CFOs can dramatically cut costs by decreasing burnout. But where do they start?
Burnout among physicians and nurses has increased dramatically since the COVID-19 pandemic. According to the American Medical Association, physician burnout rose from 38.2% in 2020, to an all-time high of 62.8% in 2021.
Burnout not only affects physicians and their patients, but entire health systems, particularly finances. Nearly one-half of physicians exiting the workforce cite burnout as a major reason.
One study concluded that physician turnover due to burnout costs health systems an extra $260 million each year. Part of this is due to increased use of specialty, urgent and emergency care.
As hospitals and health systems battle rising costs of care, and CFOs look consider ways to contain costs, decreasing burnout could have a big impact. CFOs should examine how burnout is affecting their organization and what’s it costing them. CFOs can then collaborate with CMOs to create an action plan to support physicians to better care outcomes and reduce costs.
“When we start talking about it, we open up the ways to address it,” Dr. Steve Hippler, retired Chief Clinical Officer of OSF HealthCare said during the recent Healthcare Finance Management Association (HFMA) conference in Las Vegas.
Defining Burnout
Burnout goes deeper than just being tired from a long day on the job; it can include emotional exhaustion, depersonalization and decrease in personal accomplishment. While it's not usually external, external factors like workload, overstimulation, and micromanagement all contribute to burnout. Executives at HFMA spoke not just about the amount of work that leads to burnout, but the emotional impact that it creates.
The discussion at HFMA highlighted studies that show interventions have not caused significant improvements for burnout. Mindfulness, art therapy and other methods are all considered band-aid solutions; in that these methods provide temporary relief and cannot be seen as a long-term solution.
What Can Be Done?
When combating physician burnout, the question isn’t “what can be done,” but rather “what can be taught?”
Experts say the key is fortitude. There is a fallacy of resilience when discussing burnout and it leads to an inaccurate perception. Self-efficacy, mental toughness, optimism, and hope are all characteristics that contribute to fortitude.
The good news is that one isn’t just born with or without these qualities, fortitude can certainly be taught. According to one study, high fortitude decreases burnout on all levels.
Organizations should be teaching physicians the soft skills that build fortitude in order to manage burnout. To do this, there must be an initial mindset shift from looking at issues as challenges rather than obstacles.
Fortitude is malleable, experts say. Organizational support certainly helps, but not without fortitude. Leaders can grow fortitude in their staff to combat burnout. The main idea here is about creating the space for physicians to be open about burnout, acknowledge it, and give them the support they need to develop solutions that work for them. Leaders don’t need to provide the solutions, just the space to discuss them.
Another question is “how can the individual and the organization work together?”
Panelists at the discussion noted that leaders should ensure that they:
- Know their numbers on the fortitude scale and where their staff lies
- Be proactive about implementing change
- Ask for help, collaborate within the system
- Be a thriver, not a victim
- Know that one size does not fit all. Fortitude, like burnout, is different for each individual
Marie DeFreitas is the finance editor for HealthLeaders.
KEY TAKEAWAYS
Physician burnout has been steadily rising since the pandemic, costing health systems an extra $260M each year.
CFOs should collaborate with CMOs and other leaders to combat burnout internally to reduce costs.
Studies show that teaching fortitude and creating a space for physicians to discuss challenges could have a big impact on burnout, retention, and costs.