A Conversation with Jamie Bailey, EVP and CFO – Leading Financial Strategy at UTMB
In this episode of The Pulse, Jamie Bailey, Executive Vice President and Chief Strategy Officer at UTMB, discusses his strategic vision for shaping the future of UTMB. He highlights how his leadership approach integrates collaboration, innovation, and sustainability to meet the challenges of an evolving health care landscape. Bailey explains how UTMB’s strategic initiatives are designed to elevate its position as a leader in health care, with a focus on workforce development, creating strong partnerships, and advancing patient care.
Bailey also dives into the importance of aligning UTMB’s academic, research, and clinical care missions, emphasizing the role of leadership in driving this alignment. He shares insights on how UTMB’s goals are rooted in fostering a culture of continuous improvement, supporting innovation, and ensuring the institution’s future success through strategic growth and development.
This episode provides an in-depth look at UTMB’s path forward, revealing the key strategies that will shape the institution’s ongoing efforts to improve health care delivery and strengthen its role as a leading academic medical center.
- 100:00:00,840 --> 00:00:09,600Welcome to the pulse UTMB health podcast, your gateway to the latest insights, ideas and innovations shaping our community and beyond.200:00:10,230 --> 00:00:16,530Stay tuned for engaging discussions, compelling stories, and the information you need to stay informed and connected.300:00:16,830 --> 00:00:25,750Right here on The Pulse. Welcome this time on The Pulse.400:00:25,820 --> 00:00:32,300I'm your host, Dr. Charles P. Mouton. I'm executive vice president, provost and dean of the John Sealy School of Medicine.500:00:33,140 --> 00:00:39,800As we continue to bring you compelling conversations about education, health care, research and innovation,600:00:40,190 --> 00:00:48,170you'll have a chance to hear from various hosts bringing their unique perspectives and expertise to the conversation.700:00:48,860 --> 00:00:55,760Today, we'll dive into topics shaping the future of medicine and the future of UTMB.800:00:57,390 --> 00:01:01,350We are looking for UTMB to make a local and global impact.900:01:01,860 --> 00:01:10,680Today I'm joined by Mr. Jamie Bailey, our executive vice president and chief financial officer of the University of Texas Medical Branch.1000:01:11,580 --> 00:01:17,520Welcome, Mr. Bailey. Thank you sir. Can you share a bit about your background and what led you to UTMB?1100:01:17,880 --> 00:01:21,570Yes, I can. Uh, first of all, I'll just say, uh, thanks for having me.1200:01:21,990 --> 00:01:29,250Uh, really excited to, uh, join this party. Uh, I'm originally from Indiana, so I'm not a Texan.1300:01:29,250 --> 00:01:33,310Uh, by origin, originally from Indiana. Uh, grew up in Indiana.1400:01:33,330 --> 00:01:36,750Born and raised. Uh, moved to Chicago after I graduated from school.1500:01:37,170 --> 00:01:41,159Uh, and I've been in Texas for almost 20 years. Uh, what has brought me to UTMB1600:01:41,160 --> 00:01:45,150is sort of my passion. Uh, first for numbers.1700:01:45,720 --> 00:01:49,230So, uh, I've always been a numbers guy. Always love math.1800:01:49,620 --> 00:01:53,969Uh, I was very much a... I know the answer... Two plus two always equals four.1900:01:53,970 --> 00:01:57,930Right? So I've always been passionate about numbers. That's what led me to finance.2000:01:58,350 --> 00:02:02,310Uh, so I applied to one school, uh, for college.2100:02:02,710 --> 00:02:05,700Uh, I knew exactly what I wanted to major in... Finance and accounting.2200:02:06,120 --> 00:02:11,340Uh, I knew that I wanted to start with a big four accounting firm, uh, and then go on from there.2300:02:11,370 --> 00:02:19,440Uh, so that's exactly what, uh, what I did. So it's been a sort of a straight line in terms of my my background, uh, and why I like to be in finance.2400:02:19,860 --> 00:02:23,189Uh, what brought me to UTMB, uh, I think there's a lot