#6022 inova svp fin position specification w community 2015 02 09

Southerland Partners

Confidential Position Specification

Senior Vice President Finance

INOVA

February 2015


INOVA SVP Finance Page 2 of 11

Copyright 2015 Southerland Partners

All Rights Reserve

CONFIDENTIAL POSITION SPECIFICATION

Position Senior Vice President Finance

Company INOVA

Location Falls Church, VA

Reporting Relationship Chief Financial Officer

Website http://inova.org

THE OPPORTUNITY Position Summary

Responsible for the financial oversight of all of Inova’s health services operating units, including acute care hospitals, ambulatory services, physician services, and corporate support functions. Position reports to Chief Financial Officer. The SVP of Finance supports and works closely with the President/Chief Operating Officer to drive Inova’s business and financial goals. Positions Supervised:

• VP, Revenue Cycle • VP, Supply Chain • AVP, Financial Planning • Director, Reimbursement • Director, Revenue Integrity • Director, Corp. Health Info. Management • Operating Unit Financial Officers (7 FTE’s) in conjunction with their respective CEO’s

Principal Duties and Responsibilities:

1. Responsible for all aspects of revenue cycle throughout Inova, including all Patient Accounting, central scheduling, and analytical functions. Monitors payment and contract compliance performance for all managed care contracts.



2. Maintains an oversight responsibility for financial functions within Inova’s operating units. Co-supervises operating unit financial officers along with respective business unit CEO’s.

3. Directs Inova’s revenue strategy including pricing and interfaces with Managed Care

Contracting department to ensure payment compliance. 4. Oversees Inova’s supply chain function and related cost management initiatives. 5. Oversees Inova’s governmental reimbursement function. Approves all federal and state

cost report filings and settlement reserves.

6. In conjunction with senior management, develops divisional financial operating and capital budgets and implements necessary control systems to monitor financial performance vis-a-vis plan.

7. Assures adherence to Inova organizational policies related to internal control,

compliance and financial reporting. 8. Facilitates integration and standardization of financial systems, policies, and practices

across Inova operating units. 9. Participates as lead financial manager for operations improvement initiatives including

benchmarking, cost management and establishes monitoring systems. 10. Develops and implements financial training programs to enhance operational manager’s

knowledge of financial systems and analytical techniques.

11. Participates in development of Inova’s overall financial strategy and assists in its implementation.

Other Job Functions:

• Serves as staff to Inova governance committees and boards as required • Serves as a member of Presidents Council along with hospital CEO’s and executive

leadership. Council determines major operational strategy and execution. • Performs other duties as assigned.



Qualifications, Education and Experience • Bachelor’s degree in Finance, Accounting or Business. Master’s degree and/or CPA

licensure is required. • 10-15 years’ experience in senior level financial management positions required, with a

preference for at least 5 years as a CFO in a $1+ billion medical center or health care system or a #2 financial executive at a $2+ billion integrated delivery system. Experience in a high performing organization in a competitive market is strongly preferred.

• Experience with Epic clinical and revenue cycle systems is desirable. • Ability to work effectively with diverse personalities as well as all levels of governance,

management, and medical staff throughout Inova. Exceptional technical, communication, and leadership skills are a requirement.

Personal Characteristics

Strong technical competence in all aspects of health care financial management

Experience and demonstrated results in managing major financial systems (e.g. revenue cycle) of a health system or large medical center

Ability to achieve results through developing a talented, high-performing team of direct

reports High intelligence and ability to develop solutions to complex problems Ability to formulate strategy as well as perform detailed analysis when necessary

Exceptional communication skills and ability to take a stand on difficult issues

Partner with President/COO to implement operational goals and strategies Ability to work with senior leaders in all functional areas to help drive Inova’s business

objectives Ability to work with diverse personalities across all financial and operational functions Poise and self-confidence to gain trust of senior leaders and board members Credibility by building relationships with physicians and clinical leaders


