Managed Services Provider (MSP) Defined:
Single source solution where contract labor management processes are automated and best practices are deployed to provide greater efficiency, compliance, and resource optimization that delivers cost savings.
Introduction to Vendor Management
For years, healthcare providers have been discovering innovative ways to stabilize their organization’s control on variable costs; the largest variable cost representing their employees. In today’s economy, contract labor usage is at an all-time high. To stay competitive, organization have been relying more and more on contingent workers and external staffing vendors to fill short-term needs.
Tracking cost control is an area where most organizations struggle. When there is an increase in external staffing vendors filling needs, it can get even more chaotic. It is a constant struggle to maintain control of supplemental staffing when there are open needs, while still prioritizing the highest level of patient care and child development. An increasing amount of hospitals and school districts have sought out the use of Vendor Management (VMS) as a solution to subsidize these needs.
A VMS is an option to handle the difficulties that come along with working between multiple staffing agencies. Most organizations do not have the capabilities to fully measure and monitor their staffing expenditures. This option allows organizations not only to have the visibility of their expenses but also provides side by side comparisons of agency rates and candidates. A VMS solution provides a single platform to increase an organizations staffing capabilities.
Types of Vendor Management Solutions
Vendor Management has gradually become a staple for many large organizations. It is a cost efficient alternative to manage all the difficulties that come with contingent labor and dealing with multiple staffing agencies at once. What organizations struggle with is identifying the right solution for their staffing needs. The most common types of solutions in the market right now include a vendor management system (VMS), a vendor-on-premise (VOP), and a managed services provider (MSP).
Healthcare specific vendor management systems, or VMS(s) are software systems that centralize the staffing process. It provides the technology that is necessary for organizations to track and manage organization agency use and spend. All contingent labor needs that come from the organization are broadcasted to the preapproved vetted agencies instantaneously and candidates can be submitted directly through the system.
A vendor-on-premise, or VOP is a single preferred staffing agency that supplies an on-site staffing manager at the organizations facility. The staffing manager takes responsibility of managing the supplemental staff from onboarding to tracking time cards. Typically, to organize and coordinate candidates, they will run staffing through a VMS technology system.
A managed service provider, or MSP, is the optimal solution for organizations to take control and streamline all its staffing processes. It is a full service and customizable solution that manages all contingent labor. An outsourced agency typically works through VMS software to provide a steady, organized platform. To remain a top tier healthcare provider, organizations need to focus on high quality care while still meeting budgets every year. This solution helps provide that support and additionally has been shown to reduce overhead administrative cost and time spent screening candidates.
The Managed Service Provider Engine, What drives a MSP?
There is no question that the demand for clinicians have well exceeded the amount of clinicians available to serve. Staffing has become more complex and dealing with multiple agencies can be very time consuming. Organizations need visibility into their staffing expenditures in order to stay afloat, while still providing high quality service. Organizations look towards creative and effective ways to control hiring, eliminating and reconstructing staff in specific departments to stay with demand trends.
A MSP is a simple solution that has revolutionized the way organizations do staffing. It is a customizable solution that allows them to gain control and visibility of their contingent labor. Healthcare specific MSPs specialize in the management of vendors and the procurement process for all supplemental staffing solutions. A MSP simplifies staffing by providing professional account managers to complete the implementation process of the system, provide extensive training on the VMS software to all parties involves, and offer constant support to fill all open requisitions.
What Drives a MSP?
1. Increased Visibility and Fill Ratio
A MSP typically provides a VMS software to centralize all job orders. This allows for all jobs to be distributed to multiple vendors with one single click. With an increased amount of visibility, there is more agencies that are able to submit candidates to the open job orders. This centralized system and dedicated MSP account managers help streamline the staffing process by reducing phone solicitation and the negotiation processes.
2. Guaranteed Compliance and Credentialing Support
Most, if not all MSP solutions offer credentialing management. The management can range from confirming that submitted candidates have the most minimum certifications to alerting when credentials are expiring. Some solutions are able to customize to have any credential or compliance forms present and signed before agencies can even submit candidates.
