Alan B. Miller
Encyclopedia
Alan B. Miller is a businessman who is the founder of Universal Health Services, Inc., and currently serves as the company's Chairman and Chief Executive Officer
(CEO). Miller founded the company in 1978 and it has grown to become one of the largest healthcare companies in the nation, with annuals revenues of more than $7 billion.
, NY on August 17, 1937. His father owned a dry cleaner store and his mother worked for a millinery company. As a youth, Miller was active in sports but also worked after-school jobs as a delivery clerk for a grocery store and for Western Union
.
Miller’s six foot-five inch height, and basketball
skills helped lead his high school team to an undefeated season and a New York City
championship in 1954. He received a full scholarship to the University of Utah
.
in Williamsburg, Virginia
, where he earned a bachelor’s degree in economics. He went on to earn a Master of Business Administration from the Wharton School of the University of Pennsylvania
.
(ROTC), and was commissioned as a Captain in the U.S. Army and served in the 77th Infantry Division after he completed his education.
industry at Young & Rubicam
in New York, one of the industry’s largest advertising agencies. As the agency’s youngest vice president, Miller learned about entrepreneurship and risk-taking as he worked with his clients. For example, while he was at Y&R, Miller was instrumental in developing one of the first nationally syndicated television programs, a show called “Cooking With Graham Kerr.”
When his former Wharton roommate came to him in 1969 with an idea for a business, Miller decided to leave the advertising industry for a new venture. His new company, called American Medicorp, would build privately owned hospitals in high growth areas—such as California
, Nevada
, Texas
and Florida
—that had few hospitals.
Four years later, in 1973, the company was in financial trouble and Miller’s partner had left the company. Miller took over as CEO of American Medicorp and engineered a turnaround that brought attention within the healthcare industry. American Medicorp became the target of a hostile takeover by Humana
in 1978.
Faced with losing the company, Miller fought Humana’s takeover bid. While he was ultimately not able to thwart the takeover, he did force Humana to raise the price it paid for American Medicorp, and generated additional money for all company shareholder
s.
had taught him, Miller knew that whenever he got knocked down, the best thing he could do was get back up and start over. So the day after he lost American Medicorp to a hostile takeover, Alan B. Miller started a new company in the same industry. The new company was called Universal Health Services, Inc. (UHS) and was started with funding from venture capital
ists, along with money put up by himself and several former American Medicorp employees who decided to follow Miller into his new venture.
Following the same formula for success that had helped him rebuild American Medicorp, Miller has transformed Universal Health Services, Inc. from a start-up company that had six employees and zero revenue in 1978 into a Fortune 500
company that is one of the nation’s largest healthcare corporations. The company currently owns 221 acute care
hospitals and behavioral health
facilities, has nearly 60,000 employees and generates annual revenues of more than $7.0 billion.
and difficult conditions in the healthcare industry, UHS recorded all-time high earnings results.
The company has consistently been a top performer on Wall Street
and was named the Top Healthcare Provider by Fortune
in 2003 for its compounded 20-percent annual growth from 1992 to 2002. UHS has also been named to the Forbes Platinum 400 list of best large companies in America for profitability and growth.
Miller has said that he makes integrity and ethics a foundation for himself and the company he runs. “I believe that reputation is one of the most important assets for any business and should be guarded carefully,” he says. “While it takes a lifetime to build a good reputation, it can vanish overnight.”
In addition to his work with UHS, Miller serves on the boards of directors of The Penn Mutual Life Insurance Company and Broadlane.
for students of all economic backgrounds. He served on the executive board of the Wharton School of the University of Pennsylvania, and is currently a member of The Board of Overseers of the internationally known business school
.
He has served as a trustee of The College of William & Mary Endowment Fund and is a life member of the college’s President’s Council. In 2007, the College of William & Mary announced the creation of the Alan B. Miller Center for Entrepreneurship in recognition of Miller’s extensive support for his alma mater. The center, as well as the entire Mason School of Business
at the College of William & Mary, will be housed in the new Alan B. Miller Hall
. Miller has also served as trustee of the William & Mary Endowment Fund and Is a life member of the school’s President’s Council.
