Literature Review

Cardinal Health, OptumRx break up Becker's Hospital Review, by Paige Twenter; 4/22/24Cardinal Health's pharmaceutical distribution contracts with OptumRx, a subsidiary of UnitedHealth Group, will not be renewed, the medical distributor said April 22.  The contracts, which mainly included non-specialty bulk shipments to Optum's mail dispensing sites, will expire in late June. In 2023, sales to OptumRx generated 16% of Cardinal Health's consolidated revenue. "Total sales to OptumRx generate a meaningfully lower operating margin than the overall pharmaceutical and specialty solutions segment," Cardinal said. McKesson Corp. won the contract, according to Bloomberg, which cited Evercore ISI. 

Recent Executive Changes - 4/19/24

Former nursing home CEO gets 2.5 years, must pay $11 million restitution for neglecting payroll taxes McKnights Long-Term Care News, by Josh Henreckson; 4/9/24The former CEO of a healthcare administrative services company was sentenced Friday to 30 months in prison followed by two years of supervised release for failing to pay more than $10 million in payroll taxes at companies he owned. Josef Neuman had been CEO of a Lakewood, NJ, company that provided services to nursing homes and other healthcare providers, including around 20 that Neuman also co-owned. 

I’m a CEO: Here’s how much I made in my first role & how that inspired me to keep going Nasdaq.com, by Martin Dasko; 4/10/24 If you’ve ever wondered what a CEO made in their first job, we’ve spoken with someone who shared insights into his journey from an entry-level position to being in charge of an entire business. [Lessons:]

Other Business Headlines of Interest, updated 4/4/24 per nasdaq.com

Retirement runway lengthens for some CEOsBecker's Hospital Review, by Alexis Kayser; 3/28/24Amid an uptick in abrupt CEO exits, some hospital leaders are drawing out their departures. ... [A] number of CEOs giving retirement notices well in advance. The reasons might seem obvious: Sudden exits, especially from a tenured leader, can disrupt entire systems. A longer transition period gives boards time to identify the right successor and even allows for some overlap in which the outgoing and incoming CEOs can exchange ideas. 

Other Business Headlines of Interest, updated 3/28/24 per nasdaq.com

Nominate an influential clinical executive todayModern Healthcare; 3/20/24 Modern Healthcare is seeking nominations through April 15 for our annual 50 Most Influential Clinical Executives awards. The recognition program recognizes clinical leaders across the industry who are paving the way to better health through their executive responsibilities, leadership qualities, innovative ideas, community service and achievements inside and outside of their organizations. Nominations are open.

Becker's Hospital Review, by Alexis Kayser; 3/29/24 Last year, hospital CEO turnover hit a record high, placing additional strain on many health systems' unstable foundations. In March, Becker's connected with healthcare leaders at prominent executive search and consulting firms to learn where this trend stands. ... [This article examines:]

5 hospitals seeking CEOs Becker's Hospital Review, by Kelly Gooch; 3/11/24 Here are five hospitals that recently posted job listings seeking CEOs.|

Board Director Role: A discreet leadership role gets tougherBecker's Hospital Review, by Molly Gamble; 3/5/24A position at the top of organizations, including health systems, is "probably more complex than ever" but with limited visibility. The board director role is increasingly demanding, according to Frithjof Lund, the global leader of McKinsey's Board Services practice. "New topics pile onto the board agenda almost by the day," Mr. Lund said. "We've also seen a massive increase in the expectations of the board to engage on strategy, investments and M&A, performance management, risk, talent, and the organization." 

The unique perspectives of healthcare leaders under 40Becker's Hospital Review, by Kelly Gooch; 2/2024Becker's asked some of our "rising stars" under 40 to answer the following question: As a young leader in healthcare, what unique perspectives or approaches do you bring to your role that you believe are particularly valuable in driving innovation and addressing the evolving needs of patients and healthcare providers?