According to RightSourcing’s analysis of recent strategic analytics, health systems are hiring 41% more contingent workers this year. It’s clear that as demand for qualified healthcare candidates grows so too does the use of contingent workers to fill in the employment gaps. Yet as these programs grow in size and complexity, so too does their risk. Is your health system in need of contingent workforce management?
You Might Need Contingent Workforce Management If…
As contingent labor programs grow in size, so too does their complexity. Complications such as a lack of cost containment, visibility into the supply chain, healthcare compliance, and process efficiency could arise, placing accreditation, financial stability, and patient care at risk. To solve these problems, health systems across the nation are turning to partnerships with a vendor neutral managed service provider (MSP). Is your health system in need of such a beneficial partnership? Consider the following signs that your health system is in need of contingent workforce management:
- Hiring managers manage the process of obtaining contingent workers. When contingent labor programs are managed by department heads or hiring managers, this suggests the process is largely decentralized. When hiring is decentralized, the process is ripe for contingent workforce management. This is because a decentralized hiring process is fragmented, reactionary, and often has little connection to health system budget and compliance goals. By outsourcing contingent workforce management to a vendor neutral MSP, health systems are able to ensure the process is proactive instead of reactive and aligns well with health system goals. A vendor neutral MSP will centralize the process and enhance efficiency. Using strategic analytics, a vendor neutral MSP can provide predictive hiring analytics that ensure proactive and successful contingent workforce management.
- It’s difficult to obtain the right amount of contingent workers. Often, under decentralized contingent labor programs, hiring managers rely upon one or two suppliers to provide all of their contingent workers. Under this model, there are often not enough talented candidates available to fill open positions. When health systems partner with a vendor neutral MSP for contingent workforce management, they gain access to thousands of suppliers. This mixture of suppliers increases the potential candidate pool for contingent workers, improving the odds of finding enough contingent workers to fill open positions.
- Supply Chain has no visibility into the hiring process. When there is a lack of contingent workforce management, Supply Chain is often left out of the process. When Supply Chain is left out, it’s easy to fall out of alignment with budgetary guidelines and protocol. This is why contingent workforce management is so important. If left unchecked, rogue spend can threaten the financial stability of the entire health system. A vendor neutral MSP keeps the health system’s goals in mind with every contingent labor decision. Their use of a vendor management system can also increase visibility into spend, providing detailed metrics tying contingent labor to various cost centers that roll up into the system’s budget overall.
- Management doesn’t know who is onsite. When there is a lack of contingent workforce management, it can be difficult to determine the number of contingent workers working onsite on any given day. This can endanger patient safety and care as well as accreditation and healthcare compliance. Like an airline with a passenger manifesto, a health system should be aware of the number of contingent workers onsite, whether they possess the proper compliance documents, and whether they are properly trained for patient care. When a vendor neutral MSP provides contingent workforce management, all compliance documentation is checked, credentials are tracked, and management is alerted to all assignments that are due to end.
- Contingent labor is obtained at crisis rates. One of the benefits of outsourcing contingent workforce management to a vendor neutral MSP is their market rate intelligence. Their program management team can negotiate more favorable rates with suppliers based on quantifiable data that can reduce contingent labor program spend. This money can then be better invested in patient care.
If you’ve noticed these signs at your health system, contact RightSourcing for a free workforce analysis. Find out what benefits you can gain from expert contingent workforce management.