From our perspective, there’s one common thread between financial, operational, and clinical outcomes: LABOR.
Because labor is 60% or more of any healthcare organization’s budget and care givers have a direct impact on clinical outcomes, labor management projects deserve to be at the top of any healthcare executive’s priority list.
The success our clients have had is proof that a more proactive, logical approach to managing resources is culturally and financially transformational to a healthcare organization.
Regardless of what software you use to manage labor (we of course are quite partial to Smart Square), the basis of optimizing your workforce lies in the strategies and polices that your labor management practices are based on.
We say this a lot, but software is the tool that automates your policies and plans. Whether or not your staffing and productivity software is going to help your organization depends just as much on the quality (and follow through) of your policies and plans as the functionality of the software.
That being said, a software solution that can’t support your needs is a problem that results in less efficient practices and the need to create workarounds, informal policies, etc.
What goes into building a successful labor management plan?
- An experienced third party who can get the key people and departments together and on the same page.
- A clear understanding of where your organization is: “Current State.”
- Consensus of where your organization wants to be: “Desired Future State.”
- An understanding of the gaps between the policies on the books and actual practices taking place on the ground.
- The technical and financial prowess to turn your data into actionable analytics.
And perhaps most important,
- A willingness from your organization to enact the plans decided upon to get you to your Desired Future State.
A number of our client engagements begin with a skeptic or two across the table because of the issue touched on in that last bullet point. Often these people have been “burned” by consultants who, despite their best intentions, are not able to deliver the results they promised. Frankly, this is because some organizations at times are more willing to pay for change rather than implement the changes they paid for.
Change is one of the most difficult things for people to tackle, even if that change is positive.
Until your organization is ready to change, it will not be able to do so.
Reread the first bullet.
In addition to being able to get the right people together, the third party you work with should have a proven track record of building enthusiasm around their initiatives and getting organizations to want to change. Otherwise, all you are paying for is a fancy report and future skepticism.