In addition to his work with the business school at the College of William & Mary, Miller also funded the construction of the campus gymnasium and established liberal arts
and basketball
scholarships to honor his parents, Mary and Manuel.
Miller’s involvement is not limited to colleges where he studied. For example, when the University of South Carolina Aiken
needed help persuading the state legislature to fund the construction of a new building for its nursing school, he provided a significant financial gift that made it possible to get the remainder of the money it needed from the state of South Carolina. Today, the Alan B. Miller Nursing Building stands on the campus as a reminder of Alan's spirit of community involvement. In 1995 Miller received an Honorary Doctorate in Business Administration from the University of South Carolina Aiken.
He has also served as the chairman of the Philadelphia United Negro College Fund
Corporate Campaign, and received that organizations Chairman’s Award in 1996.
The Juvenile Diabetes Research Foundation
, an organization in which he was active for years, has also honored Miller.
A lover of the opera, Miller is chairman emeritus of the Opera Company of Philadelphia
and also serves as a director of the Kimmel Center for the Performing Arts
in Philadelphia.
and Merrill Lynch
, and Financial World
magazine listed him among the Outstanding 1000 CEOs in 1995 and 1996. He has also been one of Modern Healthcare
magazine’s “100 Most Powerful People in Healthcare” every year since 2003.
In 1992 he was awarded an Honorary Doctorate from the University of South Carolina, and was awarded the Ellis Island Medal of Honor
in recognition of his “exceptional humanitarian efforts and outstanding contributions to the country” through healthcare. He is a past recipient of the Americanism Award from the Anti-Defamation League
.
In 1999, he received the William & Mary Medallion, the highest award presented to alumni. In October 2007, the college awarded him the T.C. and Elizabeth Clarke Business medallion, the school’s highest honor for business achievement.
Miller received the George Washington University President’s Medal in 2002. He also received the Chairman’s Award from the United Negro College Fund and the Ellis Island Medal of Honor
In 2010, Miller received the Horatio Alger Award from the Horatio Alger Association, an organization that honors self-made successes who rose through adversity and provides scholarship money to encourage promising students to follow their dreams. Among the other recipients in 2010 were General Tommy Franks
and Condoleezza Rice
.
In March 2011, Universal Health Services, Inc. was listed among the "World's Most Admired Companies" by Fortune magazine.
In August 2011, Miller was among the Top 20 in Modern Healthcare magazine's list of the "100 Most Influential People in Healthcare."
Chief executive officer
A chief executive officer , managing director , Executive Director for non-profit organizations, or chief executive is the highest-ranking corporate officer or administrator in charge of total management of an organization...
(CEO). Miller founded the company in 1978 and it has grown to become one of the largest healthcare companies in the nation, with annuals revenues of more than $7 billion.
Early years
Alan B. Miller was born in BrooklynBrooklyn
Brooklyn is the most populous of New York City's five boroughs, with nearly 2.6 million residents, and the second-largest in area. Since 1896, Brooklyn has had the same boundaries as Kings County, which is now the most populous county in New York State and the second-most densely populated...
, NY on August 17, 1937. His father owned a dry cleaner store and his mother worked for a millinery company. As a youth, Miller was active in sports but also worked after-school jobs as a delivery clerk for a grocery store and for Western Union
Western Union
The Western Union Company is a financial services and communications company based in the United States. Its North American headquarters is in Englewood, Colorado. Up until 2006, Western Union was the best-known U.S...
.
