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Does an incentive plan designed for
an academic practice have applications in private practice?
More specifically, can outpatient-focused radiology
practices find something of value in an incentive plan
that assigns points to various behaviors in addition
to RVUs? An article by Edward Bluth, MD, chairman of
radiology at Ochsner Clinic, in the May issue of the
Journal of the American College of Radiology, describes
an incentive plan implemented at Ochsner that put 10%
of individual income at risk in a pool for distribution.
And while an academic environment presents challenges
to measuring individual contributions that are not found
in private practice, issues related to measuring input
in any practice are universal.
Each department was required to assign 10% of individual
compensation to a pool for distribution. The radiology
risk pool had two components: 80% of the pool was assigned
to good-citizen activities expected to be achieved by
all; the remaining 20% was earned through activities
under voluntary personal control that would benefit
the department. In order to help develop the list of
activities and behaviors that would earn this part of
the incentive pool, Bluth appointed an advisory incentive
committee that consisted of 5 people: the chair (Bluth),
vice-chair for clinical activities, vice chair for academic
and research activities, and two elected members of
the general department. This committee was also charged
with developing a self-study document to be filled out
by each participant and defining criteria and a point
system to measure individual contributions.
The following list of activities was devised:
- Resident lectures and case conferences
- Committee work within the department, the institution,
at the state and national levels
- Development of new components of the practice or
business
- Resident interviews
- Attendance and participation in interdepartmental
conferences
- Institutional review board-approved research
- Research presented by mentored residents or staff
members at national and regional meetings
- Papers submitted to peer-reviewed journals
- Editorial board positions
- Speaking at local, regional, and national meetings
- Assignment as a resident mentor during a 4-year
program
- Timely signing of reports
- Regular attendance at staff meetings
- Teacher of the year
- Clinical production (the top three producers were
guaranteed to receive the mean number of points for
departmental activities)
The committee reviewed the reports and graded the
self-study reports submitted by each department member.
To arrive at a dollar per point value, the total number
of points achieved by all members was added and divided
by the total dollars in the 2% pool. The radiologist’s
incentive award was calculated by multiplying his or
her number of points by the point value. Despite prevailing
wisdom that an incentive plan must involve 20% to 30%
of compensation to be effective, Bluth reported many
positive outcomes in access, production, and scholarly
activities generally attributed to the incentive plan,
The number of points assigned to each individual ranged
from 25 to 70, and the point value fluctuated between
$100 and $200, depending on the 6-month period. |