3. Consolidated Invoicing
An important feature that most MSP solutions offer is consolidated billing. With a MSP, one invoice is sent out to show any and all expenses an organization has used for contract staffing through the system. This means no more shuffling with hand written payroll and timecards. There is the option to sort through invoices by department, facility, agency, and date range. Every dollar that is spent by the organization is tracked and easily accessible. This allows the organization to reduce administrative burden of internal staff and pay a single invoice rather than multiple.
4. Electronic Profiles, Rating and Reporting
A MSP provides a full range of visibility into all staffing operations. From the procurement process to billing, a MSP allows organizations to track staffing trends and view all credentials, candidate’s history and budget spend. MSPs are even capable of detecting which agencies are submitting candidates and which aren’t, while also tracking the length of time it takes to fill positions.
Benefits of Adopting a MSP Solution
1. Save Time and Eliminate Excess Administrative Burden
Using a MSP transitions an organization’s contingent labor procurement process to be outsourced and centralized. A MSP partnership reduces direct cost and burdens of managing a VMS software themselves. This allows for employees within the organization to concentrate on more important areas of work and tasks.
2. Cost Savings and Expenditure Tracking
With a MSP solution fully implemented, there is an increased amount of control over vendor support and the procurement process. Most market leading MSP systems are vendor-funded, indicating that is it at no annual cost to the client to receive full-service benefits. MSP providers deduct an administrative fee from every vendor transaction, resulting in a vendor-funded system.
3. Increased Fill Ratio and Quality Care
Dedicated account managers work diligently to fill all requisitions that run through the system. Adopting a MSP solution is an increasingly public way to resolve most challenges that come with managing multiple vendors. The MSP manages all vendor communication to ensure that the client’s needs are being enforced. Through a MSP, the vendor pool continues to be adjusted to ensure organization spend goals are being met. MSP solutions have the capability to provide vendor performance tracking. This allows for organizations to only receive candidate from the highest quality vendors. Vendors that are not meeting all of the client’s needs can be put on a probationary period or be removed completely from the vendor pool.
4. Track Organizations Spend and Plan for the Years to Come
Full-service MSP solutions give the ability to create reports weekly, monthly, or yearly through the VMS software. Organizations are able to generalize their staffing process and cut out what is not working. Increasing visibility into their current contract staffing usage allows for organizations to make more effective and efficient organizations spend decisions. A MSP will provide side by side comparisons of submissions, candidate ratings, cost savings, and agency performance.
What to look for in a MSP solution
There are a number of different companies offering MSP solutions for healthcare organizations, each highlighting different features. Some MSP solutions tend to many other industry providers outside of healthcare, while others tailor their solution to solely provide services for healthcare specific organizations. Additionally, each MSP solution manage with different VMS software and have different tactics of training and managing that software to be customizable. Typically, the most optimal MSP solution would be a company that provides a healthcare specific MSP. These companies will offer the most support and reliable customer service.
Depending on what current staffing challenges are most prevalent within an organization, a MSP should be fully capable of customizing its interface to supporting those needs.
Measurable Benefits that Come From CSU Managed Service Provider
Large organizations struggle with unsystematic and inefficient staffing process. This causes low fill-rates, failure to manage and track company spend, misplacement of credentials and multiple invoices to pay. CareerStaff Unlimited Managed Services Provider solution shows measurable benefits to solve these issues. They work diligently to provide a seamless implementation process. The solution will manage the staffing process to help increase visibility, fill rates, staffing efficiency and stability. All requisitions are dispersed to 300+ agencies resulting to an increase in fill rates at competitive rates. This results in an increase in the number of patients that are able to be treated by qualified clinicians. Through quality care and customer service, there is a large increase in patient and client referrals.
Through the measurable values below, CSU Managed Services offers a simple and easy way to effectively manage all staffing processes.
Next Steps in Choosing a MSP
To discover how you can simplify staffing by adopting CSU Managed Service Provider solution, please visit www.CareerStaffMSP.com, or call 844-778-1374 to reach a CareerStaff representative to set up a brief webinar demo on the solution.
Once the system is implemented, the rest is simple.
Post Job —> Accept Candidate —> Relax —> Repeat
Take control of your organizations staffing today and assure your patients are getting the quality care they need.