Business Plan and Budget

2021-22

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The 2021-22 business plan (October 1, 2021, to September 30, 2022) was developed by senior staff with oversight and approval of the Board of Directors. With members and the AMA under significant threat, the plan focuses on the essential deliverables identified by the Board, while continuing to support activities that forward the longer-term goals established by the Board. The business plan also maintains the significant savings and efficiencies captured last year so that available resources can be focused on these essential deliverables.

Context for the 2021-22 Planning

With members choosing not to ratify the tentative agreement, the 2-year business plan developed by management and approved by the Board of Directors in 2020/21 remains substantively in place.  With members and the AMA under significant threat, the plan focused activity and resources around several essential deliverables identified by the Board: 

  • Support for representation on compensation matters
    With no AMA agreement in place discussions on physician compensation matters are taking place in many venues and often in somewhat different ways.  This includes existing models of payment through fee for service and alternate relationship plans (clinical and academic) but also whole new models that have come out of recent legislation. It is essential that the AMA support its members in achieving fair rates and terms of compensation in all settings.
  • Member engagement 
    Members are the AMA; owners, leaders, workforce, etc.  Given the changing relationship with government, the impact of COVID 19 and the rise of new technology, there are new ways to engage with members to get input and learn.  A key requirement for this period, is that we develop and leverage our listening capabilities and be responsive to member needs. Alignment between member interests and the Association is what member engagement is all about.
  • Advocacy (public and lawsuit)
    Our goal continues to be achieving a negotiated agreement with government, but we need to be ready for the situation where activities at the negotiations table will not be adequate to bring that about.  Resources have been included in the business plan for activities that inform the public and politicians in support of that goal.  
  • Government relations
    While there was significant effort to form a strong and effective partnership with government, it has been challenged over the last while. Efforts here relate to both better understanding governments perspective and improving the relationship with them where possible.
  • Alliances with other key stakeholders
    The AMA relies on relationships to satisfy the needs of members especially in these uncertain and challenging time.  Understanding the interests of other organizations and aligning activities with theirs will be important in the coming period.
  • Physician compensation principles and policies including income equity 
    The recent past has taught us that this government advances major policy initiatives with little discussion or engagement with the profession. We need to continue educating government and the public on the complexities of physician payment and be ready to respond as new policy comes forward from government.

The 2-year plan struck a balance between operational savings and the use of reserves, to ensure the needed resources were available in the essential areas identified by the Board.

Business Plan and Budget Documents

The major business plan documents are as follows: (click to view)

A. Vision, Mission and Values

As established by the AMA Board of Directors.

B. Key Result Areas, Goals and Activities (Ends); Healthy AMA (Means)

Cascading from the AMA Mission are the Board-established goals for the organization, which are categorized in three broad Key Result Areas: Financial Health for physicians and their practices; Well Being (personal, workplace, community); System Leadership and Partnership. The purpose of the goals is twofold: they express how the Board wants to deliver value to physician members and what is felt to be most important in moving towards the Vision. Connected to each goal are the related activities planned for the next twelve months. These are developed by staff with Board oversight and include the essential elements identified by the Board. Progress on activities is reviewed and updated over the course of the year. Activity will continue towards achieving each of the AMA’s goals, however, the focus for the 2-year planning period will remain on the essential deliverables with investment in other activities being reduced.

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The second part of Attachment B, “Healthy AMA” identifies key activities in the areas of governance, finances, knowledge, relationships and workforce that help strengthen the Association so that it can achieve the ends established by the Board and deliver value to members.

C. 2020-21 Budget

The budget recognizes the challenging situation faced by members and the Association alike and continues to reflect the financial framework established in the 2-year plan, including fully funded board reserves and a $6 million contingency value at the end of the 2022 fiscal year.

Despite preparing for a significant reduction in membership of roughly 20% for two years, retention remained at roughly 100% in the first year, creating additional flexibility to support the essential deliverables in the second year of the plan. The 2021/22 budget reflects the following:

  • Continuance of the cost reductions captured in the first year of the plan (e.g., 5% reduction in all salaries, honoraria, and contractor rates.). 
  • The CMA’s ongoing financial commitment to achieve a negotiated agreement.
  • A return to face-to-face meetings and member engagement opportunities where that serves member interests best (e.g., Board and Representative Forum meetings, change management activities with physicians and clinics, etc.)
  • Continued use of virtual work environments and member engagement opportunities where that serves member interests bests (e.g., virtual AGM, webinars).
  • Completion of the income equity studies (e.g., Hours of work study).
  • An additional one-time provision has been added from the year 1 net savings to support essential elements including representation, advocacy, and member engagement.  Given the uncertainty surrounding the relationship with government, a single provision was established to provide flexibility so that resources can be directed as needed (e.g., a large-scale awareness campaign; additional resources to represent physicians in ARP, AMHSP, stipend or group negotiations as needed, etc.)

The AMA advances patient-centered, quality care by advocating for and supporting physician leadership and wellness.