Britton restructures Mercy team, eyes Joplin hospital - St. Louis Business Journal:

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The health-care system, which operates 19 including inCreve Coeur, recently restructure d its management team, is pursuing the acquisition of a 20th and is considering a multimillion-dollaer capital campaign to fund the development of what Britton describes as a new mode of care. Mercy’s operations are now divided into twogeographic regions. Denny DeNarvaez, president of St. John’s Mercy Health Care in St. Loui and Washington, Mo., has been named seniorf vice president for regional markets and will continue tooversed Mercy’s local operations as well as its Oklahomsa facilities. Kim Day, president and CEO of the in Springfield, Mo.
, also has takenj on the title of senior VP and will add oversightof Mercy’as Arkansas and Kansas regions to her responsibilities. Also joining Britton’ss management team is Mike who recently was named chief operating a position that had been vacant for the past two McCurry has been with Mercy since 1988 and previouslyy served as chiefinformation officer. Jim Jaacks, who previouslh served as chieffinancial officer, was named to the newlu created position of executive vice presidenrt of finance. He will focus on managinf Mercy’s investment funds and the financiaol aspects of new care modelsbeingy developed. Randall Combs, formerly chief operating officer and CFOof St.
John’sw Mercy Health Care in St. Louis, will replace Jaack s as CFO. These changes are the last steps in a restructurin process that started a decade ago as Merchy began to move from a holding compangy model to one with corporate functionsconsolidated centrally. “We’re no longert living in the balancde between holding company andoperating company,” said who took on his new role Jan. 30. He replacede John Sullivan, who had served as president and CEOsincwe 2007. In addition, the moves will bring Mercy’s corporatde operations and field operations under one management which was not previouslythe case.
“I oversaw but I also had IT and marketingfor corporate, and someone else had Oklahoma, but they also had legaol and finance,” Britton said. “It was tough to get a consistent Just over ayear ago, SSM Health Care-St. Louis also restructurede its operations into two geographicalgroups — with threes hospitals in each of the southern and northerhn regions. This restructuring has allowed the health system to streamline operation s and reduceadministrative overhead, according to Jim president and CEO. “Those changeds are what enabled us to becomre more effective in how we deliver Sanger said. Mercy, which had $3.
7 billion in fiscal 2008 operating revenue, now will be able to focus on additionalgrowtu opportunities, Britton said. “We’ve had our headsx down for 10 years building our he said. “We’re done with that.” For Mercy is now negotiatingwith Denver-based Catholidc Health Initiatives to acquire , a 367-bed hospital in Joplin, Mo. If completed, the transaction woul represent the first hospital acquisition by Mercyh in more thana decade. Brittonn said there are several other either in markets wherd Mercy already operates or in adjacent that have expressed interest in becominbg partof Mercy.
Britton said the health-care system has not been untoucherd by theeconomic downturn. Mercy’s investment though still topping $1 is “not what it used to be.” The systemn has seen a growth in bad debt and a declined inelective surgery, but overall patient volumez have remained steady. Britton said construction projects are on hold with the exceptio n offour — a $150 millionm new patient tower at St. John’e Mercy Medical Center; a $60 million data centere in Washington, Mo.; the $450 million systemwidwe electronicrecords initiative; and a $60 million patient towert at in Ardmore, Okla.
Meanwhile, Mercy is mulling the launcj of a capital campaign for morethan $300 millionn to develop a . Based in St. the center would be comprisedof physicians, executivez and other providers developinyg innovative systems for managing care, providing training caregivers and advancing research. Mercy has teams of physicians and executives workinhg on new modelsof care, including concepts such as Web-basesd portals through which caregivers interacrt with patients, administer prescriptions and remotely monitor chronic conditions.