INOVA SVP Finance

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COMPANY BACKGROUND/ CULTURE Inova Inova is a not-for-profit healthcare system based in Northern Virginia that serves more than two million people each year from throughout the Washington, DC, metro area and beyond. Governed by a volunteer board of community members, Inova has grown from one hospital in 1956 to a nationally recognized, comprehensive network of hospitals, outpatient services and facilities, primary and specialty care physician practices, and health and wellness initiatives serving the Washington, DC, metro area. Inova's five hospitals include more than 1,750 licensed beds and 16,000 employees. Inova encompasses the full array of health services, including the area’s only Level 1 Trauma Center and Level IV neonatal intensive care unit. Inova is also home to the nationally and internationally recognized Inova Heart and Vascular Institute (IHVI), Inova Translational Medicine Institute (ITMI) focused on genomics research, Inova Neuroscience Institute and Inova Children’s Hospital. Mission and Service Promise Inova's mission is to improve the health of the diverse community it serves through excellence in patient care, education and research. Inova's service promise is to seek every opportunity to meet the unique needs of each person they are privileged to serve – every time, every touch.



Vision They seek to optimize the health and well-being of each individual they serve. They will achieve this by building the future of health through their Vision 2015: • Reinventing hospital-based care to increase value for their patients

• Expanding premium and branded services by building an integrated network of providers

and programs to support their community

• Providing more efficient care through population health management.

Inova Hospitals Inova Alexandria Hospital: Alexandria, VA

Inova Alexandria Hospital is a 318-bed community hospital that offers a full range of healthcare services and has received national recognition for healthcare excellence. Inova Alexandria Hospital has been ranked #8 on the list of Best Hospitals in Virginia, #6 in the Washington, DC, metro area, and recognized as one of the best in Northern Virginia. They are ranked as a U.S. News Best Hospital in the following adult specialties: Diabetes & Endocrinology, Geriatrics, Nephrology, Neurology & Neurosurgery, Orthopedics, and Urology. Inova Fairfax Hospital: Falls Church, VA

Inova Fairfax Hospital, Inova's flagship hospital, is an 833-bed, nationally recognized regional medical center serving the Washington, DC, metro area. Inova Fairfax Hospital is consistently ranked among the top healthcare providers in the United States. U.S.News recently named Inova Fairfax Hospital #1 in the Washington, DC metro area for the third year in a row, as well as #2 in the state of Virginia, and one of the best in Northern Virginia. The hospital is nationally ranked as a U.S.News Best Hospital in gynecology and neonatology. They are also ranked as High Performing in 11 specialties: Cancer, Cardiology & Heart Surgery, Diabetes & Endocrinology, ENT, Gastroenterology & GI Surgery, Geriatrics, Nephrology, Neurology & Neurosurgery, Orthopedics, Pulmonology and Urology.


INOVA SVP Finance

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About Inova Fairfax Medical Campus

• Inova Women's Hospital, with the fifth most highly sought-after obstetrics program in the United States and a level IV NICU

• Inova Children's Hospital, an award-winning 186-bed, full-service children’s hospital devoted to the healthcare of infants, children and adolescents

• Inova Heart and Vascular Institute (IHVI), the region’s only dedicated cardiac care facility, housing the most advanced technology and facilities dedicated to the prevention, diagnosis and treatment of heart disease

• Inova Fairfax Hospital offers Northern Virginia’s only Level 1 trauma center for treating the most critically injured patients

• They offer a robust organ transplantation program, including heart, lung, kidney, pancreas and bone marrow transplant services

• Consistently recognized for excellence and innovation, the hospital was the first in the Washington, DC, metro area to receive the prestigious Magnet designation for nursing excellence

• Inova Fairfax Hospital is a teaching facility, partnering with the medical schools of Georgetown and George Washington Universities and the Medical College of Virginia; the nursing schools of George Mason and Marymount Universities. Other affiliations include Northern Virginia Community College; the pharmacy schools of Shenandoah, Howard and Campbell Universities and the Medical College of Virginia

Inova Children’s Hospital: Falls Church, VA

Inova Children's Hospital (formerly Inova Fairfax Hospital for Children) is an award-winning 186-bed, full-service children’s hospital devoted to the healthcare of infants, children and adolescents in the Northern Virginia area. Located on the campus of Inova's flagship hospital, Inova Fairfax Hospital, they share state-of-the-art technology, research and teaching innovations, and a dedicated team approach to patient care, including national Magnet recognition for nursing excellence.

