1. Succession Planning at Providence Health Care Carl Roy, President & CEO CHAC Presentation May 6, 2006

2. OVERVIEW About PHC –Our Mission, Vision & Values –Our Profile Our Commitment to Succession Planning –Link to our Strategic Directions Our Approach –Our Philosophy for Leadership Development –Our Approach for Senior Executives –CEO as a Special Case Our Accomplishments What’s in Progress? Challenges/Learning’s Next Steps

3. ABOUT PHC – Our Mission Providence Health Care Providence Health Care is a Catholic health care community that respects the sacredness of all aspects of life. Inspired by the healing ministry of Jesus Christ, our staff, physicians and volunteers are dedicated to service and to the support of one another. In this environment of service, support and respect, we meet the physical, emotional, social and spiritual needs of those served through compassionate care, teaching and research.

4. ABOUT PHC – Our Vision We will continue to grow as a community, regional and academic health science enterprise that is a recognized leader, and major player, in the provision of health care within British Columbia.

5. ABOUT PHC – Our Values SPIRITUALITY We nurture the God-given creativity, love and compassion that dwells within us all. INTEGRITY We build our relationships on honesty, justice and fairness. STEWARDSHIP We share accountability for the well-being of our community. TRUST We behave in ways that generate trust and build confidence. EXCELLENCE We achieve excellence through learning and continuous improvement. RESPECT We respect the diversity, dignity and interdependence of all persons.

6. ABOUT PHC – Our Current Profile Largest group of Catholic hospitals in Canada –Became a single legal entity on March 31 st, 2000 –Six sites, providing acute, residential, rehab service + academic/research component –6000 staff full-time, part-time and casual staff –1200 physicians PHC meets 30% of VCH region’s acute-care needs –Over 362,000 patient visits annually 72,600 ER; 75,300 dialysis; 172,112 outpatient; 19,400 day care surgeries Over 247,000 residential care days Close to $600 million in annual expenditures

7. OUR COMMITMENT TO SUCCESSION PLANNING Provide Excellent Care and Service Live our Mission Every DayLive our Mission Every Day Support Research & New Knowledge Integration Create an Environment That Attracts and Retains the Best PeopleCreate an Environment That Attracts and Retains the Best People Achieve Strategic Growth Succession Planning is aligned with our Strategic Directions 2005 - 2008

8. OUR COMMITMENT TO SUCCESSION PLANNING Provide Excellent Care and Service Live our Mission Every Day Create an Environment that Attracts& Retains the Best People Support Research & New Knowledge Integration Achieve Strategic Growth Build knowledge of the legacy of the Founding Congregations to guide us into the future Celebrate people and teams who exemplify our mission, vision and values Integrate spirituality to improve areas of care and service Strategic Directions

9. OUR COMMITMENT Create a comprehensive recruitment and succession strategy Reinvent our performance management processes to focus on competencies and development Implement a powerful internal leadership program focusing on leadership and management competencies of staff and physicians Sponsor PHC leaders to participate in the “Foundations in Leadership for Catholic Organizations” Align leadership competencies with performance management and succession planning Provide Excellent Care and Service Live our Mission Every Day Support Research & New Knowledge Integration Achieve Strategic Growth Create an Environment that Attracts & Retains the Best People Strategic Directions

10. OUR APPROACH Support a culture where our people can grow professionally, step into new challenging positions within our organization, share their experience and knowledge with staff, and inspire others to continue to fulfill our shared legacy and mission of the Catholic Church through providing compassionate care and service.

11. OUR APPROACH Leadership Development: –identified as a major investment to continue to be a learning organization and develop our internal capacity –is a key human resource priority for our sustainability and succession planning

12. PHC’S APPROACH FOR SENIOR EXECUTIVES Informal process for identifying talent in the organization Core Competencies for Senior Leadership Team: –Personal Leadership –Interpersonal and relationship building skills –Strategic thinking and value creation –Change Leadership –Creativity, Intuition and Systems Thinking –Communication –Leading Organizational Culture –Personal and Professional Effectiveness

13. CEO as a Special Case Is there a bias? Internal vs. External Is there an intentional conversation about succession? Does the conversation happen with the Board?

14. OUR ACCOMPLISHMENTS Implementation of a powerful internal leadership development program (registration is full for 2006) Board and Leadership participation in the Foundations in Leadership for Catholic Organizations course Mission in Action Awards every year for an individual, a Team and a Physician who exemplify our mission, vision and values Development of mission indicators to identify and track how we are living the mission

15. OUR ACCOMPLISHMENTS The program objectives are aligned with leadership competencies Taking part in the Leadership Development Program is highly recommended for staff who are interested in pursuing other leadership positions within Providence Health Care. Participation in the Leadership Development Program is considered to be an additional competency when applying for internal job postings PHC’S LEADERSHIP DEVELOPMENT PROGRAM

16. OUR ACCOMPLISHMENTS 2 Examples of courses offered through PHC’s Leadership Development Program: Leading in Ethics –Engages participants in discussions about ethical issues in health –Provides and overview of the field of ethics as it applies to health and health care and the core values for both PHC and Catholic health care –Special emphasis on applying an ethical ‘lens’ to clinical and organizational decision making Leading from Within – Spirituality and Leadership –Reviews the essence of who we are at PHC –Examines how to integrate mission, spirituality and ethics as a leader –Understand the roots of the healing mission of Jesus –Discusses the foundations of Catholic identity

17. WHAT’S IN PROGRESS Implementation of a comprehensive recruitment and succession planning strategy Reinvention of our performance management processes to focus on competencies and development

18. CHALLENGES/LEARNING’S To build upon the legacy of our founders, there are three key areas of on-going development (Stories, People and Deeds) –Desire to focus on stories in order to understand where we came from and how to shape the organization today and into the future –Understand that people need to nurture the culture and also be held accountable for living the mission, vision and values in a concrete manner –Recognize that deeds of the individual and organization demonstrate the power of a mission and values well lived

19. NEXT STEPS Establish ways in which the story of the founding congregations as well as the mission, vision and values lived today continues to shape who we are and what we do Integrate mission, vision and values and ethical tradition into hiring processes through a formalized set of questions Clearly define roles, goals and outcomes for mission teams and leaders in order to bring greater clarity to the sites and the organization as a whole

20. QUESTIONS ?