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The Best Time to Implement an Internal Contingent Workforce Optimization Plan is When You Don’t Need One

In the dynamic and unpredictable business of modern healthcare, the importance of an adaptable and resilient workforce cannot be overstated. After we experience the annual year end mad dash of elective procedures patients schedule strategically to beat resetting deductibles and the long winter months of seasonal illness that require us to “staff up” for volumes, late Spring & Summer can be deceptive seasons for healthcare leaders as patient volumes decrease and staffing appears to “stabilize.” Inevitably, the reprieve is always short lived, so it is imperative we spend those calmer times planning, implementing and/or optimizing our workforce strategies for the next evolution. Even healthcare systems currently experiencing low turnover rates and minimal reliance on external contingent labor should consider investing in and optimizing an internal resource pool, or Local Insourced Flex Team (LIFT). This strategic move is crucial in addressing seasonal fluctuations in patient volume, unexpected staff absences, and the prolonged time required to fill vacancies. Additionally, it provides a local solution to the ongoing nursing shortage and serves as a retention mechanism by offering flexible work options, alternatives to travel nursing & competitive compensation that benefit both the organization and its employees.

Addressing Seasonality and Variability in Patient Census

Healthcare demand is inherently cyclical, with patient volumes peaking during certain times of the year. For instance, hospitals often see a surge in admissions during the winter months due to flu season, while summer might bring an influx of outpatient volume related to minor injuries from outdoor activities. These seasonal variations can strain the existing staff, discourage leaders from approving PTO requests, leading to either increased labor costs associated with use of externally sourced travel nurses procured at a premium or worse, caregiver and front-line leadership burnout and & subsequent decreased quality of care. When leveraged as part of an effective workforce optimization strategy, and internal resource pool enables healthcare systems to break their reactive patterns and efficiently deploy additional staff during these peak times, ensuring that patient care standards remain high without overburdening the core workforce.

Mitigating the Impact of Unexpected Staff Absences

Healthcare professionals are not immune to the factors that necessitate unplanned absences, such as personal illness, family emergencies, or sudden leave requirements. The absence of a core staff member can disrupt operations, especially in specialized units where specific skills and certifications are required. An internal resource pool acts as a safety net for inevitable workforce shrinkage, providing a ready supply of trained professionals who can step in at a moment's notice. This minimizes disruption and ensures continuity of care, maintaining both patient satisfaction and operational efficiency.

Reducing Prolonged Post-to-Fill Times

One of the significant challenges in healthcare staffing is the lengthy duration often required to fill vacancies. Many organizations are experiencing post to fill times of greater than 60 days and then, depending on the experience level of the new hire, they are not immediately productive in staffing as they must be oriented & trained properly. Since we know the process of recruiting, interviewing, and onboarding new employees can take months even at its most efficient operational peak, a built-in bench of resources is critical to prevent increased and undue workload on existing staff. Chronic overleveraging of core staff will most assuredly lead to burnout, errors, and a decline in morale. An internal resource pool can bridge this gap by providing interim support. By having a roster of trained and vetted professionals who are familiar with the organization's systems and culture, healthcare facilities can maintain optimal staffing levels even as they work to permanently fill positions.

Combating the Nursing Shortage

The nursing shortage is a well-documented and ongoing issue that poses a significant threat to healthcare delivery. Factors contributing to this shortage include an aging workforce, increased demand for healthcare services, and insufficient numbers of new nursing graduates to replace retiring nurses. An internal resource pool can alleviate pressure caused by this shortage by ensuring that there are qualified professionals available in reserve to meet patient needs. This proactive approach can help healthcare systems remain resilient in the face of staffing challenges.

Enabling Flexible Work Options

Flexibility in work schedules is becoming increasingly important for healthcare professionals seeking a better work-life balance. An internal resource pool can facilitate this by offering a variety of work arrangements, such as partial shift coverage, just in time per diem, and temporary shirt term assignments. This flexibility can attract a diverse group of professionals, including those who may not be able to commit to traditional full-time roles due to personal commitments or preferences. By accommodating these needs, healthcare systems can broaden their talent pool and enhance employee satisfaction and retention.

Strategic Benefits of an Internal Resource Pool

  1. Enhanced Workforce Stability: An internal resource pool provides a buffer against fluctuations in staffing needs, ensuring that patient care is not compromised during periods of high demand or unexpected absences.
  2. Cost Efficiency: While building and maintaining an internal resource pool requires an initial investment, it can be more cost-effective than relying on external agencies or dealing with the costs associated with understaffing and burnout.
  3. Improved Quality of Care: Consistent staffing levels lead to better patient outcomes. An internal resource pool ensures that healthcare facilities are set up to maintain exacting quality of care even during challenging times.
  4. Strengthened Organizational Resilience: The ability to respond quickly and effectively to staffing challenges enhances the overall resilience of the healthcare system, making it better equipped to manage crises and emergencies.
  5. Attractive Employer Branding: Offering flexible work options and demonstrating a commitment to workforce stability can enhance an organization’s reputation as an employer of choice, attracting top talent and reducing turnover rates.

