian-St. Lukes to form Rush-

Presbyterian-St. Luke’s Medical Center. (main-hist) Rush University was then

established in 1972. It then officially changed its name in September 2003 to Rush

University Medical Center. The change was designed to reflect the key role that

education and research play in Rush’s patient care mission. (main-hist)

Rush operates as a non-profit teaching hospital with a $555 million endowment. (wiki)

It’s CEO is Larry Goodman, MD who also serves as the Rush System President. There is

a management structure of president, provost, many senior vice presidents, Medical Staff
Officers, Professional Nursing Staff Officers as well as Departmental Chairs. Governing

the entire organization is a Board of Trustees which include Principal Officers (including

Larry Goodman above), General Trustees, Annual Trustees and Life Trustees. (main-

leadership)

Rush University Health Center’s mission is ”to improve the health of the people and

the diverse communities it serves through the integration of outstanding patient care,

education, and research and community partnerships.” (main-vision)

Their vision is to “be the leading academic health system in the region and nationally

recognized for transforming health care. Their core values are “innovation, collaboration,

accountability, respect and excellence”, which are “the roadmap to their mission and

vision.” (main-vision) “These five values, known as our I CARE values, convey the

philosophy behind every decision Rush employees make. Rush employees also commit

themselves to executing these values with compassion. This translates into a dedication,

shared by all members of the Rush community, to providing the highest quality patient

care.” (main-values)

In terms of the strategic planning decision makers and parties involved I’d begin with

meeting and consulting with the Departmental Chairs as then are on the “front lines” of

the day-to-day operations. The Departmental Leadership positions consist of Chairperson

and sometime a Vice Chairperson and others depending on the division. The respective

departments represented at Rush University Medical Center are: Anesthesiology,

Behavioral Sciences, Cardiovascular/Thoracic Surgery, Cell and Molecular Medicine,

Dermatology, Diagnostic Radiology & Nuclear Medicine, Emergency Medicine, Family

Medicine, Immunity & Emerging Pathogens, Internal Medicine, Neurological Sciences,

Neurosurgery, Obstetrics & Gynecology, Ophthalmology, Orthopedic Surgery,

Otorhinolaryngology/Head & Neck Surgery, Pathology, Pediatrics, Physiology &

Biophysics, Preventive Medicine, and Radiation Oncology. (main-departments)

After gathering information from all the above I’d then work with increasingly higher

up officers and management such as the Professional Nursing Staff Officers, Medical

Staff Officers up through the Vice Presidents and finally C-Level executives. At the final

level the Board would have to get involved as well. (main-leadership)

2. The Healthcare Environment-Doing Your Homework



1- What are your general impressions about this organization? Include
comments and key points.

Rush has a very strong brand and very well known brand recognition in Chicago

and throughout its suburbs. It’s Orthopedic program is especially well know and

sought after due to a new five-story ambulatory orthopedic building that opened in

2009. This was part of a billion dollar Rush Transformation capital improvement

program that includes a 14-story patient care tower (opened in 2012), a seven-story

parking garage, central energy plant, underground loading dock and improvements

to older buildings. (wiki) These gleaming, award-winning architectural buildings

convey an aura of prestige and cutting edge confidence as the white and green

structures dominate the Chicago skyline west of downtown. They are the tallest

buildings visible easily from the major Dan Ryan and Eisenhower expressways, seen

by ten of thousands of motorist commuters, Chicago Transit Authority

“el” train and Metra train riders daily. The buildings announce the entrance to the
Illinois Medical District, the largest medical district in the country and a growing

hub of medical, biotech and life science innovation.

In addition to capital investment, bold statement-making architecture, refined

branding and investment into cutting edge technologies Rush Medical Center has

the resources of top ranked medical and nursing schools to draw research, staff and

knowledge from. In addition they also draw upon a strong organizational structure

with top managerial talent and a powerful and well-connected Board of Trustees.

2- What are the strengths of the organization?

Part of the highly ranked Rush Medical University.

#2 Regionally Ranked Hospital in Chicago according to US News Hospital Rankings
()

#2 Regionally Ranked Hospital in Illinois according to US News Hospital Rankings ()

Average of 4 out of 5 stars for patient experience according to US News Hospital
Rankings ()

#5 Ranking Nationally for Orthopedics according to US News Hospital Rankings ()

#14 Ranking Nationally for Geriatrics according to US News Hospital Rankings ()

#17 Ranking Nationally for Neurology and Neurosurgery according to US News
Hospital Rankings ()

The Robert H. Cohn and Terri Cohn Research Building

Centralized location to the west of the Chicago “Loop” and within the Illinois Medical

Center. It is easily accessible via public transit or via major expressways. It is also

equidistant from both of Chicago’s two major international airports for medical
specialist, scientists, researchers, academics, staff and visitors. Chicago is also

roughly equidistant from both coasts of the U.S.

