Case Study: Achieving Cost Savings and Workforce Optimization Through a Unified Strategy

by
March 25, 2025
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Challenge

North Memorial Health faced significant challenges in managing its contingent workforce across nursing, allied health, and locum tenens providers. With multiple vendors and no centralized solution, the health system lacked visibility into actual labor spend, workforce trends, and overall program management. At the time, North Memorial had been working with a nursing and allied MSP, while AHSA served as a non-exclusive MSP for Locum Tenens. This fragmented approach caused inefficiencies and higher labor costs, which caused North Memorial to evaluate their entire contingent workforce management program.

Solution

North Memorial Health selected AHSA to centralize and optimize contingent labor across the entire health system. By consolidating all workforce categories under a single, vendor-neutral managed service model, AHSA introduced strategic oversight and cost-saving initiatives, including:

  • Cost Reduction Initiatives: Transitioning out higher-cost providers and clinicians while aligning rates to market-competitive levels, ensuring uninterrupted patient care.
  • Enhanced Visibility & Control: Implementing comprehensive workforce analytics to track spend, trends, and utilization.
  • New Per Diem Support: Introducing flexible per diem staffing solutions to help North Memorial scale clinical resources more efficiently.
“Working with AHSA has helped us streamline our staffing process, reduce costs, and ensure we have the right people in place to provide excellent patient care,” said Shannon Sloan, Chief Human Resources Officer at North Memorial Health. “This partnership sets us up for continued success as we adapt to the changing needs of healthcare."

Results

Within the first eight months of partnership, North Memorial Health realized a $2 million cost reduction across the system, driven by optimized vendor management, rate standardization, and strategic workforce planning. Additionally, AHSA's continued oversight ensured seamless provider coverage, avoiding disruptions to patient care while improving operational efficiency.

Key Takeaways:

  • $2 Million in Cost Savings in First 8 Months
  • Complete Workforce Visibility & Spend Transparency
  • Seamless Provider Transitions Without Service Gaps
  • Flexible Per Diem Support for Clinical Resource Management

By leveraging AHSA’s expertise in workforce solutions, North Memorial Health transformed its contingent labor strategy into a cost-effective, scalable, and patient-centric model.

Interested in learning how AHSA can help your organization achieve similar results? Contact us.

62%
94%
90%
of employees surveyed say they would be “significantly more engaged” at work if their organization had a succession plan.
Of employers surveyed reported that having a succession plan positively impacts their employees’ engagement levels.
of younger workers (age 18 to 34) say that working in an organization with a clear succession plan would “improve” their level of engagement.

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Workforce Solutions
Executive Leadership
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Connect With AHSA

Is your healthcare organization looking for similar results? Contact AHSA today to get started.

Workforce Solutions
Executive Leadership
Staffing and Recruitment
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.