Our team of Healthcare Industrial Engineers created this newsletter to share the industry’s best practices with leaders who can apply operational efficiencies in their daily work.
|
|
Many organizations struggle to staff to monthly workload fluctuations. Flexing up and down is hard work, but proven strategies exist to proactively plan for changing workload to optimize labor spend. In Healthcare Business Today, Cara discusses high level strategies for seasonal staffing.
|
|
|
Identify staffing requirements in highest and lowest workload months. Determine how many staff members should be hired to optimize total cost, given monthly flex requirements.
Psst... Be sure to consider all variable departments with more than 15 FTEs
|
|
|
SEASONALITY & PROFITABILITY
IN THE NEWS
|
|
|
|
|
Reducing Labor Spend: How the Right Data Reveals Seasonal Solutions
|
|
|
We know from experience that implementing creative staffing solutions with a data-driven approach allows hospitals to reduce labor expense, while reinforcing their commitment to specific nursing ratios and quality care.
|
|
|
|
10 things to know about how seasonality affects hospital revenue
|
|
Seasonality — or patterns in healthcare influenced by different seasons — has a material effect on hospitals' net revenue.
|
|
|
|
Seasonality Has a Bigger Impact Than You Think
|
|
|
Health systems that use old-school budgeting processes are the most affected by seasonality fluctuations. However, health systems that are adopting quarterly budgets can more easily adjust to anticipated changes.
|
|
|
|
|
1) Review Historical Needs per Month
Determine worked hours needed for each month of the year - noting peak season.
Hint: peak season will vary by department
2) Calculate Total Cost by Scenario
Calculate total cost options of various employed FTE values - considering the additional cost to flex up with premium labor, and the difficulty of flexing down full time employees.
- Make sure you know how many FTEs are available for each month's needs
3) Create Staffing Plans
Develop a detailed staffing plan for high workload months and plan ahead, ensuring use of each premium labor resource is prioritized according to price.
- Utilize a mix of flex up strategies, including pool, part time, overtime, travelers, and more.
- A thoughtful combination simultaneously ensures staffing needs are met and optimizes labor spend.
- Maximize use of cost-effective labor options before resorting to higher cost options
Hint: the more dynamic the monthly workload, the more creative the seasonal flex plan must be
|
|
|
|
Prioritized Flex Up Options
|
|
4) Hire Ahead
Quantify "vacancy gap" and ensure you are hired ahead to cover vacancy.
- A department's "vacancy gap" is an FTE value calculated by totaling hours lost due to turnover- totaling the time from resign to post, post to fill, and average orientation for each position.
- Completing this step ensures that your seasonal staffing plan will not be derailed by turnover.
|
|
|
|
|
|
|
