After five years serving on the board of directors for Tenet
Healthcare, Saint Louis University President Lawrence Biondi, S.J.,
will not run for re-election to the board this May. Tenet, the
company that bought Saint Louis University Hospital in 1998, has
faced lawsuits and the closing of hospitals across the nation in
recent years.
When asked if these events influenced his decision to leave,
Biondi replied, “No, it’s just that it’s time consuming.” Overall,
his review of Tenet’s contributions to the growth of SLU Hospital
are glowing.
Biondi said he is focusing his energy on SLU’s capital campaign,
which is currently raising funds for two major building projects:
the arena and the medical research building. When asked how his
absence will affect SLU’s relationship with Tenet, Biondi explained
that his position on the board was inherently detached from any
particular dealings with the hospital. “When you’re a board member
you’re not supposed to be representing any particular entity,”
Biondi said. “You are supposed to be keeping in mind the
shareholders, their interest in company.”
He added that “getting to know the management of Tenet obviously
has helped me in my role as president of SLU. I know if there’s a
problem, who to call, for example.”
Biondi said that although Tenet wishes to sell more than 30
hospitals out of its current system, SLU Hospital remains secure,
as does Des Peres Hospital in West County. Tenet hospitals St.
Alexius and Forest Park are up for sale, according to Biondi. These
two hospitals are “doing well, principally because of the number of
patients they care for and quality of care.”
As a teaching hospital, SLU draws more serious cases and has
maintained national renown according to Biondi. “Our hospital has
done very well economically keeping in mind that Tenet has kept up
with uncompensated patients,” Biondi said. Tenet has kept its
obligation to serve the same percentage of “charity cases” that the
University had as an independent hospital. Other additions since
the sale of the hospital include a cancer center and additional
clinical financing for internal medicine.
Biondi said that working with a for-profit company has given him
insight regarding more effective ways to run a business, citing the
usefulness of “corporate buying power” to secure more economic
deals with vendors.
“I’ve gotten a lot of good ideas, and we’re learning how to be
more efficient in limiting the number of vendors we put into
practice,” Biondi said. Another business practice that has come
under scrutiny from the University community is the practice of
outsourcing.
“Outsourcing could be a more efficient manner of running a
particular work or business, but it’s not always the answer,”
Biondi said.