Miller’s six foot-five inch height, and basketball
Basketball
Basketball is a team sport in which two teams of five players try to score points by throwing or "shooting" a ball through the top of a basketball hoop while following a set of rules...
skills helped lead his high school team to an undefeated season and a New York City
New York City
New York is the most populous city in the United States and the center of the New York Metropolitan Area, one of the most populous metropolitan areas in the world. New York exerts a significant impact upon global commerce, finance, media, art, fashion, research, technology, education, and...
championship in 1954. He received a full scholarship to the University of Utah
University of Utah
The University of Utah, also known as the U or the U of U, is a public, coeducational research university in Salt Lake City, Utah, United States. The university was established in 1850 as the University of Deseret by the General Assembly of the provisional State of Deseret, making it Utah's oldest...
.
College education
Miller transferred to the College of William and MaryCollege of William and Mary
The College of William & Mary in Virginia is a public research university located in Williamsburg, Virginia, United States...
in Williamsburg, Virginia
Williamsburg, Virginia
Williamsburg is an independent city located on the Virginia Peninsula in the Hampton Roads metropolitan area of Virginia, USA. As of the 2010 Census, the city had an estimated population of 14,068. It is bordered by James City County and York County, and is an independent city...
, where he earned a bachelor’s degree in economics. He went on to earn a Master of Business Administration from the Wharton School of the University of Pennsylvania
University of Pennsylvania
The University of Pennsylvania is a private, Ivy League university located in Philadelphia, Pennsylvania, United States. Penn is the fourth-oldest institution of higher education in the United States,Penn is the fourth-oldest using the founding dates claimed by each institution...
.
Military service
While he was in college, Miller joined the U.S. Army Reserve Officers' Training CorpsReserve Officers' Training Corps
The Reserve Officers' Training Corps is a college-based, officer commissioning program, predominantly in the United States. It is designed as a college elective that focuses on leadership development, problem solving, strategic planning, and professional ethics.The U.S...
(ROTC), and was commissioned as a Captain in the U.S. Army and served in the 77th Infantry Division after he completed his education.
Early career
Miller began his career in the advertisingAdvertising
Advertising is a form of communication used to persuade an audience to take some action with respect to products, ideas, or services. Most commonly, the desired result is to drive consumer behavior with respect to a commercial offering, although political and ideological advertising is also common...
industry at Young & Rubicam
Young & Rubicam
Y&R is a marketing and communications company specializing in advertising, digital and social media, sales promotion, direct marketing and brand identity consulting.-History:...
in New York, one of the industry’s largest advertising agencies. As the agency’s youngest vice president, Miller learned about entrepreneurship and risk-taking as he worked with his clients. For example, while he was at Y&R, Miller was instrumental in developing one of the first nationally syndicated television programs, a show called “Cooking With Graham Kerr.”
When his former Wharton roommate came to him in 1969 with an idea for a business, Miller decided to leave the advertising industry for a new venture. His new company, called American Medicorp, would build privately owned hospitals in high growth areas—such as California
California
California is a state located on the West Coast of the United States. It is by far the most populous U.S. state, and the third-largest by land area...
, Nevada
Nevada
Nevada is a state in the western, mountain west, and southwestern regions of the United States. With an area of and a population of about 2.7 million, it is the 7th-largest and 35th-most populous state. Over two-thirds of Nevada's people live in the Las Vegas metropolitan area, which contains its...
, Texas
Texas
Texas is the second largest U.S. state by both area and population, and the largest state by area in the contiguous United States.The name, based on the Caddo word "Tejas" meaning "friends" or "allies", was applied by the Spanish to the Caddo themselves and to the region of their settlement in...
and Florida
Florida
Florida is a state in the southeastern United States, located on the nation's Atlantic and Gulf coasts. It is bordered to the west by the Gulf of Mexico, to the north by Alabama and Georgia and to the east by the Atlantic Ocean. With a population of 18,801,310 as measured by the 2010 census, it...
—that had few hospitals.