U.S. News and World Report has again ranked Inova Children’s Hospital among the best in the nation in Neonatology and it is the only hospital in the region to be nationally ranked in both women’s and children’s care. According to U.S. News, only about 15 percent of hospitals are recognized as high-performing among their region’s best, and just three percent of all hospitals earn a national ranking in any specialty. Inova Fair Oaks Hospital: Fairfax, VA Inova Fair Oaks Hospital is a top-ranked 182-bed acute care community hospital serving the rapidly growing suburbs of Northern Virginia.



They are proud to have been named one of the Nation's 100 Top Hospitals by Truven Health Analytics for the second year in a row. They share this honor with their patients, their families, their entire staff and the community they are privileged to serve. Inova Loudoun Hospital: Leesburg, VA

Inova Loudoun Hospital is a 183-bed nationally recognized, acute-care community hospital with a rich history of proudly serving our growing and diverse community since 1912. The state-of-the-art technology at their main campus in Lansdowne is complemented by their outpatient services at our Leesburg, Dulles South and Purcellville locations. Inova Loudoun Hospital has been ranked by U.S. News & World Report as #11 in the Washington, DC, metro area, #17 in Virginia, and recognized as a U.S. News high-performing hospital in orthopedics and geriatrics. Inova Mount Vernon Hospital: Alexandria, VA Inova Mount Vernon Hospital is a 237-bed hospital offering patients convenience and state-of-the-art care in a community environment. Inova Mount Vernon Hospital is home to the nationally recognized Inova Joint Replacement Center and Inova Rehabilitation Center. Both are ranked among the top orthopedic and rehabilitation programs in the country. It also is the administrative and clinical home for the Inova Wound Healing Center, the region's largest and most experienced. Within the Wound Center, the Inova Mount Vernon Hospital hyperbaric unit offers the only 24/7 hyperbaric treatment center in the Washington, DC, region. Ambulatory Services Inova provides a full array of ambulatory services, including freestanding emergency centers, four ambulatory surgical centers, imaging centers offering multiple modalities including MRI and the Inova Medical Group with over 400 employed physicians. Several of Inova’s largest ambulatory operating units are co-owned with physicians. Innovation Health A jointly owned licensed health plan in which Inova and Aetna each own a 50% interest. The health plan was licensed in 2013 and offers individual, commercial and Medicare Advantage products. The plan has grown rapidly and has in excess of 100,000 covered lives. INTOTAL Health A 60,000 member wholly-owned Medicaid health plan licensed in Virginia.



Inova Financial Position

Inova is one of the financially strongest non-for profit health systems in the US. Inova has consistently produced operating margins at the very upper end of national rating agency benchmarks. It has one of the strongest balance sheets in the industry with over 600 Days in Unrestricted Cash and Investments. Inova holds a Aa2 long-term debt rating from Moody’s and is only one of five health systems rated AA+ with Standard and Poor’s.

Financial performance was down somewhat in 2013 due to an enterprise installation of the Epic clinical and revenue cycle systems. Performance through the third quarter of 2014 has rebounded to historical levels.

Inova Key Statistics for 2013

Licensed Hospital Beds: 1,753

Inpatient Admissions: 96,069

Births: 18,581

Emergency Room Visits: 399,998

Employees: 17,396

Nurses: 5,534

Affiliated Physicians: 4,621

Financial Statistics for 2013 (in $millions) Net operating revenue: $2,539 Operating income: $132 Investment in new Facilities and equipment: $365 Investment in medical education and research: $30





SOUTHERLAND PARTNERS CONTACT INFORMATION Keith Southerland Managing Partner Southerland Partners 3824 Cedar Springs Rd. #801-4909 Dallas, TX 75219 469.296.4477 855.390.4767 Cell: (214) 697-3479 [email protected] Neill Marshall Partner Southerland Partners 3824 Cedar Springs Rd. #801-4909 Dallas, TX 75219 469.296.4477 855.390.4767 972-421-1574 Fax [email protected]

mailto:[email protected]

mailto:[email protected]

FALLS CHURCH, VA AREA OVERVIEW

About Falls Church The City of Falls Church, Virginia is a unique and historic city. It is an active community located just a few miles from Washington, D.C. In fact, City Hall is only 9 miles from the White House. Besides featuring quick access to renowned museums and art galleries in nearby Washington, D.C., almost every neighborhood in Falls Church is a treasure of its own. With a population of 12,332, the city is known for its urban village community, nationally ranked school system, environmental activism, and endless community activities. The community is also home to a number of unique shopping experiences and regionally known restaurants. Residents are highly educated and have the highest median income in the country, making Falls Church an ideal location for relocation.

