Capital Funding
Buzz Survey
November 2012
Supported by:
WWW.HEALTHLEADERSMEDIA.COM/INTELLIGENCE
November 2012 | Capital Funding Buzz Survey Results
Methodology
• A three question survey on Capital Funding was sent to members of the
HealthLeaders Media Council in November, 2012.
• The HealthLeaders Media Council comprises executives from healthcare
provider organizations who collectively deliver the most unbiased industry
intelligence available.
• A total of 125 completed surveys are included in the analysis, which
included 58 Senior Leaders. Results for Senior Leaders are broken out.
• The margin of error for a sample size of 125 is +/-8.8% at the 95%
confidence interval.
2
November 2012 | Capital Funding Buzz Survey Results
Respondent Profile
3
November 2012 | Capital Funding Buzz Survey Results
Senior leaders
Respondent Profile - Title
CEO, Administrator, Chief Operations Officer, Chief Medical
Officer, Chief Financial Officer, Executive Dir., Partner,
Board Member, Principal Owner, President, Chief of Staff,
Chief Information Officer
Clinical leaders
46%
Chief of Orthopedics, Chief of Radiology, Chief Nursing
Officer, Dir. of Ambulatory Services, Dir. of Clinical Services,
Dir. of Emergency Services, Dir. of Nursing,
Dir. of Rehabilitation Services, Service Line Director,
Dir. of Surgical/Perioperative Services, Medical Director,
VP Clinical Informatics, VP Clinical Quality, VP Clinical
Services, VP Medical Affairs (Physician Mgmt/MD)
21%
Operations leaders
15%
10%
5%
Senior
Leaders
4
Operations
Leaders
Base = 125
Clinical
Leaders
Marketing
Leaders
Financial
Leaders
3%
Information
Leaders
Chief Compliance Officer, Asst. Administrator, Dir. of Patient
Safety, Dir. of Quality, Dir. of Safety, VP/Dir. Compliance,
VP/Dir. Human Resources, VP/Dir.
Operations/Administration, Other VP
Finance leaders
VP/Dir. Finance, HIM Director, Director of Case
Management, Director of Revenue Cycle
Marketing Leaders
VP/Dir. Marketing/Sales, VP/Dir. Media Relations
Information leaders
Chief Medical Information Officer, Chief Technology
Officer, VP/Dir. Technology/MIS/IT
November 2012 | Capital Funding Buzz Survey Results
5
Respondent Profile - Employment
Which of the following best describes your place of employment?
Percent
Hospital
41%
Health system (IDN/IDS)
23%
Physician Org (MSO, PPO, PHO, PBM)
18%
Long-term care / SNF
6%
Ancillary, Allied Provider
5%
Health Plan / Insurer
3%
Government, Education / Academic
3%
Base = 125
6
November 2012 | Capital Funding Buzz Survey Results
Respondent Profile – Size of Organization
Number of Beds
Number of Sites
Percent
Percent
1–199
45%
1–5
24%
200-499
27%
6–20
24%
500+
27%
21–49
52%
Base = 29 (health systems)
Base = 51 (hospitals)
Number of Physicians
Percent
1–9
17%
10-49
35%
50+
48%
Base = 23 (physician orgs)
November 2012 | Capital Funding Buzz Survey Results
Respondent Profile – Type of Organization
Which best describes your type of organization?
Profit 31%
69%
Base = 125
Nonprofit
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November 2012 | Capital Funding Buzz Survey Results
Survey Results
8
November 2012 | Capital Funding Buzz Survey Results
9
Priorities for Capital Investment
What are your organization’s top three priorities for capital investment in the next 12 to 18 months?
Healthcare information systems (including EMR)
and IT infrastructure
68%
66%
Upgrades to existing facilities
47%
47%
Process improvements for operational
efficiencies
45%
47%
33%
36%
Merger, acquisition, or other partnership
Clinical technology
22%
26%
28%
New facilities
Funding for pension, benefits or self-insurance
Compliance with safety codes
No capital investment planned in the next 12 to
18 months
32%
6%
9%
6%
7%
6%
9%
Total
Senior leaders
Multi Response
November 2012 | Capital Funding Buzz Survey Results
10
Drivers of Capital Investments
How influential are each of the following in driving your organization’s capital investments
in the next 2-3 years?
Major influence
Minor influence
Changes to healthcare reform
laws
65%
Sequestration of federal funding
45%
An economic downturn
43%
An economic upturn
23%
50%
Merger, acquisition, or other
partnership
Local competitor moves
Not an influence
33%
20%
42%
50%
17%
35%
41%
37%
21%
12%
16%
21%
29%
November 2012 | Capital Funding Buzz Survey Results
11
Drivers of Capital Investments – Senior Leaders
How influential are each of the following in driving your organization’s capital investments
in the next 2-3 years?
Major influence
Minor influence
Changes to healthcare reform laws
Not an influence
69%
Merger, acquisition, or other
partnership
48%
Sequestration of federal funding
47%
14%
12%
17%
40%
31%
22%
An economic downturn
41%
36%
22%
Local competitor moves
41%
36%
22%
An economic upturn
21%
48%
31%
November 2012 | Capital Funding Buzz Survey Results
12
Capital Investments Funding Sources
Please indicate if each of the following funding sources will be a primary source, a secondary source or
not a source for your organization’s capital investments in the next 2 to 3 years.
Primary Source
Bond market
33%
Investment income
Commercial loans
Philanthropic donations
Venture capital
Secondary Source
23%
30%
22%
44%
38%
32%
26%
18%
12%
Not a Source
52%
44%
14%
38%
74%
November 2012 | Capital Funding Buzz Survey Results
13
Capital Investments Funding Sources – Senior Leaders
Please indicate if each of the following funding sources will be a primary source, a secondary source or
not a source for your organization’s capital investments in the next 2 to 3 years.
Primary Source
Bond market
Investment income
Commercial loans
Philanthropic donations
Secondary Source
34%
24%
28%
19%
Venture capital 3% 16%
Not a Source
16%
50%
41%
34%
33%
40%
43%
38%
81%