Four years later, in 1973, the company was in financial trouble and Miller’s partner had left the company. Miller took over as CEO of American Medicorp and engineered a turnaround that brought attention within the healthcare industry. American Medicorp became the target of a hostile takeover by Humana
Humana
Humana Inc. , founded in 1961 in Louisville, Kentucky, is a Fortune 100 company that markets and administers health insurance. With a customer base of over 11.5 million in the United States, the company is the largest Fortune 100 company headquartered in the Commonwealth of Kentucky, and has a...
in 1978.
Faced with losing the company, Miller fought Humana’s takeover bid. While he was ultimately not able to thwart the takeover, he did force Humana to raise the price it paid for American Medicorp, and generated additional money for all company shareholder
Shareholder
A shareholder or stockholder is an individual or institution that legally owns one or more shares of stock in a public or private corporation. Shareholders own the stock, but not the corporation itself ....
s.
Career
As his college athleticsCollege athletics
College athletics refers primarily to sports and athletic competition organized and funded by institutions of tertiary education . In the United States, college athletics is a two-tiered system. The first tier includes the sports that are sanctioned by one of the collegiate sport governing bodies...
had taught him, Miller knew that whenever he got knocked down, the best thing he could do was get back up and start over. So the day after he lost American Medicorp to a hostile takeover, Alan B. Miller started a new company in the same industry. The new company was called Universal Health Services, Inc. (UHS) and was started with funding from venture capital
Venture capital
Venture capital is financial capital provided to early-stage, high-potential, high risk, growth startup companies. The venture capital fund makes money by owning equity in the companies it invests in, which usually have a novel technology or business model in high technology industries, such as...
ists, along with money put up by himself and several former American Medicorp employees who decided to follow Miller into his new venture.
Following the same formula for success that had helped him rebuild American Medicorp, Miller has transformed Universal Health Services, Inc. from a start-up company that had six employees and zero revenue in 1978 into a Fortune 500
Fortune 500
The Fortune 500 is an annual list compiled and published by Fortune magazine that ranks the top 500 U.S. closely held and public corporations as ranked by their gross revenue after adjustments made by Fortune to exclude the impact of excise taxes companies collect. The list includes publicly and...
company that is one of the nation’s largest healthcare corporations. The company currently owns 221 acute care
Acute care
Acute care is a branch of secondary health care where a patient receives active but short-term treatment for a severe injury or episode of illness, an urgent medical condition, or during recovery from surgery...
hospitals and behavioral health
Behavioral health
In psychology behavioral health, as a general concept, refers to the reciprocal relationship between human behavior, individually or socially, and the well-being of the body, mind, and spirit, whether the latter are considered individually or as an integrated whole...
facilities, has nearly 60,000 employees and generates annual revenues of more than $7.0 billion.
Current position
Universal Health Services, Inc., has consistently been among the healthcare industry’s top performers. For example, in the face of a slowing national economyEconomy
An economy consists of the economic system of a country or other area; the labor, capital and land resources; and the manufacturing, trade, distribution, and consumption of goods and services of that area...
and difficult conditions in the healthcare industry, UHS recorded all-time high earnings results.
The company has consistently been a top performer on Wall Street
Wall Street
Wall Street refers to the financial district of New York City, named after and centered on the eight-block-long street running from Broadway to South Street on the East River in Lower Manhattan. Over time, the term has become a metonym for the financial markets of the United States as a whole, or...
and was named the Top Healthcare Provider by Fortune
Fortune (magazine)
Fortune is a global business magazine published by Time Inc. Founded by Henry Luce in 1930, the publishing business, consisting of Time, Life, Fortune, and Sports Illustrated, grew to become Time Warner. In turn, AOL grew as it acquired Time Warner in 2000 when Time Warner was the world's largest...
in 2003 for its compounded 20-percent annual growth from 1992 to 2002. UHS has also been named to the Forbes Platinum 400 list of best large companies in America for profitability and growth.
Miller has said that he makes integrity and ethics a foundation for himself and the company he runs. “I believe that reputation is one of the most important assets for any business and should be guarded carefully,” he says. “While it takes a lifetime to build a good reputation, it can vanish overnight.”
