How to Optimize Labor Management in Your Organization July 12, 2013

Transcription

How to Optimize Labor Management in Your Organization July 12, 2013
How to Optimize Labor Management
in Your Organization
July 12, 2013
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Healthcare market trends
Consolidation
• Named as biggest healthcare market trend (CEO of Cleveland Clinic)
• 60% of AHA member hospitals are now part of a multiple-hospital system
Focus on Savings
• Healthcare organizations moving from ‘revenue’ mindset to ‘cost’
mindset due to downward pressure on reimbursements
• Need to do better with less = more efficient
HELM Methodology
TM
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Healthcare Enterprise Labor Management
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Logan Pigg – MSHA
• 13 hospitals, serving 29 counties in Tennessee, Virginia,
Kentucky and North Carolina
• Tennessee’s first Magnet® facility - Johnson City Medical
Center 2005, 2009
• 2012 Most Wired Health System
• National Quality Forum’s National Quality Healthcare Award
winner – August 2012
• 1 Union-workforce facility, Norton Community Hospital
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A Case Study
Opportunity:
• National Nursing Shortage; resource mix not appropriate
• Reactive and expensive incentive program
• Silo-approach to managing labor
• Lack of organization communication and resource sharing
• Inability to coordinate resources system-wide
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A Case Study
Opportunity, cont’d.:
• Communications breakdown between Nursing and Finance
• Lack of transparency relative to staffing and productivity
metrics and data
• Productivity and financial data was not timely
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3 Strategies to Better
Manage Labor
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Optimize labor resources, including internal
contingency staff, to align with staffing plans
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Right-Sized & Layered Float Resources
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Contract Labor FTE Comparison
FY2012
# FTEs
FY2011
FY2010
FY09
140
120
100
80
60
40
20
0
1
2
3
4
5
6
7
8
9
10
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Pay Period #
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Contingency Labor Cost Trends
Sept 08 – Jul 10
Holding the Gains
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Premium Pay Cost Trends
FY08-FY12 YTD
Open Shift & Bonus
Average Hourly Rates by Skill
FYTD Jan 2012
$10.07
$9.60
$9.20
$7.13
$7.37
$6.07
$4.78 $4.90
$4.77
$4.23
$3.50
$3.31
$2.32 $2.29
RN
LPN
Facility 1
Facility 2
Facility 3
$2.03
$2.31 $2.50
UL
Facility 4
Facility 5
Facility 6
Facility Comparison by Skill Level
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Open Shift Management Tool
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2
Centralized Staffing enables a
coordinated response to needs across
the system
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Sample Enterprise Staffing Analysis
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Sample Enterprise Staffing Analysis
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System-Wide Deployment
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3
Continuously Measure Outcomes
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A Case Study
MSHA implemented:
• Business Intelligence Tools
• Schedule, Financial, and Variance Dashboards
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Sample Financial Dashboard
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Sample Financial Dashboard
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Sample Financial Dashboard
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Sample Variance Dashboard
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Sample Variance Dashboard
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Incidental Worked Time
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Outcomes
• $3.2M savings within first year
• $12M annual savings in contract labor costs
• Increased core staff / reduced reliance on contingency
• Reduced hourly incentives from $20 to $7
• Project expansion to ancillary departments, ED, rehab, and
physician clinics
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Outcomes
• Integrated 24/7 staffing office coordinating activities across
12 hospitals
• Nurse satisfaction scores improved
• Automated business rules at enterprise, hospital, and unit levels
to accommodate facility and department specific rules and
union requirements
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Outcomes
• Productivity and variance-related data is available on a daily
basis
• Actionable data allows nurse managers to adjust staffing on an
hourly, daily, and monthly basis
• Managers struggling with issues related to productivity can be
spotted and mentored
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Recap – 3 Strategies to Better Manage
Labor
1
Optimize labor resources, including internal contingency
staff, to align with staffing plans
2
Centralized Staffing enables a coordinated response to
needs across the system
3
Continuously Measure Outcomes
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Presenter Contact Information
Chris Fox
Logan Pigg
CFox@Avantas.com
402.717.7794
www.avantas.com
PiggLK@msha.com
423.302.3349
www.msha.com
CEO
Avantas
Corporate Dir. Of Finance
MSHA
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Upcoming Events
• Webinar: Topic TBA
– August 13
• Webinar:
Optimizing
Reimbursement –
September 10
• Webinar: Topic TBA
– October 8
• Webinar:
Navigating ACA
Eligibility –
November 12
tnhfma.org/calendar
tnhfma.org/webinars
• Cahaba Road Show
– September 2013
• Fall Institute –
October 23-25, 2013
• TSCPA Healthcare
Conference –
December 2-3, 2013
• Tri-State Institute –
January 22-24, 2014
• Dixie Institute –
February 25-28,
2014
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