New Survey Highlights the Current Outlook for Leadership Candidates
After several difficult years in the healthcare industry, just over half of healthcare executives (52 percent) expect better organizational health at their facilities in 2024, according to a recent survey by AMN Healthcare’s Leadership Solutions division, including B.E. Smith. This percentage is up significantly over last year, when just 37 percent of healthcare executives were expecting improved organizational health in 2023.
“After weathering the storm of COVID-19, which combined the double whammy of revenue losses with cost increases, many healthcare executives are seeing somewhat brighter skies ahead,” said Christine Mackey-Ross, president of AMN Healthcare Leadership Solutions. “Revenues are returning and costs are stabilizing, though the challenges facing healthcare executives today remain serious and unpredictable.”
This improved outlook could mean an uptick in job opportunities for healthcare leadership candidates, ranging from department managers on up to the C-suite executives. But long-term financial challenges are expected to remain a concern, with 44 percent of executives citing “financial constraints” as the most disruptive factor to healthcare organizations in the next three to five years.
More than 660 hospital, health system and group practice leaders provided timely insights into key leadership trends and challenges in this year’s annual survey. The Healthcare Leadership Trends for 2024 report presents the survey’s findings in the areas of leadership recruitment, professional development, retention and engagement. Survey results are supplemented by independent data, providing a comprehensive review of the industry for health systems and healthcare leaders alike. Highlights of some of the findings are presented here.
A Change in Leadership Strategies
In this latest AMN Healthcare/B.E. Smith survey, the findings are presented in context with four major challenges facing today’s healthcare leaders: financial pressures, growth demands, workforce challenges, and digital transformation.
In the area of finances, healthcare executives were asked to identify the key strategies they plan to employ in 2024 to enhance revenues. The top three cited were:
- Expand existing service lines (56%)
- Implement cost reduction measures (45%)
- Increase value-based reimbursement (38%)
These priorities represent a departure from previous years in which healthcare executives surveyed identified outpatient service expansion, post-COVID revenue recovery, and telehealth development as their key growth strategies.
“Healthcare facilities have devoted considerable effort to expanding outpatient services and offering patients more convenience,” Mackey-Ross said. “Many are now refocusing on expanding service lines that are proven revenue generators.”
High Rate of Leadership Turnover Projected
Healthcare facilities face ongoing challenges in the areas of leadership recruitment and retention.
The survey suggests that continuity among healthcare facility leadership is likely to be tenuous in 2024, with two-thirds of the survey respondents (66%) saying they plan to seek a new opportunity soon. Among those open to new healthcare leadership jobs, 62% plan to seek a new position within the next 12 months (12% are looking for new position immediately), and the remaining 38% plan to do so within the next three to five years.
“Virtually everyone in healthcare, from clinicians to healthcare executives, has been under immense pressure due to the pandemic and other factors,” Mackey-Ross said. “The result is a high level of turnover that jeopardizes both administrative and clinical continuity at many healthcare organizations.”
Job Satisfaction, Retention and Engagement
When it comes to job satisfaction and rates of retention, 38% of the healthcare leaders surveyed said they are extremely satisfied and 44% are somewhat satisfied with their current jobs. They also report that that the top two factors that are most likely to cause them to stay with their current organizations are organizational culture (cited by 45%) and compensation (cited by 41%).
Signs of improving clinician engagement were evident in the finding that 33% of leaders believe their physicians are highly engaged, up from 29% the previous year, while 33% also see high engagement among their nurses, up from 22%. However, there remains a substantial engagement gap between leaders and clinicians, as 60% of leaders are perceived to be highly engaged.
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Opportunities for Healthcare Leadership Candidates
The good news for healthcare leaders who are seeking new opportunities is that they may have multiple job offers from which to choose. Nearly 4 out of 5 of the healthcare executives surveyed (79%) said they have been approached about a new job opportunity within the last six months.
High turnover rates may be one reason why nearly half (48%) of the executives surveyed said that finding candidates for healthcare leadership positions is extremely or very challenging.
Many also noted that hiring candidates for leadership positions is taking longer than it has in the past.
In the current recruitment climate, a growing number of healthcare entities are working with AMN Healthcare to find and place the most talented candidates for their permanent and interim leadership positions.
The Demand for Interim Healthcare Leaders
Amid staff transitions and turnover, over one quarter of the healthcare executives surveyed (26%) said their facilities use interim leaders. Typically, hospitals and other healthcare facilities will use interim CEOs, CFOs, mid-level managers and other executives to fill a vacancy until a permanent leader is found. Interim leaders also may be used to manage an independent project.
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As you continue developing your career, you might also start seeking new opportunities for upward mobility in your field. If you are looking to develop your skills and further impact, a leadership role is an excellent place to start. In tandem with career advancement, healthcare leadership roles offer some exciting benefits to support you in achieving your personal and professional goals.
With over 40 years in healthcare staffing, AMN & B.E. Smith has earned a reputation of trust and success in connecting the nation’s premier executive leadership talent with our esteemed facility partners across all fifty states. When you partner with us, you have the support of a dedicated career consultants before, during and after you’re placed. Get career freedom empowered by advanced job matching technology to ensure seamless placement in your new role.
To take the next step in your leadership journey, complete our quick application form today so our expert recruitment team can connect with you and discuss your specific career needs!
Additional Executive Leadership Resources
While you continue your executive leadership job search, keep in mind that AMN Healthcare provides great support for our candidates. Begin the application process now, and then access the links below to learn how AMN Healthcare supports your advancement in healthcare.
- Interim Executive Jobs: A great option for temporary, interim jobs while you continue your permanent job search (or if you simply want to explore what's out there) .
- Permanent Executive Jobs: Great executive jobs in great locations. Full onboarding and support while you get up-to-speed in your new position.
- EAP: Our interims gain access to a valuable set of Employee Assistance Program benefits.
- Search All Leadership Jobs: Uncover new possibilities in your career by exploring both short and long-term options and permanent choices.
