Healthcare PR & Marketing News 1998 Salary Survey

Care Providers

This section provides salary information for key management and contributor positions within the local hospital-dominated provider environment with limited assumption of risk and limited integration of the care continuum. The results are based on responses from 603 care providers, encompassing more than 12,600 employees.

HEAD OF HOSPITAL MARKETING/PR

This person plans, directs and implements community-based marketing efforts and media relations campaigns to improve market share. This position typically reports to the president/CEO or EVP/CEO.

(in thousands)

Salary-Employee Weighted $69.6
Total Cash Compensation-Receivers $91.1
# Employees supervised 10
Region in U.S. (Average Base Salary)
Northeast $81.0
Southeast $73.0
North Central $61.0
South Central $77.4
West Coast $93.7
Total Net Revenue
Less than $50 million $50.1
$50 - $200 million $68.0
$200 million or more $92.0
For Profit/Not-For-Profit Organizations
Less than $100 million net revenue $56.0
$100 million or more net revenue $85.0
Religious Organizations (avg.) $70.8
Less than $100 million net revenue $77.7
$100 million or more net revenue $79.7
Secular Organizations (avg.) $69.3
Less than $100 million net revenue $55.1
$100 million or more net revenue $85.8
Teaching Organizations (avg.) $79.1
Less than $200 million net revenue $59.8
$200 million or more net revenue $90.7
Non-Teaching Organizations (avg.) $65.5
Less than $100 million net revenue $56.3
$100 million or more net revenue $84.7
Free Standing Organizations (avg.) $66.7
Less than $150 million net revenue $57.4
$150 million or more net revenue $90.1
System-Owned Organizations (avg.) $73.4
Less than $150 million net revenue $66.3
$150 million or more net revenue $85.4
Unstructured/Loose Framework (avg.) $61.8
Less than $75 million net revenue $48.0
$75 million or more net revenue $74.6
Consolidation/Managed Comp. (avg.) $84.3
Less than $75 million net revenue $73.3
$75 million or more net revenue $90.2
2ND LEVEL EXECUTIVE OF HOSPITAL PR

This person plans and directs programs to develop public awareness of the hospital and represents the hospital in interactions with the community

Salary-Employee Weighted $55.3
Total Cash Compensation-Receivers $69.1
# Employees Supervised 4
Region in U.S. (Average Base Salary)
Northeast $68.1
Southeast $49.7
North Central $51.1
South Central $56.3
West Coast $58.6
Total Net Revenue
Less than $50 million $40.8
$50 - $200 million $51.4
$200 million or more $60.4
For Profit/Not-For-Profit Organizations
Less than $100 million net revenue $43.7
$100 million or more net revenue $58.7
Religious Organizations (avg.) $55.5
Less than $100 million net revenue $48.6
$100 million or more net revenue $56.6
Secular Organizations (avg.) $55.3
Less than $100 million net revenue $40.6
$100 million or more net revenue $56.6
Teaching Organizations (avg.) $64.8
Less than $200 million net revenue $56.4
$200 million or more net revenue $68.5
Non-Teaching Organizations (avg.) $50.2
Less than $100 million net revenue $42.8
$100 million or more net revenue $52.5
Free Standing Organizations (avg.) $52.0
Less than $150 million net revenue $42.5
$150 million or more net revenue $69.6
System-Owned Organizations (avg.) $57.7
Less than $150 million net revenue $54.7
$150 million or more net revenue $58.0
Unstructured/Loose Framework (avg.) $51.9
Less than $75 million net revenue $36.8
$75 million or more net revenue $56.9
Consolidation/Managed Comp. (avg.) $59.0
Less than $75 million net revenue N/A
$75 million or more net revenue $57.9
2ND LEVEL EXECUTIVE HOSPITAL MARKETING

This person develops and coordinates programs for marketing new and existing hospital services to the community, conducts market research and organizes and asseses advertising/marketing campaigns.

Salary-Employee Weighted $63.7
Total Cash Compensation-Receivers N/A
# Employees Supervised 4
Region in U.S. (Average Base Salary)
Northeast $76.4
Southeast $53.0
North Central $54.3
South Central $76.0
West Coast $78.8
Total Net Revenue
Less than $50 million $55.2
$50 - $200 million $54.9
$200 million or more $74.0
For Profit/Not-For-Profit Organizations
Less than $100 million net revenue $55.0
$100 million or more net revenue $68.7
Religious Organizations (avg.) $57.4
Less than $100 million net revenue N/A
$100 million or more net revenue $61.3
Secular Organizations (avg.) $65.2
Less than $100 million net revenue $52.5
$100 million or more net revenue $70.6
Teaching Organizations (avg.) $67.2
Less than $200 million net revenue $59.4
$200 million or more net revenue $75.7
Non-Teaching Organizations (avg.) $61.7
Less than $100 million net revenue $51.6
$100 million or more net revenue $69.1
Free Standing Organizations (avg.) $58.3
Less than $150 million net revenue $49.4
$150 million or more net revenue $63.7
System-Owned Organizations (avg.) $69.0
Less than $150 million net revenue $55.2
$150 million or more net revenue $77.4
Unstructured or Loose Framework (avg.) $51.9
Less than $75 million net revenue $46.5
$75 million or more net revenue $53.1
Consolidation/Managed Comp. (avg.) $60.9
Less than $75 million net revenue N/A
$75 million or more net revenue $59.0
HEAD OF HOSPITAL PATIENT RELATIONS