In addition to his work with UHS, Miller serves on the boards of directors of The Penn Mutual Life Insurance Company and Broadlane.
Key civic affiliations and known philanthropic activities
Throughout his career, Alan Miller has been an ardent supporter of educationEducation
Education in its broadest, general sense is the means through which the aims and habits of a group of people lives on from one generation to the next. Generally, it occurs through any experience that has a formative effect on the way one thinks, feels, or acts...
for students of all economic backgrounds. He served on the executive board of the Wharton School of the University of Pennsylvania, and is currently a member of The Board of Overseers of the internationally known business school
Business school
A business school is a university-level institution that confers degrees in Business Administration. It teaches topics such as accounting, administration, economics, entrepreneurship, finance, information systems, marketing, organizational behavior, public relations, strategy, human resource...
.
He has served as a trustee of The College of William & Mary Endowment Fund and is a life member of the college’s President’s Council. In 2007, the College of William & Mary announced the creation of the Alan B. Miller Center for Entrepreneurship in recognition of Miller’s extensive support for his alma mater. The center, as well as the entire Mason School of Business
Mason School of Business
The Mason School of Business is the business school at the College of William & Mary in Virginia. The school, named after alumni and founder of Legg Mason, Raymond A. "Chip" Mason, in 2005, was ranked in the top 20 MBA programs in 2007 and the top 10 undergraduate programs among public universities...
at the College of William & Mary, will be housed in the new Alan B. Miller Hall
Alan B. Miller Hall
The Alan B. Miller Hall is the new home of the Mason School of Business at the College of William & Mary in Williamsburg, Virginia, United States. The building was designed by prominent modern architect Robert A.M. Stern. The building is currently seeking LEED Certification after adhering to...
. Miller has also served as trustee of the William & Mary Endowment Fund and Is a life member of the school’s President’s Council.
In addition to his work with the business school at the College of William & Mary, Miller also funded the construction of the campus gymnasium and established liberal arts
Liberal arts
The term liberal arts refers to those subjects which in classical antiquity were considered essential for a free citizen to study. Grammar, Rhetoric and Logic were the core liberal arts. In medieval times these subjects were extended to include mathematics, geometry, music and astronomy...
and basketball
Basketball
Basketball is a team sport in which two teams of five players try to score points by throwing or "shooting" a ball through the top of a basketball hoop while following a set of rules...
scholarships to honor his parents, Mary and Manuel.
Miller’s involvement is not limited to colleges where he studied. For example, when the University of South Carolina Aiken
University of South Carolina Aiken
The University of South Carolina Aiken is a four-year, public coeducational university in Aiken, South Carolina. The school offers undergraduate degree programs as well as master's degrees in elementary education, educational technology and applied clinical psychology...
needed help persuading the state legislature to fund the construction of a new building for its nursing school, he provided a significant financial gift that made it possible to get the remainder of the money it needed from the state of South Carolina. Today, the Alan B. Miller Nursing Building stands on the campus as a reminder of Alan's spirit of community involvement. In 1995 Miller received an Honorary Doctorate in Business Administration from the University of South Carolina Aiken.
He has also served as the chairman of the Philadelphia United Negro College Fund
United Negro College Fund
The United Negro College Fund is an American philanthropic organization that fundraises college tuition money for black students and general scholarship funds for 39 private historically black colleges and universities. The UNCF was incorporated on April 25, 1944 by Frederick D. Patterson , Mary...
Corporate Campaign, and received that organizations Chairman’s Award in 1996.
The Juvenile Diabetes Research Foundation
Juvenile Diabetes Research Foundation
JDRF is the leading global organization focused on type 1 diabetes research. Driven by volunteers connected to children, adolescents, and adults with this disease, JDRF is the largest charitable supporter of T1D research...
, an organization in which he was active for years, has also honored Miller.
