Why Hiring More Nurses Could Boost Your Hospital's Bottom Line

By       Ron Benfield, President / CEO

Since rising labor costs are a key driver in dwindling hospital profit margins, it would seem counterintuitive for financial advisors to recommend hiring more nurses. Computing the economic value delivered by a nurse requires looking at some often overlooked but real costs. In this piece we published in Becker’s Hospital Review a few months ago with Debra Pollick RN at Volume Recruitment Services we do the math and add up the high cost of not having enough nurses or using too many agency/traveler staff.

Spoiler Alert: It can run an average-sized hospital millions per year to leave too many unfilled staff vacancies.

ABOUT MILLWOOD ASSOCIATES: We’re a healthcare consulting group that helps hospitals improve their financial margins to ensure sustainability of mission. All of Millwood’s solutions are designed to fix broken processes which erode hospital margins. For example, by helping hospitals get paid fairly for the services they provide, we can remove the pressure and damage of harmful cost cuts, typically adding 2 to 3 percentage points to their margin. Follow us on LinkedIn, or click here to find out how to get started with sustainable fixes for your margin challenges.