Issue # 91-- Five Years Ago Today...

Five Years Ago Today My Life Changed Forever

May 2, 2007

In This Issue
Looking Forward to the Next Five Years
Technology Becomes Critical to Customers
Talking About Smart Executives
Geriatric Care Management
State Government as a Regulatory Advocate
Strategic Planning
Kathy's Corner
Upcoming Events
Private Duty Today
Jason Tweed, editor of Private Duty Today 
Welcome to Private Duty Today, the bi-weekly electronic newsletter for Private Duty Home Care Leaders from Leading Home Care ...a Tweed Jeffries company. In this issue, we bring you ideas, information, and insights to help you grow your Private Duty Home Care business.

Private Duty Today is a permission-based newsletter. It is only sent to our recent customers and those individuals who have requested it, or who have given permission for their address to be included on our list of subscribers.

I'm Jason Tweed, Director of Business Development for Leading Home Care, and Editor of Private Duty Today

Private Duty Today is published every other Wednesday, and currently goes to over 6000 subscribers.
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Five years ago today my life changed forever.  With me on one side, and my sister-in-law on the other, with tears welled in her eyes, my wife Kristen gave birth to Ainsley Grace and Jason Andrew.  I joke with my friends and family that my twins are turning five, but I've aged 10 years.

 

The world has changed as well.  Kristen and I learned of her pregnancy a few days before September 11.  We had been trying to get pregnant for nearly a year, and now this great joy was overshadowed by uncertainty.  The economy slowed almost to a recession, and rebounded.  The Internet expanded from a cool tool for geeks and college students into a daily part of every American's life.  We've gone to war, while simultaneously responding with humanity in Indonesia and Louisiana.  And recently, "going green" has finally become cool.

 

Private Duty Home Care has evolved in the past five years.  In December of 2002, my father approached me with an idea.  He wanted to take his consulting firm and transform it into "The Center for Home Care Strategy and Leadership."  Furthermore, he wanted to do it all on the web.  He recognized that strategic planning and strong individual leaders would be the future of home care, both on the medical side and with private duty.

 

If you've been working in this industry for five years, I don't need to explain all the changes because you've been on the roller coaster with us.  If you are new to this industry like many of our readers, you wouldn't even recognize the environment.

 

Most of us anticipate the day that your child starts walking, but as I always say, the day they start running sneaks up on you.

 

Private Duty Home Care has grown up too.

 
Sincerely,
 
Jason Tweed
Publisher
 
 
Four Trends for the Next Five Years...
 

Looking forward, the next five years should be exciting.  Ballet lessons, Little League, go carts and musical instruments will fill my evenings.  Quiet nights will include a board game and books with fewer pictures.  Trips to the mall will get dramatically more expensive, when soft pretzels can no longer be used as prime bribery material.

 

I'm a little smarter today about being a father.  But that doesn't mean the future isn't at least a little scary.  If it wasn't scary, it wouldn't be hard; and if it wasn't hard it wouldn't be fun.  I'm looking forward.

 

Private Duty Home Care companies are also looking forward.  Their leaders and owners are smarter today about being executives, but that doesn't mean it isn't at least a little scary!

 

I don't have a crystal ball.  But if I did, here are four trends I think we will see over the next five years.

  • Increased use of technology
  • More competition from smarter executives
  • Integration of Geriatric Care Management
  • Increased regulation at the state level

Let's take a look into the future...

 
Technology Becomes Critical to Customers

Technology is going to be used in marketing, customer service, operating efficiency and even delivery of care.  These technologies already exist.  If you aren't using them, know that your competitors are.

 

Critical areas of technology currently available include:

  • Marketing using websites and e-mail newsletters
  • E-Mail communications with customers and referral sources
  • Automated scheduling and billing
  • Customer Relationship Management databases
  • Caregiver recruitment and assessment
  • Customer service and support systems
  • In-home devices for safety and caregiving

Smart executives will be using more and more technology.  If your 2007 budget doesn't include monies for your technological infrastructure, your 2008 budget certainly should.

 
Talking About Smart Executives...
 

Five years ago most of the people we saw who were starting private duty home care companies were nurses, caregivers, couples, and a handful of entrepreneurs.  Today, individuals being attracted to private duty are predominantly entrepreneurs.

 

I'm convinced that you have to have a passion for this business to be successful.  We've seen evidence of that in our work.  But passion is no longer enough.  Information, leadership, and business know-how are now required.  The reason... now you are competing against professional entrepreneurs.

 

Some individuals are simply skilled at building businesses.  They learn the trade, but they already possess solid business fundamentals.  Because of the growth of non-medical home care, many of these individuals are being attracted to our industry.

 

This is a good thing.  Having savvy business people will help our industry grow, become more competitive, and smarter as a whole.  The key is not to lose passion.  Those individuals who started home care companies based on their passion for caring will only continue to grow if they develop the skills in the three pillars of home care; sales and marketing, recruitment and retention, and operating efficiency.

 

Ultimately it's easier for people with passion to develop skills than for people with skills to develop passion.

 
Geriatric Care Mangement Becomes a Powerful Revenue Stream
 

A year ago we predicted an increase in Geriatric Care Management.  We were only slightly off the mark.  As more individuals and small companies were formed serving the older community, we expected these organizations to become a major referral source for home care.

 

The trend has grown past GCM acting as a referral source, and today we're seeing much greater integration.  Many home care companies already do a certain amount of care management in the natural course of their business.

 

We're seeing a dramatic increase in the number of home care companies charging a fee for Geriatric Care Management, creating packages that include GCM, and hiring Certified Geriatric Care Managers.

 

It is quite possible that in the next five years virtually all Geriatric Care Management will be done by certified home health agencies and non-medical home care companies.