A lover of the opera, Miller is chairman emeritus of the Opera Company of Philadelphia
Opera Company of Philadelphia
The Opera Company of Philadelphia is an American opera company in Philadelphia, Pennsylvania and is the city's only company producing grand opera. The organization produces four fully staged opera productions annually, encompassing works from the seventeenth through the 21st century...
and also serves as a director of the Kimmel Center for the Performing Arts
Kimmel Center for the Performing Arts
The Kimmel Center for the Performing Arts is a large performing arts venue located on Broad Street, along the stretch known as the "Avenue of the Arts", in Philadelphia, Pennsylvania. It is owned and operated by Kimmel Center, Inc., an organization which also manages the Academy of Music in...
in Philadelphia.
Awards
In April 1999, Miller received the first Lifetime Achievement Award from the Federation of American Health Systems in recognition of his work. Miller also received the FAHS Award for leadership in 1978. He was named Master Entrepreneur of the Year in 1991, an award sponsored by Ernst & YoungErnst & Young
Ernst & Young is one of the largest professional services networks in the world and one of the "Big Four" accountancy firms, along with Deloitte, KPMG and PricewaterhouseCoopers ....
and Merrill Lynch
Merrill Lynch
Merrill Lynch is the wealth management division of Bank of America. With over 15,000 financial advisors and $2.2 trillion in client assets it is the world's largest brokerage. Formerly known as Merrill Lynch & Co., Inc., prior to 2009 the firm was publicly owned and traded on the New York...
, and Financial World
Financial World
Financial World was the United States' oldest business magazine before going out of business in 1998. In the magazine's later years of publication, its signature issue was the "Sports Franchise Valuation Issue".- History :...
magazine listed him among the Outstanding 1000 CEOs in 1995 and 1996. He has also been one of Modern Healthcare
Modern Healthcare
Modern Healthcare is a weekly, 70,037-circulation business publication delivering news and information to executives in the healthcare industry...
magazine’s “100 Most Powerful People in Healthcare” every year since 2003.
In 1992 he was awarded an Honorary Doctorate from the University of South Carolina, and was awarded the Ellis Island Medal of Honor
Ellis Island Medal of Honor
The Ellis Island Medal of Honor was founded by the National Ethnic Coalition of Organizations and intended to pay homage to the immigrant experience. The medals honor the contribution made to America by immigrants and the legacy they left behind in the successes of their children and grand-children...
in recognition of his “exceptional humanitarian efforts and outstanding contributions to the country” through healthcare. He is a past recipient of the Americanism Award from the Anti-Defamation League
Anti-Defamation League
The Anti-Defamation League is an international non-governmental organization based in the United States. Describing itself as "the nation's premier civil rights/human relations agency", the ADL states that it "fights anti-Semitism and all forms of bigotry, defends democratic ideals and protects...
.
In 1999, he received the William & Mary Medallion, the highest award presented to alumni. In October 2007, the college awarded him the T.C. and Elizabeth Clarke Business medallion, the school’s highest honor for business achievement.
Miller received the George Washington University President’s Medal in 2002. He also received the Chairman’s Award from the United Negro College Fund and the Ellis Island Medal of Honor
In 2010, Miller received the Horatio Alger Award from the Horatio Alger Association, an organization that honors self-made successes who rose through adversity and provides scholarship money to encourage promising students to follow their dreams. Among the other recipients in 2010 were General Tommy Franks
Tommy Franks
Tommy Ray Franks is a retired general in the United States Army. His last Army post was as the Commander of the United States Central Command, overseeing United States Armed Forces operations in a 25-country region, including the Middle East...
and Condoleezza Rice
Condoleezza Rice
Condoleezza Rice is an American political scientist and diplomat. She served as the 66th United States Secretary of State, and was the second person to hold that office in the administration of President George W. Bush...
.
In March 2011, Universal Health Services, Inc. was listed among the "World's Most Admired Companies" by Fortune magazine.
In August 2011, Miller was among the Top 20 in Modern Healthcare magazine's list of the "100 Most Influential People in Healthcare."