I’m always happy to speak with the press to provide my take on healthcare business and policy. In the last few days I’ve been quoted in a few outlets:
Today’s Boston Globe: In a sudden departure, Harvard Pilgrim CEO resigns amid questions about his behavior
Harvard Pilgrim and Partners each said Tuesday that Schultz’s resignation does not affect their discussions about a possible merger.
But David E. Williams, a Boston health care consultant, predicted the leadership change at Harvard Pilgrim would slow any other major moves by the insurer.
“I think it reduces the chance that a deal will happen, especially in the near term,” Williams said. “The Harvard Pilgrim board can’t deal with two major things at once. Partners will want to wait and see if something else shakes out at Harvard Pilgrim.”
Today’s Boston Herald: Harvard Pilgrim CEO resigns over ‘behavior’
Neither Schultz nor a company spokeswoman would comment on the nature of his behavior, or whether he is receiving any severance payments.
“I think the board is likely to be sensitive to that topic here,” said David Williams, president of Health Business Group. “Any expense is going to be borne in some ways by the customer.”
Yesterday’s Boston Globe: Beth Israel and Lahey say they want to learn from missteps in earlier merger
Beth Israel Deaconess and Lahey do seem to have much in common. Both have flagship medical centers and a network of community hospitals. Both are considered high-quality, and they have lower costs compared with the region’s largest hospital network, Partners HealthCare. On their own, both have struggled to compete with Partners, which includes the renowned Massachusetts General and Brigham and Women’s hospitals.
“There’s a decent amount of compatibility and similarity,” said David E. Williams, president of Health Business Group, a Boston consulting firm. “BI and Lahey spent a lot of time getting to know one another and making sure that this is a good fit.”
The current edition of Chief Executive: Athenahealth CEO Jonathan Bush resigns: Avoiding a similar fate
In both cases, Sonnenfeld says the boards didn’t have the fortitude to stand up to the attacks. David E. Williams, president, Health Business Group in Boston, similarly seen this scenario play out before where a founding CEO is ousted by investors.
“It actually usually happens at an earlier stage than what you’re seeing here. What’s so noticeable here is that [the CEO] has been involved with the company for a long time and is a large publicly-traded company,” Williams says.