Navigating the Shift: Insights from Executives Who Successfully Transitioned to Healthcare
The shift to a new industry comes with risks and a learning curve, but the opportunity to drive meaningful change and improve lives can make...
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As organizations across industries have learned, it can be beneficial to recruit leaders from outside one’s own sector. The benefits include (but are not limited to): gaining fresh perspectives on seemingly intractable problems, encouraging organizational agility, and expanding the organization’s network of potential partners and collaborators. Many organizations hire out-of-industry executives who can address their current business context – e.g., a turnaround situation, the need for a jolt of innovation, weathering a financial crisis – where experience tackling a similar situation may be more essential than any industry-specific expertise. According to one study, the major benefit of cross-industry executives is that “they often focus less on what the company does, and more on people and structures. They will take a systematic view first, and market view second; this means they are often more curious and ask more questions because they don’t know the industry.”
More organizations are considering cross-industry innovation (CII) as a strategic means of translating ideas and best practices from one industry to another. It stands to reason that executives, too, can learn and grow from exposure to best practices and new concepts from other industries. One example is the long history of executives borrowing and applying auto manufacturer Toyota’s quality and efficiency practices to myriad environments. Clearly, for some leaders, a singular focus on one industry can limit their professional growth and ability to think creatively and see problems in new ways. These leaders can benefit either from switching industries themselves, or surrounding themselves with executives who cut their teeth in varied sectors and can challenge an organization’s conventional wisdom.
Healthcare, like many heavily regulated industries with very specific knowledge requirements for leaders, has traditionally shied away from hiring leaders from other industries. To be sure, there are downsides and risks to doing so. The learning curve for an executive moving into healthcare from an external industry is likely to be longer, and practices and strategies that work in one industry may not in healthcare. For these reasons, leaders transitioning into healthcare have tended to represent functional leadership areas like finance, HR, and marketing/communications. In our view, however, there are greater opportunities for this type of cross-pollination even beyond these functional areas – into, for instance, operations and strategy.
The healthcare industry is one of the most dynamic and complex sectors today. Issues that plague the industry include: tight margins and an uncertain financial picture; workforce shortages (especially among clinical staff) that rival those in any industry; outmoded technology and the need for enhanced data usage and protection; operational inefficiencies; and increasing market and revenue competition. Opportunities, from improved quality and safety to AI adoption, are also significant. Healthcare’s challenges and opportunities can benefit from executives who successfully addressed them in other industries.
The good news: As healthcare organizations’ business models evolve and organizations become more entrepreneurial and market-driven, they increasingly consider executives outside the sector. This can be especially effective when the organization pairs out-of-industry or crossover leaders with nursing and clinical leadership. (A CIO from outside healthcare is more likely to succeed if supported by or teamed with experienced clinical informatics executives, for instance.) As noted, these cross-industry professionals bring fresh perspectives and transferable skills, often empowering healthcare systems to face the future more effectively.
Why Business Leaders Transition to Healthcare: Tales of Success
Fortunately, many leaders from across industries are drawn to healthcare, often as a way to have a meaningful impact upon individuals, communities, and society – to pursue a higher calling. In addition, healthcare is a growing sector and may afford executives career opportunities that do not exist within their current industries. For this article, we spoke with three top executives who made the transition into healthcare from other industries. (Editor’s note: The executives are currently employed at organizations that have been WittKieffer clients.) They share their reasons for making the move and advice for others wishing to do the same. Their insights are informative and instructive for hospitals and health systems looking to hire “nontraditional” candidates.
Given that many executive skills are highly transferable across sectors, talent can be found beyond the traditional arena. Rob Wiehe, FACHE, COO for UC Health in Cincinnati, Ohio, moved to healthcare in 2015 from a role as VP of Operations and Supply Chain for the largest home fragrance company in North America. He assumed correctly that his past experience would be relevant in healthcare, easing his transition into a new work setting. An engineer by training with both CPG and automotive manufacturing experience, he quickly realized that many operational concepts and continuous improvement best practices he had learned would be applicable to a large academic health system. “I didn’t need to be a clinical expert to improve operations or design process optimization,” he says. “I needed to understand our patients’ experiences and partner with our clinical staff to determine how we could adapt our operations.” For Rob, the draw to healthcare was the mission, the ability to “contribute to people’s health and well-being.” After nearly a decade at UC Health, the work for him is just as fulfilling as when he started.
Rishi Tripathi, Chief Technology & Security Officer for Mount Sinai Health System in New York City, joined the organization after cybersecurity and IT leadership positions with the National Basketball Association, security solutions firm Tyco, and financial services giant Citi. In his new role, he draws heavily upon his experience from the highly regulated financial industry, striving to improve Mount Sinai’s technological infrastructure, use of data, and cybersecurity preparedness by benchmarking against the best practices he was familiar with. He recognized that healthcare and academic medicine lagged behind finance in terms of technology infrastructure and security protocols but could advance rapidly by adopting best practices and solutions proven elsewhere. In making the move to Mount Sinai, Rishi felt he was helping to address an urgent need and add meaning to his work. In healthcare, he says, “our risk is higher; we are dealing with people’s lives.”