This person plans, organizes and directs the hospital's efforts to monitor patient satisfaction; resolves patient/family member concerns and works with other departments on patient issues.

Salary - Employee Weighted $47.3
Total Cash Compensation-Receivers $50.1
# of Employees Supervised 5
HEAD OF HOSPITAL DEVELOPMENT/FOUNDATION

This person obtains new revenue funds through the acquisition of gifts, donations and grants and acts as a liaison with various outside agencies.

Salary - Employee Weighted $77.0
Total Cash Compensation-Receivers $91.4
# of Employees Supervised 5
HEAD OF SOCIAL SERVICES

This person plans and directs social services for patients and families; provides counseling for hospitalization and financial concerns; and develops policy for community planning efforts.

Salary - Employee Weighted $55.6
Total Cash Compensation-Receivers $61.1
# of Employees Supervised 14
HEAD OF HOSPITAL TOTAL QUALITY MANAGEMENT

This person implements total quality programs, including quality improvement team/projects and audits/policies.

Salary - Employee Weighted $64.2
Total Cash Compensation-Receivers $68.2
# of Employees Supervised 12
PRESIDENT/CHIEF EXECUTIVE OFFICER I

Top management position in a stand-alone (non-system) hospital, reports to the board of directors.

Salary - Employee Weighted $204.4
Total Cash Compensation-Receivers $264.0
# of Employees Supervised 1,470
PRESIDENT/CHIEF EXECUTIVE OFFICER II

Top management position in a system-owned or operated hospital, reports directly to system senior management or the hospital's board of directors.

Salary - Employee Weighted $195.6
Total Cash Compensation-Receivers $247.3
# of Employees Supervised 854

Multimarket Organizations

This section includes corporate/regional executive and key management positions in multimarket provider management companies, local/regional more fully-integrated care delivery systems and managed care organizations. The results are based on responses from 88 healthcare organizations, representing more than 1,400 incumbents.

TOP MARKETING EXECUTIVE

This person plans, directs and coordinates the marketing activities of the company.

Salary $143.3
Total Cash Compensation-Receivers $186.8
High Risk, Low Integration (avg.) $159.2
Less than $500 million net revenue $127.6
$500 million or more net revenue $171.1
Low Risk, High Integration (avg.) $123.1
Less than $500 million net revenue $112.7
$500 million or more net revenue N/A
High Risk, High Integration $125.9
Total Net Revenue
Less than $500 million net revenue $114.7
$500 million < $1 billion net revenue. $145.1
$1 billion or more $174.4
For Profit/Not-For-Profit Organizations
Less than $500 million net revenue $113.6
$500 million < $1 billion net revenue. $135.2
$1 billion or more net revenue $160.8
System/Plan Parent
Less than $500 million net revenue $116.7
$200 million < $1 billion net revenue. $138.5
$1 billion or more net revenue $170.2
TOP PR EXECUTIVE

This person plans and directs system-wide programs to develop public awareness in the system and individual hospitals and other operating entities.

Salary $104.8
Total Cash Compensation-Receivers $131.7
High Risk, Low Integration (avg.) $117.6
Less than $500 million net revenue N/A
$500 million or more net revenue $122.1
Low Risk, High Integration (avg.) $94.4
Less than $500 million net revenue $76.4
$500 million or more net revenue $114.1
High Risk, High Integration (avg.) $98.6
Total Net Revenue
Less than $500 million net revenue $82.0
$500 million < $1 billion net revenue $104.5
$1 billion or more $129.9
For Profit/Not-For-Profit Organizations
Less than $500 million net revenue $80.8
$500 million < $1 billion net revenue. $108.6
$1 billion or more net revenue $127.1
System/Plan Parent
Less than $500 million net revenue $83.0
$500 million < $1 billion net revenue. $104.5
$1 billion or more net revenue $129.1
COMMUNICATIONS DIRECTOR

This person directs all internal and external communications activities to support corporate image. Typically reports to top PR or marketing executive.

