HCA Announces New Operational, Leadership Structure

The private investor group-owned organization announced the change is "designed to enhance alignment with the company's strategy."

Effective January 1, 2023, HCA Healthcare will undergo a new organizational change, which includes promotions and leadership changes and the creation of a third operating group for the healthcare provider.

The private investor group-owned organization announced the change this week, detailing that it was "designed to enhance alignment with the company's strategy, streamline areas that can improve long-term performance, and provide greater focus and better coordination to support the business."

Top leaders receiving a promotion to oversee the three operating groups includes Jon Foster, who currently serves as president of the organization's American Group. He will serve as EVP and COO of HCA Healthcare, where he will oversee growth and operational support areas, including development, payer contracting and alignment, strategy and innovation, service lines, ambulatory surgery, physician and provider relations, and the UK division.

Mike Marks, who currently serves as VP of financial operations support, will serve as SVP-Finance and report to Foster. He will oversee the Parallon, case management, performance improvement areas, and the organization's financial resiliency program.

Sam Hazen, the CEO of HCA Healthcare, said that Foster and Marks are "the most seasoned operations executives in the company," and showed confidence in their leadership abilities in a statement. "They will also play an important role in assisting with other strategic initiatives, including the transition into three operations groups," he added.

Additional leadership promotions include presidents for each of the three groups: American Group, National Group, and Atlantic Group. Each group will have five domestic divisions, striving to create more focus and support across the company's enterprise. Each president will report to Hazen.

Erol Akdamar, who serves as president of the North Texas Division, will be promoted to serve as president of the American Group, which includes the Gulf Coast, San Antonio, North Texas, Central West Texas, and Continental divisions.

Time McManus, who serves as president of the Capital Division, will be promoted to serve as president of the national group, succeeding Chuck Hall who announced his retirement in August. McManus will oversee the Capital North Carolina, TriStar, Mountain, and Far West divisions.

Richard Hammett, who serves as president of the North Florida Division, will be promoted to serve as president of the Atlantic Group, a newly created hospital group that oversees the West Florida, East Florida, North Florida, South Atlantic, and Mid America divisions.

Additionally, Ronnie Midgett, who serves as CFO of the North Texas Division, will be promoted to CFO of the American Group. Russ Young, who serves as CFO of the East Florida Division, will be promoted to CFO of the National Group. Ricardo Pavon, who serves as CFO of the National Group, will serve as CFO of the Atlantic Group.

Additional division leadership changes include:

• Brian Cook, who currently serves as president of the Far West Division, will assume the role of president of the North Florida Division.
• Jackie Van Blaricum, who currently serves as CEO of Riverside Community Hospital, will be promoted to president of the Far West Division.
• Allen Harrison, who currently serves as president of the San Antonio Division, will be promoted to president of the North Texas Division.
• Dan Miller, who currently serves as CEP of Methodist Hospital, will be promoted to president of the San Antonio Division.
• Chad Christianson, who currently serves as CEO of HCA Florida Ocala Hospital, will be promoted to serve as president of the Continental Division, succeeding Sylvia Young who announced plans to retire following a 35-year career with HCA Healthcare.
• William Lunn, who currently serves as CEO of Chippenham-Johnston Willis Hospital, will be promoted to serve as president of the Capital Division.
• Kristin Dyer, who currently serves as CFO of the North Florida Division, will be promoted to serve as CFO of the North Texas Division.

The announcement closely follows HCA Healthcare's third-quarter financial results.

Revenues for the organization in the third quarter of 2022 totaled $14.971 billion, compared to $15.276 billion in the third quarter of 2021. Net income attributable to HCA Healthcare, Inc. totaled $1.134 billion, or $3.91 per diluted share, compared to $2.269 billion, or $7.00 per diluted share, in the third quarter of 2021.

The organization also saw a decline in admissions. Same-facility admissions dropped 1.5% year-over-year, however, same-facility equivalent admissions increased by 2.3% in the third quarter of 2022. Same facility emergency room visits declined 1.3 percent in the third quarter of 2022, compared to the prior year period. However, HCA saw a 5.6% rise in same-facility inpatient surgeries compared to the same quarter the prior year.