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Debunking the Myths: Why VMS and MSP Solutions Work for Locum Staffing

If you’ve explored VMS or MSP solutions for managing locum tenens staffing, you’ve probably heard warnings like:

“It’ll cost you more.”
“Agencies won’t work with you.”
“You’ll lose control of your vendor relationships.”

Here’s the truth: none of that is accurate. These myths keep circulating and prevent healthcare organizations from using solutions that actually work.

Why These Myths Persist

Change is scary, especially when it disrupts familiar ways of doing business. VMS and MSP solutions transform locum staffing by adding clarity, fair pricing, and consistent processes. While these changes help healthcare organizations, they can affect the profits and control of traditional staffing vendors.

This resistance isn’t always about deception; it’s often about protecting old business models. But when myths hide the real benefits, organizations miss chances to improve staffing and save money.

Separating Fact from Fiction

Myth #1: VMS/MSPs Increase Your Costs

Truth: The opposite is true. These solutions lower costs by:

  • Creating fair pricing through competition
  • Standardizing rates to avoid inconsistencies
  • Preventing costly rule violations
  • Reducing errors in billing and verification
  • Setting caps for predictable budgets

When done right, savings far outweigh any fees.

Myth #2: The Admin Fee Raises Agency Prices

Truth: Rates are set by the healthcare organization, not the agency. The admin fee is small and doesn’t control pricing. Most agencies can absorb it easily.

In fact, VMS/MSPs cut agency costs by removing expensive sales efforts and marketing. Centralized communication and faster placements reduce overhead, making participation more profitable than traditional models.

Myth #3: Agencies Won’t Participate

Truth: Most agencies see the benefits because VMS/MSPs make their work easier:

  • Clear communication through one system
  • Less paperwork with consistent processes
  • Fair competition based on performance
  • Faster response times

Myth #4: Locums Agencies Don’t Work on VMS/MSP Orders

Truth: Agencies actively use these programs because they align with their goals. Instead of chasing clients and juggling different processes, agencies get centralized requests and can focus on placing qualified providers quickly.

Myth #5: You’ll Lose Relationships with Agencies

Truth: These solutions don’t replace relationships, they improve them. Agencies remain key partners, and technology simply makes collaboration easier and clearer.

Myth #6: Setup Is Complicated and Slow

Truth: Modern systems are designed for quick setup and smooth connections. HWL’s system uses advanced design and tailored processes for easy onboarding.

Myth #7: Technology Replaces Human Expertise

Truth: The best solutions combine automation with human insight. Technology handles repetitive tasks so experts can focus on planning, discussions, and relationship building.

Control, Clarity, and Results

Whether you need MSP services for locums, nursing, or allied health, or want a VMS system to improve your staffing strategy, the first step is knowing the facts.

The question isn’t whether these solutions work because they do. The question is: How much longer can you afford to rely on myths instead of results?

Ready to Transform Your Workforce Strategy?

Our team is here to answer questions, address concerns, and show what’s possible when you partner with a solution built for healthcare.

Contact us today to learn more.

December 16, 2025/By Tommy Binner
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Author: Tommy Binner

Tommy serves as a Vice President of Business development and drives new go to market strategies, client acquisition, and program delivery initiatives with HWL partners. With over 17 years of business development and team leadership experience (specifically in healthcare), he has been serving healthcare client partners since 2006. He brings a unique insight on the marketplace having lead enterprise initiatives with the Nation's largest healthcare providers in the healthcare technology, locums and telemedicine industries. He holds an MBA and MHA from Georgia State University and a BS from The University of Georgia.
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