Implementing an Effective Internal Contingent Workforce strategy.

To successfully build and optimize an internal resource pool, healthcare systems should consider the following steps. HWL offers an array of solutions to support the healthcare leadership team on their journey:

  1. Assess Current and Future Needs: Conduct a thorough analysis of staffing patterns, seasonal trends, and potential future challenges to determine the optimal size and composition of the resource pool.
  2. Recruit and Train: Develop a recruitment strategy that targets diverse talent, including experienced professionals, recent graduates, and those seeking flexible work arrangements. Invest in training programs to ensure that pool members are well-prepared to step into various roles as needed.
  3. Leverage Technology: Utilize advanced scheduling and workforce management software to efficiently match resource pool members with available shifts and assignments. This technology can also help track performance and identify areas for improvement.
  4. Foster a Positive Work Environment: Create a supportive and inclusive environment for resource pool members, ensuring that they feel valued and integrated into the organization. Regular feedback and opportunities for professional development can enhance their engagement and commitment.
  5. Monitor and Adjust: Continuously evaluate the effectiveness of the resource pool, adjusting as needed to align with changing demands and organizational goals. Regularly soliciting input from both resource pool members and permanent staff can provide valuable insights for improvement.

Investing in an internal resource pool is a strategic move that can significantly enhance the resilience and adaptability of healthcare systems. By addressing seasonal and unexpected staffing challenges, reducing post-to-fill times, and providing flexible work options, healthcare organizations can ensure consistent, high-quality patient care while mitigating the impact of the nursing shortage. This initiative-taking approach not only strengthens workforce stability but also positions healthcare systems to better navigate the complexities of the modern healthcare landscape.


At HWL, we understand the complexities and challenges that healthcare organizations face in maintaining a resilient and adaptable workforce. Our comprehensive suite of workforce solutions is designed to address these challenges head-on. Whether you’re looking to build and optimize an internal resource pool like a Local Insourced Flex Team (LIFT) or seeking advanced technology to streamline your staffing processes, HWL offers tailored strategies that align with your organization’s unique needs. By partnering with HWL, you gain access to industry-leading expertise and innovative tools that empower your team to navigate the unpredictable healthcare landscape with confidence. Let us help you ensure your workforce is always prepared, so you can focus on what matters most—delivering exceptional patient care.

 

References

Becker's Hospital Review. (2023). How hospitals can manage seasonal patient volume increases. Retrieved from Becker's Hospital Review.

Health Affairs. (2023). Seasonal Variations in Health Care Demand: A Case Study. Retrieved from Health Affairs.

American Journal of Nursing. (2022). Managing Unplanned Absences in Healthcare. Retrieved from AJN.

Modern Healthcare. (2023). Strategies to Reduce Post-to-Fill Times in Healthcare Staffing. Retrieved from Modern Healthcare.

National Academy of Medicine. (2022). The Future of Nursing 2020-2030. Retrieved from National Academy of Medicine.

Journal of Nursing Management. (2023). Flexible Work Options in Healthcare: Benefits and Challenges. Retrieved from JNM.

Healthcare Financial Management Association. (2023). Cost-Benefit Analysis of Internal Resource Pools. Retrieved from HFMA.

The Joint Commission. (2022). The Link Between Staffing Levels and Quality of Care. Retrieved from The Joint Commission.

Journal of Healthcare Management. (2023). Building Resilience in Healthcare Systems. Retrieved from JHM.

Forbes. (2023). Employer Branding in Healthcare: The Importance of Workforce Stability. Retrieved from Forbes.

Healthcare HR. (2022). Conducting a Staffing Needs Assessment in Healthcare. Retrieved from Healthcare HR.

Nursing Economics. (2023). Effective Recruitment Strategies for Internal Resource Pools. Retrieved from Nursing Economics.

Health IT News. (2023). Utilizing Technology for Workforce Management in Healthcare. Retrieved from Health IT News.

American Hospital Association. (2023). Creating a Positive Work Environment for Healthcare Professionals. Retrieved from AHA.

Journal of Organizational Behavior. (2022). Continuous Improvement in Healthcare Staffing Practices. Retrieved from JOB.

August 16, 2024/By Amanda Wheeler, RN, BSN, MBA
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Author: Amanda Wheeler, RN, BSN, MBA

Amanda brings a wealth of experience in hospital workforce management, having played a key role in developing and implementing an Internal Resource Pool for WellStar Health System and Emory Healthcare. In addition, she has been a crucial stakeholder in managing contingent labor/MSP programs, standardizing and centralizing VMS, MSP, and internal staffing & scheduling solutions, and working closely with HR and Nursing leaders. Amanda is a member of several nursing associations, including Nursing & Healthcare Associations, and is Six Sigma Yellow Belt certified.
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