We hear this sentiment often when working with healthcare executives. Their motivation is clear: the patient is paramount. Rishi’s commitment to enhancing patient safety through IT advancement underscores the deep sense of purpose many leaders find in healthcare. When a family member was hospitalized at Mount Sinai, Rishi spent a great deal of time on the medical floor, which allowed him to see in real time how technology and patient care interfaced and how his teams could help create efficiencies for the clinical staff, improving the patient experience. These observations solidified his commitment to his work, and to Mount Sinai. “I love this organization,” he says, as it has allowed him a platform to make meaningful contributions to patients and families.
Another large system has also benefitted from leaders transitioning from other industries. Scott Ballard, MaineHealth Chief People Officer, joined the organization during the lingering effects of the Covid-19 pandemic and was tasked to address workforce challenges common to most health systems while also leading a major HR technology implementation. Scott sharpened his leadership skills through years working for oil and gas conglomerate Shell. Scott drew upon his experience of leading global projects, allowing him to take charge, get buy-in from colleagues, and drive implementation. Successfully championing the technology initiative at MaineHealth quickly earned him credibility and respect from his colleagues and reduced any skepticism from those doubting an “outsider” could lead effectively in healthcare, he recalls.
Advice from Leaders Who Made the Transition
For those considering a career change into healthcare, the rewards can be immense, as the experiences above indicate. Supported by the insights of the leaders we interviewed, we offer the following advice for executives looking to transition into healthcare.
- Know yourself. Rob Wiehe emphasizes the importance of careful research and consideration when transitioning to healthcare, as large healthcare systems face unique and complex challenges. The workforce and financial issues described above have no easy fixes, and executives who want to take them on should set realistic expectations. Part of this due diligence is understanding yourself, your values, your capacity for change, and your ability to embrace new challenges. Healthcare might not be suited for everyone, and knowing your own strengths and areas of need (through personal reflection, discussions with mentors, career coaching, and so on) is critical before entering a new industry.
- Match potential employers to personal and professional preferences. As part of your due diligence, consider which type of healthcare organization best aligns with your values and career aspirations, Wiehe advises. Researching various settings—be it a rural hospital, a large urban academic health system, a nonprofit, or a for-profit entity—can yield insights regarding which organization is the best fit for your next career move. Also, do extensive due diligence on the current state of a potential new employer. Are you the type of leader who loves a good crisis or turnaround situation, or would you rather find a steady, stable organization that needs a few new ideas to take it to the next level? As much as possible, know what you’re getting into.
- Build strong relationships early on in your tenure. Establishing connections with colleagues is invaluable for understanding cultural norms, organizational systems, and decision-making authority. Scott Ballard of MaineHealth highlights the need to fully grasp the complexity of healthcare, noting that while it may share similarities with other industries, its intricacies require careful study and adaptation. Colleagues can coach a new executive on healthcare’s truly unique aspects.
- Devote time for rounding. After joining Mount Sinai, Rishi Tripathi continued his habit of “GEMBA walks,” a Japanese practice of workplace walkthroughs that observe operations and identify opportunities for improvement. He encourages out-of-industry hires to be open and curious when learning about their organization’s clinical and non-clinical areas. By engaging with employees across departments and understanding their day-to-day challenges, leaders can better connect their initiatives to colleagues’ priorities and patient outcomes, which only accelerates the new leader’s impact and acceptance in the organization.
Despite their varied experiences, all the leaders interviewed agreed on one point: the effort is worth it. The opportunity to impact lives directly through their work makes healthcare leadership uniquely fulfilling.
Conclusion: Why It Works
Healthcare has many challenges that can use a dose of innovation. As the industry confronts mounting challenges, leaders from diverse career backgrounds can offer invaluable expertise and new and different perspectives. By embracing transferable skills, healthcare organizations can navigate complexities with greater resilience, leaning on executives who have “been there, done that” in other industries.
To ensure that these leaders succeed early and over the long term, healthcare organizations must move beyond traditional onboarding and invest more in structured executive integration. As our three leaders emphasized, this process should include building strong relationships, devoting time to walking around the organization to truly understand the people, processes, and culture, and maintaining humility and curiosity to learn before leading. A deliberate integration approach with a detailed plan—focused on alignment, listening, learning, and cultural immersion—can accelerate trust, build credibility, and set the stage for early wins.
For the executives themselves, moving into healthcare can rejuvenate their careers. “At the end of the day, we are advancing patient care and addressing the healthcare needs of the community,” notes Scott Ballard. The shift to a new industry comes with risks and a learning curve, but the opportunity to drive meaningful change and improve lives can make it all worthwhile.
