{"id":8801,"date":"2012-12-01T05:00:00","date_gmt":"2012-12-01T05:00:00","guid":{"rendered":"https:\/\/business.cornell.edu\/centers\/2012\/12\/01\/a-savvy-samaritan\/"},"modified":"2026-07-14T18:18:31","modified_gmt":"2026-07-14T18:18:31","slug":"a-savvy-samaritan","status":"publish","type":"post","link":"https:\/\/business.cornell.edu\/centers\/2012\/12\/01\/a-savvy-samaritan\/","title":{"rendered":"A Savvy Samaritan"},"content":{"rendered":"\n

Patrick Wardell, MBA’ 79, CEO at Cambridge Health Alliance<\/h2>\n\n\n\n
\"A<\/figure>\n\n\n\n

A champion of delivering quality health care to all, hospital administrator Patrick Wardell has an aptitude for assembling diverse allies and engineering financial stability.<\/p>\n\n\n\n

The choice was clear-cut. Patrick Wardell could head for Chicago and an administrative job at the teaching hospital for Northwestern University\u2019s Medical School. Or he could go to Patterson, N.J., and for a third less money he could run St. Joseph\u2019s Health System, a struggling safety-net hospital for the poor.<\/p>\n\n\n\n

He chose Patterson. And then, after fixing St. Joseph\u2019s, he headed for New York to run a trio of safety-net hospitals in New York City. From there, he was off to Michigan, where his assignment was to fix Flint\u2019s safety-net hospital before mounting deficits closed it down. Earlier this year, with that job done, he landed in Boston to run Cambridge Health Alliance, a two-hospital network serving an immigrant and indigent population of 100,000.<\/p>\n\n\n\n

For Wardell, such assignments are more than a job; they are a calling. \u201cFor almost 20 years, I\u2019ve been working at safety-net institutions,\u201d he says. \u201cThey are very special places in terms of their clientele. They are often the first place where immigrants and the poor are treated.\u201d<\/p>\n\n\n\n

Keeping health care affordable<\/h3>\n\n\n\n

Wardell came to his profession in a roundabout way. After graduating from Union College in 1974, he worked first as a child-care worker at a facility for children with emotional and psychiatric disorders.<\/p>\n\n\n\n

Then he tried Wall Street. But soon he switched direction, enrolling to earn his MBA in Cornell\u2019s Sloan Health Administration Programi, where he focused on hospital and health system administration. He went through several jobs after graduating before finding his niche.<\/p>\n\n\n\n

Cambridge Health Alliance (CHA) \u2014 an integrated healthcare system comprised of two hospital campuses and an extensive primary care network serving Cambridge, Somerville, and Boston\u2019s metronorth communities \u2014 may represent Wardell\u2019s biggest challenge yet. Massachusetts, which pioneered universal coverage under then-Governor Mitt Romney, now wants to pioneer cost-conscious medicine that emphasizes keeping patients healthy through lifestyle changes.<\/p>\n\n\n\n

When CHA went shopping for a new CEO, Wardell seemed made to order. \u201cPat had a huge bandwidth of experience, especially with public safety-net hospitals,\u201d says Mary Cassesso, former chair of CHA\u2019s board of directors and head of the search committee that hired Wardell. \u201cMany CEOs do not have this. But Pat had experience turning hospitals around.\u201d<\/p>\n\n\n\n

He also has a commitment to bringing quality medicine to those in financial straits. \u201cOurs is a public safety-net hospital that turns its back on no one,\u201d says Cassesso. \u201cAnd Pat is a man who cares deeply about the population he serves.\u201d<\/p>\n\n\n\n

Wardell brings a set of fresh eyes and ears to CHA\u2019s problems. \u201cWe knew our challenges weren\u2019t going away, so it\u2019s sometimes good to have someone come in who hadn\u2019t grown up in the system,\u201d says Cassesso, who is dean for administration and finance at Harvard\u2019s School of Dental Medicine. \u201cPat was a wonderful listener. He was excited by the possibilities going forward.\u201d<\/p>\n\n\n\n

Wardell also possesses another critical requisite for running a safety-net institution. \u201cYou have to be able to juggle health care and finances,\u201d says Cassesso. \u201cWe have to be able to survive in the present in order to do great things. It was clear to all of us that Pat understood how challenging our situation was.\u201d<\/p>\n\n\n\n

These hospitals are \u201calways on the edge of going south,\u201d Wardell says. For that reason, he believes they require a special type of leadership. \u201cTo be successful in leading these organizations, you have to be able to address the underlying financial problems while dealing with the things that make them important to their communities \u2014 like neonatal care and trauma programs.\u201d<\/p>\n\n\n\n

From one safety-net hospital to the next, the underlying problems are the same, Wardell says. There are too many people who can\u2019t pay for America\u2019s high-priced medicine and too little money to cover their care. But the particulars may differ from place to place.<\/p>\n\n\n\n

Tackling red ink in Flint<\/h3>\n\n\n\n

In Flint, the city-owned Hurley Medical Center was treating a growing population of families hit by the erosion of automotive jobs in the Midwestern industrial belt. When Wardell arrived in 2006, General Motors \u2014 long the city\u2019s dominant employer \u2014 was steaming toward bankruptcy. The fallout was hitting Hurley. Flint was in no shape to bail it out; the city was headed toward a state takeover of its finances.<\/p>\n\n\n\n

