Few industries change faster or are more volatile than healthcare. Groups that are slow to adapt will find
themselves lagging. This is particularly true when it comes to physician recruiting. Times are changing and
medical groups have to rethink or adjust their recruiting strategy in order to attract and retain future partners.
There are several things you might want to consider when formulating an effective recruiting strategy.
First, before you begin, it is critical to have an organized, realistic and concerted approach to recruiting.
It takes commitment, time and money to find someone. All partners and support staff should be on the same page
and understand the game plan. Someone should be deemed the quarterback or coordinator and there should be a
budget and time frame for recruiting.
Second, you can handle the recruiting internally or contract with an outside agency. Some agencies charge a
flat rate, while others charge a percent of the starting salary. If a group isn't going to commit the
necessary time and staff to recruiting internally, it would be best to admit it and seek the services of an
outside agency. The local medical society can recommend an agency if necessary.
Third, it is a "buyers" market and your prospect knows it. The well documented shortage of physicians,
especially in primary care, gives candidates the advantage. There are plenty of opportunities out there.
The current shortage is exacerbated by the fact that 40% of physicians are now over 50, so a lot of groups
will be looking for candidates, seemingly all at once. It may take two years to find someone acceptable to
your group.
Fourth, because there is a lot of competition, you have to put your best foot forward and differentiate
your practice. You need to overwhelm a candidate. It helps to have a written agenda or schedule for the
visit. Candidates are impressed when the visit is well organized and orchestrated. Someone needs to spend
the entire day with the prospect, whether you recruit internally or contract with an agency. Most importantly,
whenever possible, the prospect must meet ALL the partners and the practice manager.
Fifth, hospitals are actively and aggressively recruiting physicians. In many cases they are "seeding"
new practices with income guarantees. Preferably, hospitals are coordinating recruiting efforts with their
attending staff. Unfortunately, more often than not, it's a dog eat dog world. Hospitals are offering very
competitive salaries, hours and benefits. If you are recruiting, be sure to inform your hospital to avoid
unnecessary competition and expenses if both parties are addressing the same need.
Sixth, current market conditions/economics make partnership/ownership less appealing. Consequently,
buy-ins and other requirements for partnership are losing their appeal. Candidates have a lot of
good reasons to believe they may not recover their investment. Medicare has virtually frozen
physician fees since 2000. Commercial carriers, citing Medicare, are setting their fees perilously
closer to Medicare fees. There is a lot of uncertainty regarding a government sponsored plan. Practices
are being sold for far less, if anything at all, than just 10 years ago. Many retiring docs can't even
give away their practices or even their charts.
Seventh, avail yourself of the web. Minimally, have a
website so prospects can find you.
Be sure it's informative and up to date with a current list of providers. Candidates may do a random Google
search or might search for your group specifically. You want prospects to find you on the Web and
learn about your practice. Hire a professional to design the site. If you really want to push the
envelope, consider the various social networks like LinkedIn.
Your practice manager might strike up a prospect or two by just mentioning
you are searching. This is by far the quickest and cheapest way to get the word out.
Eighth, restrictive covenants have always been a bone of contention, but now they are becoming a
serious impediment to signing new docs. They are particularly onerous in physician shortage areas.
If you are going to enforce liquidated damages as an alternative, be sure the amount due is realistic.
Otherwise, it could be a deal killer.
Finally, join your local Chamber of Commerce. It will be a valuable resource and ally in recruiting,
especially in physician shortage areas where getting docs to an area is in every business's
interest. Your fellow Chamber members are excellent networkers and can help get the word out.
The Chamber can also assist in doing tours of the area and finding a job for the physician's spouse.
