— Specially-designed course for medical residents, physicians and hospital administrators focuses on the essentials of business —

View the Rutgers Press Release Here

NEW BRUNSWICK, NJ (October 3, 2008) – Medical residents enrolled in our country’s medical education system learn about the science and art of medicine, but they are not likely to be taught about the business of medicine. As the healthcare crisis continues to grow in the United States, it is important for today’s physicians to understand the economic and financial impacts of health care in our country, according to Nayan Kothari, M.D., chairman of the Department of Internal Medicine at Saint Peter’s University Hospital and program director for the hospital’s Internal Medicine Residency Program.

“How is medicine paid for and who pays for it? How does Medicare work, and how does our payer system influence patient outcomes? Why are more than 45 million Americans uninsured when we are a wealthy nation? Health care is big business, and today’s physicians must be business savvy,” says Dr. Kothari. “Graduating residents who have business knowledge will ultimately benefit patients. I believe reform has to come from doctors, ultimately.”

In light of this, Saint Peter’s commissioned the Rutgers University Center for Management Development (Rutgers CMD) to create a Mini MBA™ in Strategic Healthcare Management for medical residents in the hospital’s internal medicine, pediatrics and obstetrics and gynecology residency programs. After meeting with Saint Peter’s physician leaders and administrators, Rutgers CMD designed a course that integrates strategic management of a healthcare facility with business concepts that address the pressing issues faced by a healthcare facility today, according to Abe Weiss, CMD director.

This unique 13-week, 48-hour course takes both a current and far-reaching look at the healthcare industry, covering topics such as understanding local market dynamics, reimbursement, financial analysis and management, ethics, integrated business models and healthcare globalization trends. It is taught on-site at Saint Peter’s to accommodate participants’ demanding schedules.

Though initially intended as a “grass roots” course for Saint Peter’s second- and third-year medical residents, it evolved to include both staff and community physicians as well as hospital administrators—a unique development in course design, said Weiss. “The main drive behind this program is to help physicians and hospital administrators make more informed decisions. By taking people out of their silos and putting them into an interdisciplinary group such as this one, we expose them to a cross-current of new ideas and generate a much higher level of business acumen across the entire system and beyond,” he said.

Bringing together medical residents with physicians and hospital leaders enriches the program’s dynamics, according to Alfred L. Glover, president and chief executive officer of Saint Peter’s.

“Here we have hospital administrators being exposed to physicians’ thought processes, and, conversely, physicians are exposed to the challenges hospital administrators deal with every day,” Glover said. “The information we glean from each other and the cross-pollination of ideas that occurs during our sessions are invaluable. The more everyone becomes familiar with the system and how it works, and the more practice ideas that are generated by the group, the more our knowledge will benefit our patients. After all, that is what health care is all about.”

The Center for Management Development at Rutgers University was established in 1947 to provide executive training for business leaders. Weiss, a former vice president for information technology at Goldman Sachs, has led the center since 1999. While the Mini MBA™ in Strategic Healthcare Management is a first for the local healthcare market, other CMD courses have been tailor-made for the business sector, including the biopharmaceutical and a wide cross section of for profit and nonprofit industries. The School of Management and Labor Relations and Business School at Rutgers, which co-sponsor the CMD and the Mini MBA™ program, are ranked by Standard and Poor’s as top suppliers of executive talent to U.S. companies.

Participants who attend all 13 sessions at Saint Peter’s will receive a certificate. Medical residents are required to attend two additional classes, complete two course projects and pass a written examination. Those who successfully complete these requirements can earn three elective credits towards a Rutgers MBA, Masters in Human Resource Management or Professional Science Masters. In fact, the courses offered by Rutgers CMD are often a springboard to higher education.

“The Mini MBA™ program is for people who need to understand what’s happening in their industry globally and locally and want to develop their business acumen,” said Claudia Gaillard Meer, PhD, associate professor with the CMD. “The courses introduce them to many new business disciplines they need to know, and they often become motivated to continue their education. Whether they come to Rutgers or attend school somewhere else, whether they pursue an MBA, a master’s degree in Human Resource Management, or some other course of study, we have encouraged them to continue their education.

“I love what goes on in this room,” says Dr. Meer about the course being taught at Saint Peter’s. “I think the hospital will benefit enormously.”

This year, Saint Peter’s medical residents were selected to join the class, but next year Dr. Kothari plans to make the Mini MBA™ in Strategic Healthcare Management a requirement for graduation. “It is virtually unheard of to integrate a business course into a medical residency program, and having an institution of Rutgers’ caliber working with us is quite phenomenal,” said Dr. Kothari. “I believe our partnership will make for more responsible doctors.”