of different things.2500:02:23,190 --> 00:02:26,980Right. So UTMB, I think, has always had a great reputation in the community.2600:02:27,000 --> 00:02:31,590So prior to coming to UTMB, I was at, uh, Baylor College of Medicine for almost 12 years,2700:02:31,890 --> 00:02:35,190so very familiar with the Texas Medical Center, very familiar with UTMB.2800:02:35,190 --> 00:02:41,550The strong brand... strong recognition there. Uh, when I learned about this opportunity, right, it was very appealing to me.2900:02:41,580 --> 00:02:45,930One, because, um, it allowed me to continue to grow in my career.3000:02:46,110 --> 00:02:49,829So it wasn't just a finance role or traditional finance role.3100:02:49,830 --> 00:02:54,870It included things like it. It included things like facilities, uh, and so forth.3200:02:54,870 --> 00:02:58,560And so from a career progression perspective, that was obviously appealing for me.3300:02:59,010 --> 00:03:03,780Um, but also being with the organization that's, you know, has a stronghold in the community.3400:03:04,170 --> 00:03:12,450Um, part of the UT system. Uh, and so that was also very appealing, uh, to come into a situation where there was a growth mindset.3500:03:12,900 --> 00:03:21,780Uh, we had a new president on board. Uh, very motivated, uh, wants to move things in a in a new direction, in a positive direction for UTMB.3600:03:21,900 --> 00:03:26,550So all of those things sort of played into why I chose and wanted to come to UTMB.3700:03:26,700 --> 00:03:32,310And I would say so far has been fantastic. Uh, everyone has been very nice, very welcoming.3800:03:32,730 --> 00:03:39,090Uh, so it's been a very good transition over the past six months. Well, again, we're excited that you're here with us at UTMB.3900:03:39,120 --> 00:03:44,580We're excited to have you. We appreciate your leadership, and I know you're going to lead us in great directions.4000:03:44,910 --> 00:03:48,780And although it's been 20 years, I guess you're an official Texan at this point.4100:03:48,780 --> 00:03:58,440It feels like home so far. Yeah. What does your role as chief financial officer entail, and how do you see it aligning with UTMB's overall mission?4200:03:58,860 --> 00:04:03,840Yeah, so that's a great question. I think first and foremost, right. I'm a fiduciary of the institution.4300:04:04,200 --> 00:04:10,750So, uh, from my perspective, right. Any decision that I recommend to, Dr. Reiser or decisions that I can make, uh,4400:04:10,800 --> 00:04:18,150as a CFO is to protect the institution, uh, to provide financial sustainability for the organization, uh,4500:04:18,150 --> 00:04:23,010and to ultimately provide a pathway for which we can continue to grow, continue to invest in our missions,4600:04:23,250 --> 00:04:30,450continue to invest in our people, uh, and make sure that UTMB, from a financial standpoint, is always set up for success.4700:04:30,900 --> 00:04:36,540So I would say my role is first, uh, predicated on that, on those, uh, elements.4800:04:37,110 --> 00:04:40,530Uh, secondarily, I think just to be a part of the leadership team.4900:04:40,570 --> 00:04:47,639Right. So joining folks like you who have led, uh, this organization to new heights over the past few years, uh, I want to continue on that pathway.5000:04:47,640 --> 00:04:53,580I want to be able to work with all the leadership teams across the board at UTMB to make the right decisions for the organization.5100:04:54,000 --> 00:05:01,139Uh, so it was very much getting out of just a personal thing in terms of CFO and only concerned about the financial impacts,5200:05:01,140 --> 00:05:07,410but also just being concerned about the overall growth, the overall projections of UTMB at large.5300:05:07,740 --> 00:05:10,920Uh, so being part of that executive team, I think is part of my role as well.5400:05:11,310 --> 00:05:15,480Um, but day to day, I think people always have questions. So what do you do on a day to day basis?5500:05:15,480 --> 00:05:21,330Right. And I would say is really motivating, empowering and