Tuesday, February 01, 2005

A New CEO for Independence Blue Cross

Independence Blue Cross (IBC) of Pennsylvania just announced the appointment of a new CEO after the untimely death of its former leader, G. Fred DiBona Jr. His Philadelphia Inquirer obituary summarized his career before he started at Blue Cross:
In 1976, at the age of 25, he was appointed to the Philadelphia Zoning Board of Adjustment, quickly rising to become its chairman. Two years later, Mr. DiBona was named head of the Philadelphia Port Corp. He led the agency for four years and was appointed president and chief executive officer of the Greater Philadelphia Chamber of Commerce in 1983. During his three years there, membership rose to 5,000 from 1,800. From the chamber, he moved in 1986 to Pennsylvania Blue Shield....
The new CEO is Joseph Frick. His brief bio in the IBC press release includes:

Frick, 52, had been Senior Vice President - Human Resources and Administration since 1997. In this capacity, he was responsible for corporate planning and business development, as well as IBC's Human Resources and Administrative services functions. He joined IBC in 1993 as Vice President, Human Resources, after spending almost six years in several HR positions at Philadelphia Newspapers Inc. (PNI). Before coming to PNI, Frick spent 13 years at Westinghouse Electric Corporation in various training and development, quality control and planning positions.

Thus IBC, a huge health insurer and managed care organization with 3.5 million subscribers and $10 billion in revenue, will have had two successive CEOs with no demonstrable experience "on the ground" in health care. I received a comment on this issue from a correspondent with considerable relevant insurance and managed care experience:

What you're seeing is typical of most businesses. This seems to me to be the result of some myopic views taught in B-schools; "you don't have to know 'THE' business, just how to run 'A' business." Similarly, some folks think just because they can "do anything," they can run a business. I'm trying to convince them that "it ain't necessarily so."

It makes you wonder how much better off we all would be if such large health organizations had leaders who actually had experience in health care. We can only hope that Mr. Frick at least gets some input from people with real "on the ground" experience.


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