 
State Government Becomes a Regulatory Advocate for the Elderly
 
Today over half of the states have some kind of licensing procedures for non-medical home care.  Several other states have regulations under consideration, that were already passed or legislature simply waiting to take effect.

 

Personally, from the perspective of a consumer as well as that of a business person, I view regulation of non-medical home care as important.  We've seen time and time again that unethical companies prey on the elderly.  There's no greater opportunity than non-medical home care for potential abuse.  Unethical companies and individuals have a negative impact on every company trying to provide quality care.

 

Unfortunately, as we've seen time and time again that government is almost never able to regulate an industry as effectively as the industry can regulate itself.  I remember when the Clintons were elected the first time. Hillary Rodham Clinton was an outspoken advocate for health care reform.  She was correct in that healthcare needed reformation, and it happened, but not by governmental regulation.  Healthcare improved itself.  It's not perfect, but it is improved.

 

Home care companies need to take responsibility today.  In the next five years you will see much greater regulation in our industry.  There is no question.  The only question remaining is "Who will regulate you?"  Will quality companies join state and national associations, and become active participants?  Will they create an environment where America's elderly receive top quality care, priority on safety, and responsibility?  Or will state, local and potentially even the federal government become your regulators?

 
Strategic Planning for Future Trends
 

Planning for the future is difficult, particularly when we get so focused on today.

 

Honestly, my mind keeps drifting to a birthday party coming this Saturday.  Saturday is Cinco de Mayo, so we decided it would be cute to have a piņata for my children's birthday party.  We found a cute black and white pony and filled it with candy and toys.

 

Suddenly this morning I'm having images flashing through my head of my five-year-old son standing in the center of a dozen other five-year-olds.  He's blindfolded, with a baseball bat, spinning around on a sugar high. It seemed like a good idea at the time... but I think I'll make sure my homeowners insurance is up to date.

 

Take some time this week to think about the birth of your private duty company, and how you've taken it from infancy into toddlerhood, or perhaps your baby is now a teenager.

 

Then take some time to think about your company in the future.  What do you want your company to be when it grows up?  What do you want this industry, this community to be?  Are you planning for the future, or just along for the ride on the roller coaster?

 

If Stephen Tweed can help you plan strategies for your success...

 

If Kathy Clater can help you improve the overall quality of your caregivers through improved recruiting...

 

If Michael Giudicissi can help you develop a strong sales team...

 

Or, if I, Jason Tweed, can help you develop a website that produces profits...

 

... please give us a call at 1-888-668-9333.

 

What's Your Business Model

 
By Kathy Clater
 

When I'm talking to clients about how to use our caregiver pre-employment assessments, I usually ask, "What's your business model?"  Are you targeting "A" level (top performance) candidates only, or do you want to also hire "B" level (average performance) candidates?  I usually add with a little humor, "Obviously nobody wants the 'C's'".

 

Recently an Administrator replied, "My (team) thinks we have to hire the 'C's' or we'll never be able to fill the jobs in our area."  Frankly, no one had ever said this to me.  That question usually comes in a more subtle form such as, "Won't assessments screen out (already scarce) applicants?"

 

You have to give this Administrator credit.  At least she's facing her issue straight up and asking for help.  Will assessments and follow up interviews screen out "C" level applicants?  YES and Hallelujah!  Will they screen in applicants with integrity, behavioral fit and problem solving ability?  Read on.

 

In past articles I have shared with you the reason behavioral interviewing is more effective than theoretical interviews.  Past behavior is the best predictor of future behavior.  Now I'm going to take my own advice.  Want to hear about the actual experience of assessment clients?

 

"We have found your assessments to be a fantastic tool for evaluating our potential caregivers.  The quality of our workforce has increased drastically after implementing your system.  Thanks for the good work."

Steve Bowden, Help at Home Senior Care

 

"Our HR Team feels this assessment tool is helping us hire the best and leave the rest."

Sherry Smiley, Comfort Keepers

 

"The pre-employment assessment tool is especially helpful to us in identifying 'red flags', but is also superb at suggesting behavior-based interview questions... and reducing our hiring mistakes saves us a lot of money and time."

Ron Hagberg, Visiting Angels

 

"I can't tell you how helpful it is to have these assessments when evaluating potential caregivers.  I am very confident that using the assessment as a major part of a hiring process is going to significantly improve the quality of the most important part of our company - our caregivers."

Kevin Knapp, Right at Home

 

"The caregiver assessment tool is great to help 'mine' for the golden nuggets called caregivers.  We are learning more about the weakness and strengths of potential employees, which improves our risk management in hiring."

Randy Walden, Heartwarming Care

 

If you would like additional information or would like to participate in one of our free phone training sessions every Tuesday at 1:30 PM Eastern time, contact me, Kathy Clater:  email Kathy@leadinghomecare.com or phone (502) 339-0653.

 

 
Upcoming Events
May and June are going to be busy for Leading Home Care.  Check below to find out where Stephen and Michael will be this summer.
  • Sales Training Boot Camp - Richmond, VA - May 23, 2007.  Join Michael G. for this one day sales training intensive. Sponsored by the Virginia Association for Home Care. 
  • Sales Training Boot Camp - Columbia, MD - June 14, 2007.  Michael G. will teach your new and established sales reps how to bring in referrals that turn into admissions.
  • AHHIF Annual Conference - Orlando, FL - June 20, 2007. Stephen Tweed will present the opening keynote - "Grow Your Business, Get Ready for the Future."  He'll also be speaking on "Finding and Keeping Non-Medical Caregivers."  Then on June 21st Michael G. will present "How to Build your Sales Team From the Ground Up."