When Wardell walked in the door to run Hurley, the hospital had already sustained $34 million in losses over the previous seven years and was still hemorrhaging money. Just two years later, the hospital rang up a $7 million surplus. And before he left, Wardell had established the Hurley Children\u2019s hospital and built a new trauma center that treats 90,000 residents a year. He also played a key role in convincing Michigan State University to establish a medical school in Flint \u2014 a move that will help the economy and boost health resources for the community.<\/p>\n\n\n\n

Wardell pulls off miracles with a quiet, reflective style that sets attainable goals and then channels the talents of his staff to reach them. But he never loses sight of the bottom line. \u201cHe understood the importance of maintaining a margin to sustain the organization,\u201d says Kevin Murphy, Wardell\u2019s chief financial officer at Hurley.<\/p>\n\n\n\n

Wardell quickly put the hospital\u2019s finances on the front burner. \u201cHe was very clear, very firm,\u201d Murphy recalls. \u201cHe changed the emphasis from whether we would survive to how we would thrive. But it was a very relaxed approach. He was very collaborative. He gave people room to do their job without micromanaging.<\/p>\n\n\n\n

\u201cHe just made sure that we did things according to industry norms. He wanted to minimize expenses and maximize revenues without jeopardizing patient care.\u201d Wardell did this in part by shifting his staff around \u2014 putting each in a job that played to their strengths.<\/p>\n\n\n\n

He also got concessions from the nine labor unions that represented rank-and-file workers at Hurley and did it without triggering strikes or other job actions. In addition, he got along with the city\u2019s elected officials and others in Flint\u2019s power structure, groups that included the United Auto Workers and the NAACP.<\/p>\n\n\n\n

As he went about accomplishing these things, he won people over by his sincerity. \u201cOften these jobs are a way for hospital executives to make some money and build their careers,\u201d says Murphy. \u201cBut Pat never regarded the job that way. Pat brought a very genuine concern to making sure that folks had access to quality health care regardless of their economic situation. I think it was a very genuine belief he held.\u201d<\/p>\n\n\n\n

He did all this without ever showing the pressure he was under to succeed, Murphy says. \u201cWe had tough times, tough issues, and cantankerous people to deal with. I never saw him lose his cool.\u201d<\/p>\n\n\n\n

Big challenges ahead<\/h3>\n\n\n\n

Wardell keeps on even keel by trying to leave his job behind when he goes home. He also stays in shape, walking three-quarters of a mile each way from his home to his Cambridge office. When he can get away, he favors kayaking and hiking. Earlier this year, Wardell, his wife, and one of his daughters traveled to Iceland to hike. His other love is reading. He recently finished two mysteries and is now working his way through a thick biography of Russia\u2019s Catherine the Great.<\/p>\n\n\n\n

Wardell will need the ability to stay centered in his new post. Now that virtually everyone in Massachusetts has health-care coverage under \u201cRomneycare,\u201d the state wants to hold cost increases to the rate of inflation or less, a tough goal in the best of times.<\/p>\n\n\n\n

Wardell says the way to do that is to keep the populace healthy \u2014 by getting people to quit smoking, by getting heavy drinkers to join AA, by getting diabetics to exercise and change their diet. He also wants to screen patients for depression, a risk factor for illness. CHA\u2019s staff was working on these measures before Wardell arrived, but with the state mandate to control costs, preventive care will be pushed harder than ever.<\/p>\n\n\n\n

All this represents a major change. In the past, CHA and other safety-net institutions treated patients and then got reimbursed for it, the so-called fee for services. Now the goal is to avoid the need for services as much as possible, especially hospitalizations. Wardell also wants to farm out certain services to hospitals that are better equipped to handle them \u2014 cardiac catheterization for example. CHA would emphasize preventive care, trauma care and other primary care services.<\/p>\n\n\n\n

But for the moment, he is busy getting to know his new institution. \u201cHe cruises through the hospital in the morning talking to patients and staff,\u201d says Judy Klickstein, CHA\u2019s senior vice president for IT and strategic planning. \u201cHe likes to converse with people and hear things on the ground. That\u2019s something I\u2019ve not seen many leaders do. He\u2019s spent the first six months here listening and learning and assimilating a lot of information.\u201d<\/p>\n\n\n\n

But the future direction is clear \u2014 CHA must come to grips with costs by shifting its emphasis from treatment to prevention. \u201cI really believe there\u2019s an opportunity to keep patients well through preventive care,\u201d he says.<\/p>\n\n\n\n

This is but one of the many health-care challenges that keeps Wardell enthusiastic after decades in high-pressure jobs. \u201cFinally, the U.S. is going through major health-care reform,\u201d he says. \u201cIt\u2019s an exciting time. I just turned 60, but I can\u2019t imagine retiring.\u201d<\/p>\n\n\n\n

i<\/sup> Cornell\u2019s Sloan Health Administration Program was housed in Johnson\u2019s predecessor, Cornell\u2019s Graduate School of Business and Public Administration, until 1983. Since then, Cornell\u2019s College of Human Ecology has been the home of Cornell\u2019s Sloan Health Administration Program.<\/p>\n\n\n\n

A regular contributor to Cornell Enterprise, Doug McInnis covers just about everything, from football to globalization, for a host of magazines and newspapers from his home on the range in Wyoming.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

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