The greater Falls Church area is composed of Falls Church City and parts of Arlington and Fairfax Counties. Falls Church City is a 2.2 square mile independently incorporated city. Falls Church is easily access by Routes 66 and 50, the East and West Falls Church Metro Stations (Orange Line), and by a number of bus routes. About Washington DC After 224 years as the nation’s capital, Washington is a place brimming with a unique history of its own. It has developed as a complex and layered city with multiple personalities. As home to the federal government, it has attracted a diverse mix of government workers, members of Congress from every state, foreign emissaries, lobbyists, petitioners and protestors. While elected and appointed officials come and go giving the city its reputation as a transient community, many of the city’s residents have called Washington home for multiple generations. Their stories give Washington its distinctive character as both a national and local city.

The Nation’s Capital…within the exciting and fun Washington DC Metro area there is plenty to do.

Major attractions include the performing arts and cultural museums, memorials and historical, educational and family entertainment sites. In 2008, Travel and Leisure ranked Greater Washington, D.C. number one in the U.S. in museums and galleries and in historical sites and monuments.

− The Smithsonian − National Air & Space Museum − National Children's Museum − National Postal Museum − United States Holocaust Memorial Museum − International Spy Museum − The National Gallery of Art − The National Archives − The National Geographic Museum − The National Zoo − Library of Congress − The National Aquarium − The C & O Canal − Mount Vernon − Belle Grove Plantation − Woodlawn Plantation − US Botanical Gardens − Ford’s Theatre − The Kennedy Center − The National Theatre − Nissan Pavilion − Olney Theater

Population (2014) Falls Church 12,300 Washington-Arlington- Alexandria Metro Area 5,603,696 Distance to Nearby Cities Arlington, VA 4 miles Washington, DC 9 miles Alexandria, VA 14 miles Baltimore, MD 51 miles Richmond, VA 106 miles Wilmington, DE 122 miles Philadelphia, PA 153 miles Virginia Beach, VA 206 miles New York, NY 240 miles Pittsburgh, PA 242 miles Raleigh, NC 278 miles Climate The Falls Church area has four distinct seasons with average temperatures ranging from 33F (0 C) in January to 82F (27 C) in July. Snow in the winter and sunshine in the summer mean that this region’s climate offers a little of everything.

Air Transportation

Falls Church is within an hour’s drive of Baltimore-Washington International, Dulles International and Reagan National Airports.

Washington Dulles International Airport: Dulles is located in Chantilly, Virginia, on 12,000 acres of land 26 miles from downtown Washington, DC. Dulles is a major hub for domestic and international air travel with eleven domestic legacy and low fare carriers and 22 international carriers which provide air service throughout the world.

Ronald Reagan Washington National Airport: Located in Arlington, Virginia. DCA is served by 13 major airlines and serves almost 19 million

passengers annually. Built in 1941, the airport’s original Terminal, now called Terminal A, is on the National Register of Historic Places. The airport features an unequaled view of Washington D.C. and key monuments and quality shopping and dining establishments located before and after security. Reagan National is directly linked to the region’s Metrorail system which is adjacent to Terminal B/C.

Baltimore-Washington International Airport: BWI serves over 2 million passengers each year. Thirty-one commercial airlines schedule daily domestic and international flights from BWI. The terminal includes almost two million square feet, 45 acres, with 5 concourses, 69 jet gates and 9 gates dedicated to commuter aircraft.