working with my people.5600:05:21,720 --> 00:05:26,610Right. We are people organization. We don't make widgets, we don't produce certain things.5700:05:26,910 --> 00:05:33,989We work with people. And so I think my job is to support the team that I have, uh, to provide them with,5800:05:33,990 --> 00:05:38,610uh, leadership, again, to provide them with empowerment to make the right decisions.5900:05:38,940 --> 00:05:43,230Uh, but also hold them accountable, right, to make sure that they're elevating the things that they need to elevate,6000:05:43,680 --> 00:05:48,480uh, to make sure that they're bringing forth, uh, the right decisions that will help UTMB move forward.6100:05:48,930 --> 00:05:56,430Um, and so day to day, I feel like, you know, most of my day is, is centered around making sure our people are successful.6200:05:57,020 --> 00:06:00,590Um, and so that's really what my day to day job is.6300:06:00,740 --> 00:06:06,260Uh, practically what that means is I'm in meetings all day, um, to very, you know,6400:06:06,260 --> 00:06:11,330to tackle various issues, to address, uh, concerns, uh, and developments.6500:06:11,780 --> 00:06:17,810Um, but I think it's really just to make sure the organization is set up for success, uh, in all ways, including financial.6600:06:18,870 --> 00:06:25,050Great. You know, having someone that understands the importance of people and a universe is really crucial.6700:06:25,140 --> 00:06:34,170And having a leader that has that is really something that's important as we think about how we drive the financial engine for this organization.6800:06:34,590 --> 00:06:38,970So one of the things that has come up all the time is taking time off.6900:06:39,270 --> 00:06:49,410Paid time off. So why is PTO important from a financial standpoint for you to be, particularly in terms of its long term viability?7000:06:49,680 --> 00:06:51,569Absolutely. So. Great question.7100:06:51,570 --> 00:06:58,320That's one question that I think I've received probably the most since I've been here, because I know the PTO is always a hot topic, right?7200:06:58,350 --> 00:07:05,190Uh, and it's not just unique to UTMB. I think this is a phenomenon that's, um, you know, an issue across all the health care industry.7300:07:05,250 --> 00:07:09,870Um, but in all industries, uh, if you if you're, uh, looking at it from that perspective.7400:07:09,870 --> 00:07:18,389Right, because it impacts people, um, the pandemic, uh, I think really kind of, uh, threw a curveball in how we manage all of these things.7500:07:18,390 --> 00:07:28,590Right? Um, but for UTMB, I think there's been a journey of paid time off as it pertains to all benefits, uh, UTMB, uh, as well as UT system.7600:07:28,590 --> 00:07:36,299And so the PTO plan, I will say, is part of an overall concept around how do we compensate our folks,7700:07:36,300 --> 00:07:40,170how do we provide the right level of benefits that are competitive in the market,7800:07:40,470 --> 00:07:48,420making sure that people understand all of the options, all of the opportunities that we have in terms of benefits and benefit options.7900:07:48,450 --> 00:07:54,300Uh, UTMB so PTO is just sort of the first item that we want to sort of address in a holistic way.8000:07:54,750 --> 00:07:59,010Um, I'll be honest, I think coming in, you know, I'm a new guy. I only been here six months.8100:07:59,010 --> 00:08:05,040The PTO program is not as clear as I would like it to be, at least for me as a new person coming in.8200:08:05,460 --> 00:08:14,190Uh, so I want to make it, uh, more clear. Uh, so working with HR to make sure that all of our employees are clear on what their options are,8300:08:14,190 --> 00:08:18,960what the process looks like, uh, and making sure that everyone's clear on on those things.8400:08:19,320 --> 00:08:25,260Uh, but also, again, making sure the organization is set up, uh, successfully from a financial standpoint.8500:08:25,530 --> 00:08:29,070Right. PTO is a big issue for UTMB.8600:08:29,640 --> 00:08:37,320And the reason is because of the