There comes a point in the life cycle of a successful gynecology practice when the owners must decide whether to expand the business. While hiring doctors to share the patient load or attract new patients is an expensive option, it can be a great solution to keep the practice moving forward and growing. Hiring the wrong physician, however, can set the practice back significantly.
The Pros and Cons of Private Practices
The number of physicians who own a private practice has decreased drastically over the past several decades. While there is no single reason for this decline, some factors include the amount of overhead necessary to open a practice, increasing regulatory requirements and changes in reimbursement standards. In short, it is quite complicated and expensive to start a private practice from the ground up and, frankly, physicians are not taught how to do this in school.
Even though doctors who are just embarking on their careers may not be interested owning a practice, being employed by one may be more attractive than working in a hospital. This setting is free of the bureaucracy of hospitals and large employers, and it can offer the physician a better chance to build meaningful relationships with their patients.
Private practices also tend to be more flexible in the way they operate. Owners are able to choose which types of insurance they accept and what ancillary services they offer for their patients. They may even offer more flexible working conditions for their physicians.
Three Key Considerations for Hiring Doctors to a Private Practice
Both hospitals and private businesses frequently use physician search agencies to find the right candidates to interview. Before the practice talks with such a firm, it needs to make three basic decisions about the future of the business: how it will be best served by a new physician, how the candidate will contribute to the practice, and how his or her compensation will be structured. Let's take a closer look at these key considerations.
1. What Type of Candidate Is Desired?
If the practice is not concerned with having a very focused set of services, it may want to expand its revenue base by adding a physician who has a different skill set or specialty. If the practice does not have the right equipment to support these services, this will be an additional investment, but it will also open a new stream of revenue.
2. What Is Expected of the Candidate?
Having a clear idea of what will be included in a prospect's contract as far as office hours, vacation and expectations of patient volume will help to weed out candidates who are expecting something different. Many younger physicians are looking to maintain a reasonable work-life balance, so if the practice is looking for someone who will invest long hours, be sure that the candidates know this before they come in to interview.
Once the practice begins interviewing, it is essential to find out what each candidate expects from his or her career and employer. Younger candidates tend to be very technologically savvy, so they may expect capable electronic medical records (EMRs) and add-on tools, such as image management systems, that add flexibility and remote viewing or sharing capabilities.
3. How Will the New Physician's Compensation Be Structured?
Because many new physicians will not yet have a patient base, their pay should be structured so that, for a time, they aren't relying heavily on their own clinical revenues. The American Academy of Family Physicians (AAFP) offers a good primer on methods of calculating physician compensation. A contract should be specific about if, how and when compensation will be adjusted as the practice grows and the new physician starts seeing a full schedule of patients.
Getting the Most Out of Your Recruitment Efforts
Once a search firm is contracted, the recruiters will likely help the practice owners define their list of wants and offer tips on the types of candidates they are aware of, plus any trends in compensation that might sweeten the deal for a candidate.
Lastly, a smart practice will tap some of its trusted employees to help interview candidates. The staff will be more engaged in the process and more invested in helping a new physician succeed if it has a hand in choosing the right one. Hiring the right physician to expand and grow the practice will ensure that the investment is worthwhile.
