Introduction:
Business Concepts in Radiology
A Special Thank You to:
Dr. David M. Yousem, M.D., M.B.A. Professor, Department of
Radiology Vice Chairman of Program Development Director of
Neuroradiology Johns Hopkins Hospital
for allowing the use of the material/content in this presentation
Dr. Yousem’s online lecture series can be viewed at:
http://webcast.jhu.edu/mediasite/Catalog/pages/catalog.aspx?catalogI
d=7e18b7d5-9c63-487e-aaf1-77a86f83b011
Dr. Yousem’s project was funded through an RSNA Educational Grant
Lecture goals
• To explore the value of business knowledge for the radiologist
• To introduce business concepts pertinent for radiologists
• Provide additional resources/material for business concepts
The value of business knowledge: A brief look at
healthcare in the United States
• In 2005, the United States spent $2 trillion on health care, 16% of
GDP, an average of $6,700 per person.
• In 2007, the United States spent $2.2 trillion on healthcare, an
average per capita of $7,400.
• Healthcare is big business
• Studies show doctors are lack even basic business knowledge
*Health, United States, 2005 and 2007
Imaging in Healthcare
• The 2009 Health and Human Services Health Summary
specifically included a special section on Medical Technology.
• Topics discussed:
– Increased imaging availability and utilization
– Inappropriate imaging
– Medicare part B spending dedicated to imaging:
increasing from 6.9 billion (2000) to $14.1 billion (2006)
– Medicare accreditation requirements for imaging facilities
*Health, United States, 2010
Imaging in Healthcare
Ambulatory care visits with
MRI/CT/PET scans ordered
or provided during the visit,
by age and location:
US 1996-2007
Imaging is big business
(and growing).
*OPD - outpatient dept.
*Health, United States, 2010
The Healthcare Web
Government
Regulation Medicare
Insurers
Hospitals
How does the radiologist fit in?
Patients
Pharmaceuticals
Physicians
Radiologists
Referrers
Non-Governmental
Organizations
Medical Suppliers
The Radiologist’s Business Web
Capital/
Equipment expense
Tenure
Research
Academic
Radiologists
Malpractice
Private Practice
Leadership
Entrepeuneurship
Marketing
Healthcare, business and the RADIOLOGIST
• The system is complex, with many players, each with competing
motivations and goals.
• Imaging specifically is a financially significant component of the
healthcare system, with many interested parties.
• Radiologists are well trained as physicians, advisors on imaging,
and as interpreters of images.
• But, can you be optimally successful at providing patient care
and applying imaging skills if you do not have a basic knowledge
of the system around you?
• Business knowledge should be a fundamental component of
radiology training, and is key to a radiologist’s success
What does the Radiologist need to know?
• Which practice model should I join?
• If solo practice:
– Financing office space, staff, and equipment
– Many payers and types of payments are available, which
should I accept?
– Malpractice insurance: Which kind and how much?
• If group/hospital practice:
– Employee or partner
– Individual practice valuation
– Will I be exposed if the practice goes under or members are
involved in payment fraud?
Healthcare, business and the radiologist
• With this knowledge you can:
– Develop skills in strategic planning
– Become a leader in your practice and in the field
– Accomplish more through your interactions with practice
managers, administrators, clients and suppliers
– Streamline your organization, reducing expenses, and
increasing profits
Healthcare, business and the radiologist
• The goal of this series will be to provide a basic business
education, structured for the young radiologist
• What topics are covered?
Key business concepts
The Big Picture• Leadership in Radiology
Personal skills• Malpractice
• Employment Contracts
Key business concepts
Practice• Credentialing, Accreditation, and Certification
• Managing Expenses
• Vernacular of Accounting
• Employment Contracts
• Business Incorporation
• Making Money in Radiology, Resource Based Relative Value
• Unit System, and Practice Valuation
• Second Opinion Consultations
Available Resources
• Books:
Radiology Business Practice: How to Succeed,
Yousem, Beauchamp Jr, (2008)
Radiology Administrator: A Business Guide
Stockburger (1989)
Total Quality in Radiology: A Guide to Implementation
Adams, Arora (1994)
Be in Charge: A Leadership Manual
Margulis (2002)
Available Resources
•
Online courses:
– Business of Radiology, Dr. David Yousem
http://webcast.jhu.edu/mediasite/Catalog/pages/catalog.aspx?catalogId=7e
18b7d5-9c63-487e-aaf1-77a86f83b011
•
Other CMEinfo courses:
– Economics of Imaging
– Leadership Strategies
•
Radiology Societies:
– RSNA, RBMA, ACR, and Journal of the ACR, AJR
Summary
• The healthcare system is complex and expensive, and imaging
plays a large and expanding role
• Radiologists are significant stakeholders, and are well trained as
imagers, but lack the basic business skills necessary for
navigating the complex system
• There are several resources available to help radiologists gain
the required knowledge
• This series is one of those resources, and will cover basic
business topics essential for the radiologist
Other Citations:
•
National Center for Health Statistics, Health, United States, 2005; With Chartbook on Trends
in the Health of Americans. Hyattsville, MD: 2005, Library of Congress Catalog #76–641496.
U.S. Government Printing Office, Washington, DC 20402
•
National Center for Health Statistics, Health, United States, 2009; With Special Feature on
Medical Technology. Hyattsville, MD: 2010, Library of Congress Catalog #76–641496. U.S.
Government Printing Office, Washington, DC 20402