significance of the liability that we have on our financial statements as it pertains to PTO.8700:08:37,890 --> 00:08:45,630So PTO today, if you work here and you accrue certain days, And, you've been here for a certain number of years, right?8800:08:45,660 --> 00:08:49,980You are eligible to be paid out when you depart from the organization.8900:08:50,910 --> 00:08:54,810What that means is the organization has to account for that.9000:08:55,260 --> 00:08:59,339Meaning we have to account for a particular payout when and if that happens.9100:08:59,340 --> 00:09:04,440So when an employee separates from an organization from a financial standpoint,9200:09:04,440 --> 00:09:09,720we have to make sure that we have enough money available to pay that out when those employees leave.9300:09:10,620 --> 00:09:16,950I don't think, uh, when this plan was developed, people had a, uh, you don't have, obviously a crystal ball.9400:09:17,310 --> 00:09:22,350But as you think about what that looks like across 15,000 employees, right.9500:09:22,650 --> 00:09:31,170The numbers add up pretty quickly. Uh, so for UTMB, we have over $100 million liability just as it pertains to paid time off.9600:09:31,500 --> 00:09:38,040Meaning... under the worst case scenario, if all employees were to leave the organization,9700:09:38,040 --> 00:09:44,910we would roughly have to pay out approximately 15,000 employees worth of paid out vacation.9800:09:45,479 --> 00:09:51,869Um, but the issue is we we need to figure out a way to develop a plan that's still competitive in the market,9900:09:52,499 --> 00:09:59,579that can still retain and recruit the right talent, but doesn't cripple the organization in terms of a liability that we have on our books.10000:09:59,909 --> 00:10:04,228So what I don't want to happen is we we have to make trade offs between, well,10100:10:04,229 --> 00:10:12,719how do we account for this growing liability versus other things that we can do, like provide merits or provide, uh, team awards, things like that.10200:10:12,929 --> 00:10:19,349We want to make sure that we can do those things, um, and not have to worry about a liability that continues to grow.10300:10:19,379 --> 00:10:25,259So today, our PTO is over $100 million, and it grows at north of 10% every single year.10400:10:25,619 --> 00:10:28,919So we have to figure out a plan. Like I said, that works for everyone.10500:10:29,309 --> 00:10:36,779Uh, but also provides more flexibility for the organization in terms of decisions that we need to make and how we can make those going forward.10600:10:37,259 --> 00:10:40,738Ultimately, we want to again retain and recruit the right talent.10700:10:40,739 --> 00:10:46,199And I know that PTO, as well as all the other benefits that we have a UTMB, they all matter, right?10800:10:46,199 --> 00:10:49,889So we want to come up with a plan that takes all those things into account.10900:10:50,669 --> 00:10:57,209That is clear for all of our employees. Um, but we also highlight all the great benefits that we do offer at this point in time.11000:10:57,599 --> 00:11:03,119Uh, we want to continue to, uh, show people that we care about recruitment and retention of talent.11100:11:04,199 --> 00:11:07,319Well, I know you've talked about PTO being one of those benefits.11200:11:07,589 --> 00:11:13,769Are there any other benefits you wish that employees would know or pay attention to as part of their benefits package?11300:11:13,859 --> 00:11:18,809Absolutely. That's a great question. Um, and so that is one of the things that I've also noticed, right.11400:11:19,259 --> 00:11:20,255Um, things like...11500:11:20,656 --> 00:11:27,586Uh, medical plan coverage. Again, that's another one where, you know, if you're a single individual employee, it's free.11600:11:28,186 --> 00:11:32,626Um, you just don't you don't see that in the market, right? Or at least not in these current times.11700:11:32,656 --> 00:11:37,666Um, so I think a lot of those things should be highlighted. Um, there's a lot of other benefits there.11800:11:37,666 --> 