Effective communication skills are career essentials

Healthcare Financial Management, Feb, 1998 by Anna Wharton Phillips

When CEOs are recruiting CFOs for their healthcare

organizations, the nonfinancial skills they most want CFO candidates to

possess are leadership and communication skills.

Fortunately, CFOs today have become better attuned to the need to

communicate effectively within their organizations' senior management groups

and are performing this skill far better than in the past. Many also have

accepted the challenge of speaking at meetings with their boards of

directors, business coalitions, and other key groups. CFOs also have become

more comfortable dealing with physician groups with which their

organizations have become affiliated.

All the hard work CFOs have put into enhancing their communications

capabilities with the organizations' executives and business partners is

laudable. But what sometimes has been neglected, according to CEOs, is CFO

outreach within the finance department.

This outreach is an essential part of the CFO's task. By continually

communicating and emphasizing the need for effective communications, CFOs

can help their department managers improve their communications skills and,

ultimately, do a better job for the organization.

Effective communication by financial managers is so important these days

because timely financial information is the lifeblood of any healthcare

organization. Such information helps department heads make good decisions.

But when accounting terminology is used to present financial information to

nonfinancial people, miscommunication and unnecessary errors may occur.

Patricia A. Pinkerton, CPA, CFO at Northwest Hospital Center, Randallstown,

Maryland, says a team approach is essential for developing communications

skills within the finance department. "It is very important to acknowledge

that finance plays a supporting role in the healthcare organization.

Financial people have to remember always that those with whom they deal,

such as nurse managers, social workers, and dietary staff, may process

information and problem-solve differently than the typical 'numbers' person.

Recognizing and respecting each person's way of understanding can go a long

way to avoid making them feel 'run over' or 'railroaded' in discussions.

"When financial decisions are made so quickly that customers (the other

departments) feel cut out of the process, frustration can snowball.

Leadership from the CFO is needed to keep the focus on our service role, to

keep our finance people listening to our customers to ensure that they feel

part of the process."

Paul M. Briggs, senior vice president, financial services, Greenville

Hospital System, Greenville, South Carolina, says the CFO must take the lead

in developing staff awareness of the importance of communications.

"Generally speaking, financial people do not focus on communications skills,

but emphasize technical aspects of their work instead. The occasional

newsletter or memo will not solve the communication problem; much more is

needed. The CFO must develop a culture of communication, an ongoing

commitment. For example, build communication into every agenda. At the end

of staff meetings, ask, 'Who needs this information?' and 'What is the best

way to present it clearly?'

"As in any other culture change, the responsible party must demonstrate

personal commitment. Saying one thing and doing the opposite is a sure way

to stop any change process. If the CFO demonstrates a commitment to

appropriate sharing of information over time, the financial staff will get

the message, and a culture of communication will develop."

Learning to Communicate

There are a number of ways to develop communications skills. A good mentor

for communications is one way to start. Try to identify another senior-level

executive within or outside the organization who can serve as a mentor. Then

ask for his or her advice on communications - and act on it.

Second, seek out continuing education leadership and management courses. Try

not to view these courses as "soft and fuzzy," and, therefore, unimportant.

Communication skills are essential to effective management and career

development.

CEOs searching for new CFOs and other senior financial executives are

looking for individuals who offer the whole package - the ability to manage

the finance department, communicate effectively within the senior management

group, and develop the communication skills of their staff.

Anna Wharton Phillips, MHS, is senior vice president, Witt/Kieffer, Ford,

Hadelman & Lloyd, Bethesda, Maryland.