Page 72 - CEO Orientation

 Regarding the integration, a team from Ernst & Young (EY) has been brought in to provide
expertise and support. The team has been on site for almost a month and is meeting with
leadership to understand the portfolios.
 All workstreams continue to progress and standard templates have been developed to help
identify objectives. A new model has been introduced to help facilitate difficult decisions and
will include involvement of the CEO when appropriate.
 Site leads are meeting regularly as work on clinical integration begins. A retreat was held last
week and some areas have been identified for consideration for early initiatives. Other clinical
opportunities are also being identified, including additional funding that has been provided to
the network to address current bed pressures. The challenge for leadership will be to use these
funds to make sound clinical decisions network-wide.
 The Executive team will be holding a retreat today which will include team building with a
facilitator. The team will then also discuss findings with EY to date to help make some
necessary decisions.
 Dr. D. Cass will be leaving SJHC effective Dec. 31. A decision will need to be made whether
or not to fully replace the position (4 days/week) or restrict it to medical affairs only (approx. 2
days/week). Consultation is underway with SJHC physician leaders to determine the best
option for the interim role and several may also be interested in taking on the position.

5.0 TRANSITION PROGRESS

 A. Shah was introduced to the committee. He has worked previously with the SMH team to
help develop process efficiencies which have led to $17M in savings to date.
 The EY team includes members with both health care and integration experience. Their goal is
to help management use the processes identified to meet the necessary objectives and focus on
key issues.
 Early items that have been identified by the EY were reviewed. It was agreed that a robust
process is required to help accelerate the pace of all workstreams. This will facilitate planning
for the future state.
 Guiding principles for support services include the development of an integrated approach to
services across the network. This will help to drive financial and service sustainability. During
this process it will also be important to consider needs at the service level. It was agreed that a
structured escalation process for decision-making must also be in place.
 Objectives over the next two months for corporate support services will include planning from
the workstreams and transition office to implement key management changes and to define
integration plans and cost estimates using consistent integration methodology, tools and
templates. Best practices internally and externally will also be reviewed and peer-review will
also occur as the work progresses.
 Key points identified by the committee that will require further clarity in the future:
o Resource requirements to facilitate many of the required changes;
o Structure to manage uncertainty throughout the organization;
 The guiding principles in use by HR will be presented at a future meeting.
Key factors include the need to keep staff engaged and safe.
o Structured escalation process for decision-making when needed;
o Possible creation of a Chief Integration Officer role for the organization.
 Financial tracking regarding integration was reviewed. Costs incurred to date are $3.80M
(including consultants, legal costs and severance). Annualized savings to date are $4.05M
(including restructured positions and non-labour costs such as harmonization of procurement
contracts). The net integration savings to date are $256K. Full savings for the year cannot be