LRGHealthcare Announces Resignation of CEO Seth Warren

Planned organizational changes to continue

Press release

It is with great sadness that LRGHealthcare announces the Board of Trustees’ acceptance of the resignation of President and CEO Seth Warren. Warren’s decision to leave is strictly for personal reasons and came with much thought and consideration. His departure will be effective on April 15.

The Board is extremely saddened by Warren’s departure, but understands his need to make this difficult decision at this time. The Board will be meeting this week to take under advisement both interim and long term opportunities as they look toward LRGHealthcare’s future.

“Though the timing is undoubtedly inopportune given our ongoing transformation, we as a Board have complete confidence in the success of LRGHealthcare and are committed to moving forward,” comments Scott Clarenbach, LRGHealthcare’s Board Chairman.

Due to the changing landscape of healthcare and subsequent financial challenges, LRGHealthcare has been working with Prism Healthcare Partners since the beginning of the year to review the organization’s operations and processes for better cost efficiency. Many positive changes are already underway and will continue after Warren’s departure. The Prism consultants, along with LRGHealthcare, have already implemented changes, with more to come, that suggest a very bright future for the organization.

In a statement, Ramona Lacy, FACHE and Managing Partner of Prism Healthcare Partners, writes, “To date, the combined LRGH and Prism teams have identified and are in the process of implementing $15 million to $21 million in annualized benefit. These initiatives include clinical, physician operations, strategy, workforce, and non-labor costs and revenue enhancements. This is good news and shows that the organization, although in a turnaround, has the opportunity to be profitable and be a sustainable organization supporting the community. It has been a pleasure to work with management, the Board, the medical staff, and the line staff on this important endeavor, and we look forward to teaming with the organization to successfully complete this transformation to improve financial, operational, and clinical performance throughout the remainder of the year.”

Both LRGHealthcare and Warren stress that his departure has nothing to do with the changes the organization is undergoing. LRGHealthcare is transforming and will continue to do so, and the community should feel confident and excited about what the future will bring for the organization.

“This in no way is a reflection on LRGHealthcare,” explains Warren. “We have begun a significant transformation in how we deliver care and are well-positioned to evolve with the ever-changing healthcare environment. I leave LRGHealthcare knowing that with Prism’s support and guidance, the care delivery model and financial performance will reflect positively the dedication and commitment of all those affiliated with LRGHealthcare.”