00:11:40,906Quite frankly. I don't even know about that. I think are available.11900:11:40,936 --> 00:11:48,406Right. So how do we bring those out so that everyone can see the breadth and the comprehensiveness of all of the benefits that we offer?12000:11:48,766 --> 00:11:56,236Um, and I know that that's, you know, part of sort of how we evaluate compensation, how we evaluate... how we compare to others in the market.12100:11:56,716 --> 00:12:04,755But it's not just a salary conversation. I think it's totality of all the benefits, in addition to compensation that really matter.12200:12:04,756 --> 00:12:11,626And I really think, um, UTMB can really compete, uh, in the market, uh, particularly in a local market on that front.12300:12:12,586 --> 00:12:18,886Thanks for that. At the recent town hall, you mentioned a 12-month rolling forecast for the budget.12400:12:19,846 --> 00:12:23,716Why is this important and how can we implement this at UTMB?12500:12:24,256 --> 00:12:28,576Yeah. And I would say, uh, great question. We're actually starting to implement that now.12600:12:28,846 --> 00:12:32,146Right. And this may sound weird coming from a finance guy. Right.12700:12:32,566 --> 00:12:36,076A budget is only as good as the day you make it, right.12800:12:36,466 --> 00:12:42,226Uh, we want to create an environment for which we can be much more nimble as an organization in terms of decisions that we need to make.12900:12:42,616 --> 00:12:49,335Um, you know, whether that's financial or otherwise, operational decisions that that come about, things that happen, such as hurricanes.13000:12:49,336 --> 00:12:56,266Right. How do we create a flexible environment to where the organization can shift and make those decisions in a timely way?13100:12:56,776 --> 00:13:02,116Um, the only way to really do that is to understand sort of where you are financially at any given point in time.13200:13:02,416 --> 00:13:08,566So a rolling forecast allows the organization to really understand at any given point in time, right?13300:13:08,566 --> 00:13:13,275Whether it's the end of the month or end of the quarter, where can we make some of these decisions?13400:13:13,276 --> 00:13:17,926How can we flex our decision making process to account for what's happened in the last few weeks?13500:13:18,436 --> 00:13:24,796When you only do a one year or once a year exercise in terms of a budget, one is painful, right?13600:13:24,796 --> 00:13:28,276So I recognize everybody has to deal with that at all the same time of year.13700:13:28,636 --> 00:13:32,085Um, but a budget is a budget is very static, right.13800:13:32,086 --> 00:13:33,586It's a point in time.13900:13:33,586 --> 00:13:41,416And so I'm trying to create an environment where people are thinking about impacts to the financial success of the organization all the time.14000:13:41,806 --> 00:13:48,165And the more that we can provide better information, more timely information in terms of a rolling forecast, um,14100:13:48,166 --> 00:13:53,476hopefully people can start to see the benefit of that in our ability to make decisions that can react, uh,14200:13:53,476 --> 00:13:58,546better, but also be a little bit more proactive in how we make decisions from a financial standpoint.14300:13:59,536 --> 00:14:01,456Given what you said about forecasting,14400:14:02,296 --> 00:14:10,156what would be our current fiscal future that you see for UTMB and how can each employee contribute to our overall success?14500:14:10,306 --> 00:14:13,035That's a great question. Uh, I think, you know, uh,14600:14:13,036 --> 00:14:20,716one of the things that I feel like would be very beneficial is for every employee to understand how their piece fits into the bigger pie, right?14700:14:20,746 --> 00:14:24,286There's obviously operational decisions, um,14800:14:24,616 --> 00:14:31,755executing on certain things on a day to day basis that ultimately they come down to a financial transaction right at the end of the day, right?14900:14:31,756 --> 00:14:35,806Whether that's recording a piece of revenue or