Reducing Annual Contingent Labor Spend
The Power of the Network
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The Challenge
AHSA partnered with a 3,412 bed hospital system in the Upper Midwest U.S. to improve their contingent workforce management process. The partnership led to the development of an innovative system that reduced the amount of time spent on administrative tasks and enabled staff to focus on delivering high-quality patient care. The new system introduced workflow automation into the client’s ecosystem, which streamlined the hiring process and allowed for better communication between AHSA, the healthcare system, and approved staffing firms. As a result, AHSA was able to reduce annual contingent spend by more than $13 million and reduce the number of open contract positions by 81%. Additionally, AHSA focused on improving the staffing experience, making it easier for staff to find and apply for job opportunities with the best-in-class Vendor Management System, Trio VMS. Overall, the partnership between AHSA and the client resulted in improved efficiencies and tremendous cost savings for the healthcare system, while simultaneously improving the staffing experience for healthcare professionals.
About The Client
26,000
Employees
87,481
Discharges
3,412
Licensed Beds
Client’s Goals
• Reduce annual contingent labor spend
• Increase workforce talent with an expanded network
• Improve operational efficiencies
Reduction in contingent workforce spend
$13.3 M in annual savings
Decrease in contingent workforce head count
Reduced travelers from 450 to 246
Improved Operational Efficiencies
The healthcare system leveraged AHSA’s workforce solutions program, enhanced by a state-of-the-art Trio VMS, to optimize operational efficiencies and streamline their workforce management process. The platform provided real-time data, analytics, and detailed reports that guided the client to make datadriven hiring decisions, resulting in significantly reduced costs for the client. In Addition, the healthcare system and AHSA partnered on a significant overhaul to its invoicing program (outlined below). By partnering with AHSA, the client increased fill rate, reduced annual contingent labor spend, and improved the staffing experience.
Increased workforce talent
AHSA’s partnership resulted in a more efficient and effective recruitment process, enabling the client to attract and hire high-quality healthcare professionals. Trio VMS enabled the healthcare system to overhaul its screening and onboarding process, resulting in higher quality of care.
The client aimed to improve its internal talent to ensure an organization has access to a skilled and flexible workforce that can adapt to changing business needs and help drive growth and innovation.
Reduced annual contingent spend
AHSA partnered with the healthcare system to optimize their contingent and direct hire workforce management process, resulting in a reduction of its annual contingent labor spend by over 50%. By partnering with AHSA, the client significantly reduced its reliance on costly third-party labor and simultaneously maintained a high-level of care, resulting in improved operational efficiencies and patient outcomes. AHSA utilized its proprietary VMS platform, Trio VMS, that provided the client with real-time data and analytics, enabling them to fill jobs at rates lower than local and national averages. AHSA also introduced workflow automation, which streamlined the hiring process and allowed for better communication between AHSA and the healthcare system.
Summary
As a result of this strategic partnership, the healthcare system reduced its annual contingent labor spend by $13.3 million. AHSA’s partnership with the client successfully optimized the contingent workforce management process, resulting in improved operational efficiencies and cost savings.
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Is your healthcare organization looking for similar results? Contact AHSA today to get started.