Area Attractions Historic Falls Church: The Falls Church community developed around The Falls Church, which was founded in 1734 and whose congregation has included President George Washington and Virginia statesman George Mason. The name "The Falls Church" came from its geographical location. Among the very few, widely separated churches in the parish, this church was identified as the one that was "near the falls" of the Potomac River. Historic Homes: Some noteworthy Falls Church residences listed in the National Register of Historic Places include Mount Hope and the Birch House. Home Hill (now the Lawton House), built in 1854 served as a Confederate Headquarters in 1861. Tallwood is the historic home owned by Dr. Milton Eisenhower in the 1930s and 40s and used by his brother General Dwight D. Eisenhower in the early days of World War II. The Henderson House was the home of E.B. Henderson and Mary Ellen Henderson, prominent African American educators in the early 20th century. Eden Center: Located at the city's eastern tip, the Eden Center is the largest Vietnamese shopping center on the East Coast. There are more than 120 stores inside the Center. A Lion Arch gateway entrance was erected to honor Vietnamese and Chinese cultures.

Cherry Hill Farmhouse: The Cherry Hill Farmhouse, with its adjoining barn, is a historic family farm built in 1845. Cherry Hill Farm was once a thriving 73-acre farm and survived the Civil War despite being repeatedly overrun, raided, and requisitioned. The City of Falls Church now owns Cherry Hill and maintains the household's authentic 18th- and 19th-century furniture and period tools in the 1856 barn. Tinner Hill: Tinner Hill is the site of the first rural chapter of the National Association for the Advancement of Colored People. African Americans settled in the Tinner Hill neighborhood following the Civil War. The area is named for the prominent Tinner family, who owned a

portion of the land. Mount Vernon- George Washington’s Estate & Gardens: Located in nearby Mount Vernon, the beautiful riverside estate of George Washington includes the Mansion, outbuildings, tomb, & working farm, and new visitor facilities with 25 galleries and theaters. The new Orientation Center and Museum and Education Center feature interactive displays, movies, and high-tech, immersive experiences in addition to more than 700 artifacts.

Arts and Culture ArtSpace Falls Church: ArtSpace Falls Church is a little center for the arts - housing a 95-seat theater and an art gallery. Creative Cauldron is the nonprofit arts organization that manages and operates ArtSpace. Creative Cauldron's mission is to make the arts affordable and accessible to everyone, offering year-round educational programs in the arts as well as professional performances of live theater, music and dance for adults and for children. The State Theater: This historic former movie theater is a regionally renowned venue for concerts and

awards programs. The State Theater of Falls Church opened in 1936 and operated as a popular movie house until the late 1980s. A multi-million dollar restoration in the late 1990s turned it into a venue for live music and private events. The Alexandria Symphony Orchestra: Northern Virginia’s premiere fully professional orchestra, the Alexandria Symphony Orchestra, located just a few minutes from Falls Church in Arlington, was founded in 1954 and has established a reputation for thematic and inter-arts programming that features a mix of classical and contemporary music.

Sports, Outdoor and Scenic Attractions Green Spring Gardens and Horticultural Center: Located in nearby Alexandria, this center includes demonstration gardens, a greenhouse and a newly-expanded horticultural center that provides visitors with scenes to delight the senses, and for the home gardening enthusiast, the possibility for new ideas as well. A kitchen garden, fruit garden, wildflower garden and rock garden are among the demonstration gardens visitors may peruse. Green Spring Gardens Park also has a restored 18th century manor house with gazebo and a wooded stream valley with ponds. The demonstration gardens include a kitchen garden, fruit garden, wildflower garden and rock garden. Hidden Oaks Nature Center: Set within the 52 acre Annandale Community Park, this nature center is located in the heart of Fairfax County in nearby Annandale. This exciting nature center is surrounded by an urban woodland forest. Families can investigate different levels of the forest and meet a variety of amphibians and reptiles. Interactive stations provide an educational children's corner with hands on learning activities.

Falls Church City Parks: The City of Falls Creek features 11 parks where residents can walk, run, bike and relax. Many of the city’s parks have play equipment and offer volleyball, basketball and tennis courts as well as picnic tables and barbecue grills. Popular parks include Lincoln Park, West End Park and Roberts Park. Washington and Old Dominion Trail: The Washington and Old Dominion Railroad Regional Park (W&OD) is one of the narrowest and longest parks in Virginia, measuring at 100 feet wide by 45 miles long. While originally a railway line, the W&OD now offers 45 miles of

asphalt trail and 32.5 miles of crushed stone and dirt bridle paths. Professional Sports: Professional sports in the DC area are varied and exciting. From football to soccer to women’s basketball, sports venues and area teams include not only Washington, but also Baltimore, Maryland, for the sports enthusiast. Local and area professional sports teams include:

• The Washington Redskins • The Washington Capitals • The Washington Nationals • DC United (Soccer) • The Washington Wizards • The Washington Mystics (Women's Basketball) • The Baltimore Orioles • The Baltimore Ravens

Shopping and Dining The City of Falls Church is a historical destination and is known locally as "The Little City". It has abundant Civil War stories for history enthusiasts and is home to some of the area’s best boutique shopping and local dining establishments. Falls Church is known for the small, independently-owned businesses found all across the city. An eclectic blend of locally-owned, regionally recognized, and national brand stores serve almost every need. While conveniently located near the Tysons Corner Shopping Malls and Seven Corners Shopping Center, as well as a number of other shopping meccas, the capital city’s numerous retail and service establishments offer shopping opportunities unique to The Little City. Whether you are looking for toys, designer clothing, vintage housewares, local produce, homemade baked goods, garden equipment, party supplies, handmade jewelry, or art by local artists, you can find it all in Falls Church. Shopping centers include Broaddale Village Center, Eden Center, Falls Plaza, George Mason

Square, Independence Square, Old Brick House Square, The Shops at Broad Falls, Tower Square, West End Plaza, and Washington Market. The City of Falls Church is home to over 125 restaurants, bakeries, take-outs, convenience, and quick-serve food establishments. Experience a culinary trip around the world in only 2.2 square miles - America, Mexico, Italy, Peru, Bolivia, Afghanistan, India, China, Vietnam, and so much more.

Education Public Schools: Falls Church City Public Schools Education has long been a priority of the city of Falls Church, which is home to 4 exceptional public schools; Mt. Daniel School for grades pre-K through one, Thomas Jefferson Elementary School for grades 2 through 5, Mary Ellen Henderson Middle School for grades 6 through 8, and George Mason High School for grades 9 through 12. Each is fully accredited, recognized for excellence at the state and national levels, and offers small class sizes. Falls Church city students consistently score well above national and state averages on standardized tests and, in 2013, Falls Church students claimed the highest SAT scores and on-time graduation rate in the Washington D.C. Metropolitan region. Falls Church City Public Schools enjoys a national reputation for excellence and is committed to maintaining its standing as a premier small school system in the nation. The city’s school division serves a multi-cultural population of 2, 400 students representing more than 25 different nationalities.

Higher Education

There are over nineteen colleges and universities in the Washington, D.C. area that are listed under the Carnegie Classification of Institutions of Higher Education. These institutions include five research universities, four master's universities, and ten special-focus institutions. Sixteen of Washington, D.C.'s post-secondary institutions are private, of which three are for-profit. Only three of the city's post-secondary institutions listed under the Carnegie Classification of Institutions of Higher Education are public. In addition to the institutions listed under the Carnegie Classification of Institutions of Higher Education, Washington, D.C. has three additional private not-for-profit post-secondary institutions (Graduate School USA, Johns Hopkins University's Paul H. Nitze School of Advanced International Studies, and St. Paul's College) and an additional public post-secondary institution (National Defense University).

Area Institutions of Higher Education − George Washington University − Northern Virginia Community College, Alexandria

Campus − Virginia Tech National Capital Region − Georgetown − Gallaudet University

Housing Falls Church is only a few minutes to downtown DC, but the community has minimal crime, noise, congestion and most of the other drawbacks that come with being a city. Each neighborhood in Falls Church has a distinct character and charm of its own and every area is alive with energy and excitement. The median home value in Falls Church in 2014 was $532,281.

Economy and Cost of Living With its ideal location inside the Capital Beltway and only 6 miles outside of Washington, DC, the City of Falls Church is densely populated and has exceptional consumer spending power. Within the city's 2.2 square miles is a population of 12,332 residents with a median household income of $103,202. With a geography that ranges from world-class technology centers to historic cities and towns, from urban corridors to rural countryside, Northern Virginia offers unparalleled options for business locations. Strong clusters exist in the region in government contracting, defense electronics, information technology, biotechnology and bioinformatics, and telecommunications sectors. The "Birthplace of the Internet", Northern Virginia has the highest concentration of bandwidth in the world, and more opportunities than anywhere else.

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#6022 inova svp fin position specification w community 2015 02 09