that's an expense that goes out the door.15000:14:35,806 --> 00:14:38,715Right. So everything matters in terms of how people operate.15100:14:38,716 --> 00:14:45,316So I want everybody to understand everything that they do every day turns into a transaction at some point.15200:14:45,406 --> 00:14:52,126Right. What we like to do, and I think what Dr. Reiser's mission is, is to one grow our business.15300:14:52,156 --> 00:14:56,116Right. So we want to continue on our trajectory of revenue growth.15400:14:56,476 --> 00:15:00,135Right. That includes things that we've done going back to the hurricanes.15500:15:00,136 --> 00:15:05,205And uh, how do we rebound from those whether we invest in new facilities up in Clear Lake,15600:15:05,206 --> 00:15:09,495whether we invest in, uh, our missions, new missions such as innovation.15700:15:09,496 --> 00:15:14,086Right. We want to grow our revenue base. We want to diversify our revenue base.15800:15:14,086 --> 00:15:23,415Right. So even bringing on folks like James Gallo, our new development officer, we want to explore and invest in, uh, more gifts in philanthropy.15900:15:23,416 --> 00:15:31,516Right. So how do we continue to grow our revenue? But employees on a day to day basis, I would love to hear their ideas on revenue growth, um,16000:15:31,516 --> 00:15:38,806expense savings or ways that we can be more efficient whether you work in a clinic or whether you work in a research lab, it all matters.16100:15:38,806 --> 00:15:44,595Right? Uh, so I think to the extent that people understand, you know, even if you're working in a,16200:15:44,596 --> 00:15:51,556in a department or a particular clinic, those financial transactions matter because we roll them all up.16300:15:52,126 --> 00:15:57,706Right? You roll them all up, you kind of see where we're at, see how we can continue to grow, see how we can continue to invest.16400:15:58,006 --> 00:16:02,476And to the extent that we have better and new ideas to continue to grow, I would.16500:16:02,626 --> 00:16:04,036I would entertain all those things.16600:16:04,446 --> 00:16:10,486Uh, and to the extent that people have ways that we can continue on our trajectory, I think that would be beneficial for us.16700:16:11,446 --> 00:16:13,456Well, Mr. Bailey, thank you for being here.16800:16:13,726 --> 00:16:21,556This has been a wonderful podcast, sharing your expertise as our new Executive Vice President and Chief Financial Officer.16900:16:21,916 --> 00:16:31,006We are so excited that you're here to help us maintain our fiscal trajectory and making sure that UTMB continues to deliver on its mission.17000:16:31,366 --> 00:16:36,046Thank you for being here. Thank you so much. Thank you for tuning in to The Pulse.17100:16:36,556 --> 00:16:41,776We hope you've gained valuable insights, discover new perspectives, and feel inspired by the stories shared today.17200:16:43,066 --> 00:16:47,896Please join us for future episodes to stay informed and connected right here on The Pulse.
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Jamie D. Bailey, MBA, CPA, CFE, is UTMB Health's Executive Vice President and Chief Financial Officer, where he leads the strategic financial direction of the organization, including its six hospitals, faculty group practice, five academic schools, and more than 88 outpatient clinics. He oversees multiple operational areas, including finance, accounting, budgeting, financial reporting, revenue cycle operations, IT, and facilities management.
With over 20 years of experience in financial leadership, Jamie has proven expertise in maximizing profitability, driving growth, and improving financial processes. Before joining UTMB, Jamie served as Senior Vice President of Finance and CFO at Baylor College of Medicine and held leadership roles at FTI Consulting/KPMG and Deloitte Financial Advisory Services.
Jamie earned his MBA from Rice University and a bachelor's degree in accounting and finance from Indiana University. He is certified as a Fraud Examiner (CFE) and a Certified Public Accountant (CPA).