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37 HEALTHCARE NEWS 10 Key Trends in Physician Executive Pay By Laura Dyrda C ejka Executive Search partnered with the American Association for Physician Leadership to produce the Physician Leadership Compensation Survey. "Given healthcare reform and the continued at- tention on costs, including executive compensa- tion, we don't expect physician leader compen- sation to return to pre-recession growth rates anytime soon," said Paul Esselman, Cejka's senior executive vice president and managing director. "However, there are emerging roles in response to the shi toward value-based care that provide physician leaders with significantly greater oppor- tunities for earnings, as well as strategic input and organizational influence." Here are 10 key statistics from the survey: 1. e median compensation for physician leaders in 2016 was $350,000, up 8 percent over the last survey in 2013. However, the growth is behind the two-year growth rates of 12 percent reported in 2007. 2. e highest-paid physician executives earn around $499,000 on average for their roles as physician in chief, chief strategy officer, chief transformational officer, chief innovation officer and chief integration officer. e compensation jumped 6 percent over the same period last year. 3. e average compensation for physician CEOs or presidents rose 7 percent from 2013 to 2016, hitting $437,500. 4. Chief medical officer average compensation was up 6 percent in 2016, reaching $388,000. e chief quality or patient safety officer reported flat com- pensation from 2013 to 2016 at $375,000. 5. Chief information officers or chief medical information officers reported the highest jump, 18 percent, to $372,500 in 2016. e increase in compensation can be attributed to the shi from EMR implementation to ensuring the data can be used to support preventative care at the indi- vidual provider level and risk-based accountable care at the enterprise level. 6. Physicians who work at the health system's cor- porate or parent-level saw an average 67 percent spike in median income from 2013 to 2017. 7. Physician leaders without a post graduate degree reported 13 percent more in compensation while certified physician executives saw a 4 percent com- pensation increase. e physicians who allocated more time to administration and reported that performance-based pay was a higher percentage of total compensation earned more. 8. Physician leaders serving as president of the medical staff or medical director, assistant or associate reported a 26 percent gain in com- pensation. Additionally, the number of survey respondents in these positions jumped from 5 percent in 2013 to 8 percent in 2016. 9. ere were 61 percent of physician leaders who report having strategic input throughout the previous year, and 54 percent who report having multiple or shared administrative re- porting relationships. 10. Among the physician leaders who have ad- ministrative reporting relationships, 49 percent are administratively accountable for multiple people and 29 percent have shared direct reports. e skills most likely to enhance the physician leader's job performance are financial analysis, change management, strategic planning, popula- tion health management, physician engagement and conflict resolution. n Report: Healthcare Organizations Will be Targeted Most for Data Breaches in 2017 By Erin Dietsch E xperian's Data Breach Industry Forecast report outlines the top five data breach trends predicted for 2017. Experian, a global services group, has assisted organizations with more than 17,000 data breaches over the past 10 years. Here are the company's predictions for 2017. 1. "Aftershock" password data breach- es will accelerate the end of password usage. More and more companies — such as LinkedIn, Dropbox and Yahoo — have experienced "aftershock" data breaches, through which users' account information resurfaces and becomes exposed long after the initial breach. Experian predicts this trend will encourage organizations to require two-factor user authentification, such as SMS alerts, ultimately eliminating the necessity of passwords. 2. Cyberattacks will incite conflict and possibly war between nations. Cy- berattacks between countries are no doubt on the rise. As the attacks grow in number, countries' citizens are increas- ingly put at risk. Experian believes the United States will "disclose at least one major offensive cyber operation against a terrorist organization like ISIS or in retailiation for an attack by another na- tion-state." 3. Healthcare organizations will be the most targeted sector. Breaches involving EHRs will continue to grow, according to Experian. In addition, Ex- perian predicts hackers will begin tar- geting health insurers. Cybercriminals are shifting their focus toward ransom- ware, which Experian believes will also be a top concern in 2017. 4. Cybercriminals will focus on pay- ment-related attacks. Last year, Expe- rian predicted payment-based breaches would continue despite the shift to EMV (Europay, MasterCard and Visa) chip payments and PIN liability. Experian be- lieves this trend will continue, and that hackers will target smaller companies rather than big name retailers like Target. 5. International data breaches will negatively impact multinational cor- porations. Losing consumers' data is challenging enough, but losing interna- tional consumers' data makes the situ- ation even more complicated. Multina- tional companies should begin setting guidelines and preparing for breaches involving international people. Experian believes "at least one U.S. multinational company will experience a significant loss in its valuation due to an interna- tional data breach in 2017." n