Salary $78.0
Total Cash Compensation-Receivers $111.6
Total Net Revenue
Less than $500 million net revenue. $82.0
$500 million < $1 billion net revenue. $104.5
$1 billion or more $129.9
For Profit/Not-For-Profit Organizations
Less than $500 million net revenue. $80.8
$500 million < $1 billion net revenue. $108.6
$1 billion or more $127.1
System/Plan Parent
Less than $500 million net revenue. $83.0
$500 million < $1 billion net revenue. $104.5
$1 billion or more $129.1
TOP GOVERNMENT RELATIONS EXECUTIVE

This person coordinates corporate efforts involving state and federal governments.

Salary $129.8
Total Cash Compensation-Receivers $157.7
Total Net Revenue
 
Less than $500 million net revenue. $110.9
$500 million < $1 billion net revenue. $111.1
$1 billion or more $150.8
For Profit/Not-For-Profit Organizations
Less than $500 million net revenue. N/A
$500 million < $1 billion net revenue. $111.6
$1 billion or more $140.2
System/Plan Parent
Less than $500 million net revenue. $110.9
$500 million < $1 billion net revenue. $109.4
$1 billion or more $138.6
TOP QUALITY ASSURANCE/UTILIZATION REVIEW EXECUTIVE

This person develops and implements system-wide quality patient care standards, policies and programs and hospital accreditations.

Salary $98.4
Total Cash Compensation-Receivers $118.0
TOP PRODUCT/SERVICE LINE MANAGER

This person develops and manages one or more product/service lines (e.g. cardiac, ob/gyn women's health) within a system or integrated health network, including marketing plans, budgets, goals and objectives.

Salary $87.3
TOP SALES EXECUTIVE

This person implements sales strategies for the sales network, oversees field sales force and develops membership growth initiatives.

Salary $149.4
Total Cash Compensation-Receivers $188.9
TOP FOUNDATION EXECUTIVE

This person develops and coordinates the organization's fund-raising activities to attract major gifts and broad-based annual giving.

Salary $119.6
Total Cash Compensation-Receivers $149.2
TOP BUSINESS DEVELOPMENT & ACQUISITIONS EXECUTIVE

This person identifies and analyzes possible mergers, acquisitions an divestitures and makes relevant recommendations based on profit potential.

Salary $155.9
Total Cash Compensation-Receivers $202.3
TOP MANAGED CARE MARKETING & SALES EXECUTIVE

This person develops and coordinates marketing and sales activities for managed care entities to meet operating and financial goals.

Salary $131.4
Total Cash Compensation-Receivers $187.4
TOP MANAGED CARE (HMO/PPO) EXECUTIVE This person plans and coordinates all managed care operations, including policies and procedures, short-and long-term goals and patient subscription efforts.
Salary $190.6
Total Cash Compensation-Receivers $261.3
TOP MANAGED CARE PHYSICIAN NETWORK EXECUTIVE

This person develops a physician network and the integration of physician services with individual managed care plans.

Salary $143.3
Total Cash Compensation-Receivers $175.0
PRESIDENT/CHIEF EXECUTIVE OFFICER - ULTIMATE PARENT

Top management position for directing the overall operation of a corporate healthcare organization. Reports to board of directors.

Salary-Employee Weighed $395.6
Total Cash Compensation-Receivers $557.5
PRESIDENT/CHIEF EXECUTIVE OFFICER - NON-PARENT

Top administrator for a geographic subsidiary entity (e.g. regional health plan, geographic operating unit) owned by a corporation. Reports to the system CEO or a subsidiary board of directors.)

Salary $240.7
Total Cash Compensation-Receivers $304.3

**Key**

Salary information provided in this survey is based on the following key factors:

Base Salary Averages: represented in the 1000s

Salary Employee Weighted: Base salary reported by all organizations, current as of April 1, 1997. Statistics are based on the average of individual salary rates for each employee.

Total Cash Compensation-Receivers: Base salary plus reported incentive for all incumbents receiving an incentive payment

Consolidation/Managed Competition: Shakeout of marginal players - fewer HMOs/insurers in each market.

Unstructured /Loose Framework: Dominated by major indemnity insurers. Few provider systems - beginning formation of provider networks.

Northeast: Connecticut, Delaware, District of Columbia, Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania, Rhode Island and Vermont.

Southeast: Alabama, Florida, Georgia, Kentucky, Mississippi, North Carolina, South Carolina, Tennessee, Virginia and West Virginia.

North Central: Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Missouri, Montana, Nebraska, North Dakota, Ohio, South Dakota, Wisconsin and Wyoming.

South Central: Arizona, Arkansas, Colorado, Louisiana, New Mexico, Oklahoma, Texas and Utah.

West Coast: Alaska, California, Hawaii, Idaho, Nevada, Oregon and Washington.