Huge community involvement and outreach. Even has a food donation depository

located in the ground floor of one of its buildings.

3- What are the weaknesses of the organization?

Only having a level II Trauma center limits the hospital from treating those types of
patients which is a large draw for recruiting top students and physicians.

While Rush Medical University is well ranked it is still not ranked as high as
Northwester and the University of Chicago.

Location-The “West Side” where Rush is located still has the stigma of an
impoverished and dangerous area. Chicago’s gun violence, which has been
escalating over the past few years, is not helping to ease this image.

Due to the location bordering one of the city’s poorest, and violent, neighborhoods
and areas many indigent, homeless, mentally ill and non-insured seek services.

4- What are some improvements that can be made to the organization?

Upgrading to a Level 1 Trauma Center

Having Rush Medical University and Nursing programs, while great, become better
to compete against Northwestern or the University of Chicago.

Work with the City, police and community organizations to help make and keep the
surrounding area safer. Invest in surrounding economic development. Work with PR
firms to spread the message of positive change and development.

5- What should the organization stop doing (if anything)?
Still researching this area.

6- Where are the opportunities for growth?
Geriatrics, working with the city of Chicago on a medical tourism possibility due to
its centralized location, further community outreach and development could be a
national recognition opportunity.

7- What threats are there to the organization?

Chicago is bookended by 2 of the top elite private schools in the country (and

world) which both have top ranked medical schools that also operate teaching

hospitals. These are Northwestern University with Northwestern Memorial Hospital

(ranked #1 hospital in Chicago currently according to U.S News()) to the north and

the University of Chicago with the University of Chicago Medical Center to the south.

Both are investing heavily, building facilities and investing in cutting edge

technologies and talent. Loyola Medical School is also just to the west in neighboring

Oak Park and it is currently ranked the #3 Hospital in Chicago according to US News

(). These hospitals are competing for top physician talent, technologies, gifts, grants,

research dollars and (well funded patients)

 Chicago is also a leader in healthcare and has a vast amount of hospitals within

the city as well as in the immediate suburbs. Just in the Illinois Medical District alone

are situated Cook County Hospital, the VA Medical Center and University of Illinois

Hospital and Health Science System (another major teaching hospital and Medical

School). Mount Sinai, another major metro hospital, is also just 10 minutes to the

southwest of Rush. (wiki-imd)

Macroeconomically Chicago is in a precarious fiscal position as is the entire state

of Illinois. There is also a net migration of working class and more affluent people

leaving the city for the suburbs as well as neighboring states (with lower taxes and

in better fiscal shape) such as Indiana and Wisconsin. There is also a loss of

population to warmer, and more affordable, climates and states and Sunbelt such as

Arizona, Nevada Texas, the Carolinas, and Florida. All this impacts potential

patients, and cash flow, in the future.

8- List strategies for moving forward.

Already a national and regional leader in orthopedics, geriatrics and

neurology/neurosurgery, Rush should further build in these specialties. And

following the trend of aging population beginning to become a leader in geriatrics

would make for a great growth strategy.

9- Include final thoughts or comments.

With its centralized location and easy access Rush is a great draw for top medical

talent and convenient access for patients. Chicago is a highly desirable city to attend

medical school, perform residency, live and work and this helps in holding onto staff
and talent from a national level. But with so much competition, less congestion, and

safer neighborhoods elsewhere in the city and in the suburbs patients as well as

staff and physicians may choose to go elsewhere.

3. Performance Analysis-Describing Your Culture


Rush University Health Center’s core purpose and mission is ”to improve the health of

the people and the diverse communities it serves through the integration of outstanding

patient care, education, and research and community partnerships.” (“Mission, Vision and

Values,” n.d.)

Their vision is to “be the leading academic health system in the region and nationally

recognized for transforming health care. (“Mission, Vision and Values,” n.d)

Their core institutional values are “innovation, collaboration, accountability, respect

and excellence”, which are “the roadmap to their mission and vision.” (“Mission, Vision

and Values,” n.d) “These five values, known as our I CARE values, convey the

philosophy behind every decision Rush employees make. Rush employees also commit

themselves to executing these values with compassion. This translates into a dedication,

shared by all members of the Rush community, to providing the highest quality patient

care.” (“Mission, Vision and Values,” n.d)

4. Environmental Analysis-Framing the Questions

The first strategic step is continued investment and growth. The new buildings,

grounds, infrastructure and beautification of the Rush Medical campus has catalyzed

a resurgence of investment in the surrounding areas. What was once a blighted and
slightly run down and even dangerous area is now a gateway to a flagship hospital

and university center. This in turn has influenced perception and has drawn other

investment into the area at an unprecedented rate. New housing and multi-unit real

estate developments have sprouted with businesses popping up at their base.

People no longer associate the immediate areas as crime-ridden (though the rest of

the West Side still is, for now) and the beginnings of revitalization are beginning to

take place. If Rush continues to lead the charge even more investment will follow

and thus will increase the brand perception and prestige of the hospital further.

The next area is community involvement. The fact that the location of Rush in a

high-crime and impoverished are of Chicago is well known but through community

partnerships, education and awareness campaigns a significant impact can be made

on the surrounding community. As people can slowly take preventive measures

towards their health through education or know that they can utilize services to

better their lives and their communities the areas around Rush can slowly improve.

As Rush improves so do the psychology, health, well-being and even economic

conditions of the people living in and around the West Side of Chicago.

The third strategic area is the general macroeconomic issues facing Chicago and

the state of Illinois. Illinois has a tarnished image due to a recent highly publicized

budget impasse and a credit rating of Baa3 (a step above junk) (“Illinois credit

rating, “2017). These factors have contributed to an exodus of people from the city

of Chicago and the state of Illinois. With a net population loss of upwardly mobile

middle and higher-income earning (and future earning) potential patients moving to
surrounding burbs, state or to the sunbelt many of the remaining populations in the

Rush University Medical Center service area will be lower income. This will impact

revenues over time. The leadership at Rush must put pressure through their various

lobbies, interest and advocacy groups to pressure the City of Chicago and the State

of Illinois to get back on solid long-term fiscal footing or risk losing even more

swaths of potential future patients to elsewhere.

5. Developing Strategic Alternatives-Answering the Question: Get Specific

Strategy #1: Continued investment and growth to catalyze further growth.

Action Step #1: Board of Directors and top level executives continue to raise capital
and invest in building new facilities and repairing existing structures.

Action Step #2: Continue to hire top design talent in terms of architecture to create
bold, exciting designs that inspire and motivate further investment.

Action Step #3: Marketing and PR to showcase the brand and get the message out
for all the above.

Strategy #2: Continual involvement and education in the surrounding community.

Action Step #1: Outreach teams to start health education programs in the
community.

Action Step #2: Medical students to provide clinics and preventive medicine
programs for community.

Action Step #3: Have monthly and yearly improvement goals.


Strategy #3: Work and lobby the City and State to improve the financial and
investment climate of Chicago and the state of Illinois.

Action Step #1: Board, CEO, members of the American Hospital Association to lobby
the State legislature.

Action Step #2: Launch PR campaign and advertisements in luring people to Chicago
area.

Action Step #3: Work with Chicago Board of Tourism to help promote Chicago as a
medical destination.


6. Evaluation Methods-Discover Your Vision

“Rush will be the leading academic health system in the region and nationally
recognized for transforming health care.“ (“Mission, Vision and Values,” n.d.)


My Vision Statement for Rush University Medical Center:

Rush will continue to grow to be the leading academic health system for

communities, not only for the Chicago region but as an example for the nation. Rush

will transform community care for generations to follow.

References

Wiki-rush
https://en.wikipedia.org/wiki/Rush_University_Medical_Center

Main1
https://www.rush.edu/about-us/rush-health-care-education-research-not-profit-chicago

(wki-ILMedDistrict)
https://en.wikipedia.org/wiki/Illinois_Medical_District

(main-vision)
https://www.rush.edu/about-us/about-rush-university-medical-center/mission-vision-and-
values

main-history
https://www.rush.edu/about-us/about-rush-university-medical-center/history

main-leadership
https://www.rush.edu/about-us/about-rush/leadership

main-departmets
https://www.rush.edu/health-care-professionals/general-information-health-care-
professionals-rush
wiki

https://health.usnews.com/best-hospitals/area/il/rush-university-medical-center-
6430985

food donation
http://www.chicagotribune.com/news/ct-rush-chicago-hospital-food-donation-
met-20170120-story.html

“Mission, Vision and Values,” (n.d) Retrieved from
https://www.rush.edu/about-us/about-rush-university-medical-center/mission-
vision-and-values

Illinois’credit rating stays investment grade with Fitch. (2017, July 17). Retrieved
from

https://www.reuters.com/article/us-illinois-ratings-fitch/illinois-credit-rating-
stays-

investment-grade-with-fitch-idUSKBN1A22C0