Agency Staffing and Hospital Financial Performance: Insights and Implications.

IF 3.4 Q1 HEALTH POLICY & SERVICES Journal of Healthcare Leadership Pub Date : 2024-10-04 eCollection Date: 2024-01-01 DOI:10.2147/JHL.S470175
Rohit Pradhan, Bradley Beauvais, Zo Ramamonjiarivelo, Diane Dolezel, Dan Wood, Ramalingam Shanmugam
{"title":"Agency Staffing and Hospital Financial Performance: Insights and Implications.","authors":"Rohit Pradhan, Bradley Beauvais, Zo Ramamonjiarivelo, Diane Dolezel, Dan Wood, Ramalingam Shanmugam","doi":"10.2147/JHL.S470175","DOIUrl":null,"url":null,"abstract":"<p><strong>Introduction: </strong>Staffing is critical to hospital performance. However, in recent years, hospitals have struggled with severe staffing shortages, forcing them to rely on expensive agency staff to meet urgent patient care needs. This substitution of agency staff for permanent employees has raised concerns over its potential impact on financial stability. This study investigated the association of agency labor with hospital financial performance.</p><p><strong>Methods: </strong>Utilizing tenets from agency theory and transaction cost theory, data for the calendar year 2022 for active short-term acute care hospitals (n=2771) in the United States were analyzed using multivariable linear regression analysis. Hospital financial performance was assessed using three variables: net patient revenue, operating revenue per bed, and operating expense per bed. The independent variable was agency labor cost, representing the total expenditure on agency labor. Additionally, organizational and market-level control variables that may independently affect hospital financial performance were included.</p><p><strong>Results: </strong>Our regression findings indicated that agency labor cost was significantly associated with all three dependent variables: net patient revenue (β = 0.224, p < 0.001), operating revenue per bed (β = 0.042, p < 0.001), and operating expense per bed (β = 0.032, p < 0.001).</p><p><strong>Discussion: </strong>The results indicated that increased agency labor was associated with higher revenues, but it also corresponded with increased expenses. Therefore, hospitals should strategically use agency staffing to meet immediate operational needs while remaining cognizant of its financial implications. The judicious use of agency labor can help hospitals balance the benefits of increased revenue against higher costs, while ensuring that they still meet immediate patient needs.</p>","PeriodicalId":44346,"journal":{"name":"Journal of Healthcare Leadership","volume":"16 ","pages":"365-374"},"PeriodicalIF":3.4000,"publicationDate":"2024-10-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.ncbi.nlm.nih.gov/pmc/articles/PMC11460345/pdf/","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Journal of Healthcare Leadership","FirstCategoryId":"1085","ListUrlMain":"https://doi.org/10.2147/JHL.S470175","RegionNum":0,"RegionCategory":null,"ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"2024/1/1 0:00:00","PubModel":"eCollection","JCR":"Q1","JCRName":"HEALTH POLICY & SERVICES","Score":null,"Total":0}
引用次数: 0

Abstract

Introduction: Staffing is critical to hospital performance. However, in recent years, hospitals have struggled with severe staffing shortages, forcing them to rely on expensive agency staff to meet urgent patient care needs. This substitution of agency staff for permanent employees has raised concerns over its potential impact on financial stability. This study investigated the association of agency labor with hospital financial performance.

Methods: Utilizing tenets from agency theory and transaction cost theory, data for the calendar year 2022 for active short-term acute care hospitals (n=2771) in the United States were analyzed using multivariable linear regression analysis. Hospital financial performance was assessed using three variables: net patient revenue, operating revenue per bed, and operating expense per bed. The independent variable was agency labor cost, representing the total expenditure on agency labor. Additionally, organizational and market-level control variables that may independently affect hospital financial performance were included.

Results: Our regression findings indicated that agency labor cost was significantly associated with all three dependent variables: net patient revenue (β = 0.224, p < 0.001), operating revenue per bed (β = 0.042, p < 0.001), and operating expense per bed (β = 0.032, p < 0.001).

Discussion: The results indicated that increased agency labor was associated with higher revenues, but it also corresponded with increased expenses. Therefore, hospitals should strategically use agency staffing to meet immediate operational needs while remaining cognizant of its financial implications. The judicious use of agency labor can help hospitals balance the benefits of increased revenue against higher costs, while ensuring that they still meet immediate patient needs.

查看原文
分享 分享
微信好友 朋友圈 QQ好友 复制链接
本刊更多论文
机构人员编制与医院财务绩效:启示与影响》。
介绍:人员配置对医院绩效至关重要。然而,近年来,医院一直在与严重的人员短缺作斗争,被迫依靠昂贵的中介员工来满足病人的紧急护理需求。这种以中介公司员工代替正式员工的做法引发了人们对其对财务稳定性的潜在影响的担忧。本研究调查了中介用工与医院财务绩效之间的关系:利用代理理论和交易成本理论的原理,采用多变量线性回归分析法对美国活跃的短期急症护理医院(n=2771)2022 年的日历年数据进行了分析。医院的财务绩效使用三个变量进行评估:患者净收入、每张病床的营业收入和每张病床的营业费用。自变量是机构劳动力成本,代表机构劳动力的总支出。此外,还包括可能独立影响医院财务绩效的组织和市场层面的控制变量:我们的回归结果表明,代理人工成本与以下三个因变量均有显著相关性:患者净收入(β = 0.224,p < 0.001)、每床营业收入(β = 0.042,p < 0.001)和每床营业费用(β = 0.032,p < 0.001):讨论:研究结果表明,机构劳动力的增加与收入的增加有关,但同时也伴随着费用的增加。因此,医院应战略性地使用中介机构的员工来满足当前的运营需求,同时也要认识到其财务影响。明智地使用中介机构的劳动力可以帮助医院在增加收入与增加成本之间取得平衡,同时确保医院仍能满足患者的即时需求。
本文章由计算机程序翻译,如有差异,请以英文原文为准。
求助全文
约1分钟内获得全文 去求助
来源期刊
Journal of Healthcare Leadership
Journal of Healthcare Leadership HEALTH POLICY & SERVICES-
CiteScore
5.40
自引率
2.30%
发文量
27
审稿时长
16 weeks
期刊介绍: Efficient and successful modern healthcare depends on a growing group of professionals working together as an interdisciplinary team. However, many forces shape the delivery of healthcare; changes are being driven by the markets, transformations in concepts of health and wellbeing, technology and research and discovery. Dynamic leadership will guide these necessary transformations. The Journal of Healthcare Leadership is an international, peer-reviewed, open access journal focusing on leadership for the healthcare professions. The publication strives to amalgamate current and future healthcare professionals and managers by providing key insights into leadership progress and challenges to improve patient care. The journal aspires to inform key decision makers and those professionals with ambitions of leadership and management; it seeks to connect professionals who are engaged in similar endeavours and to provide wisdom from those working in other industries. Senior and trainee doctors, nurses and allied healthcare professionals, medical students, healthcare managers and allied leaders are invited to contribute to this publication
期刊最新文献
Value Co-Creation in Telemedicine: A Qualitative Study of Pediatricians' Expectations Regarding Telehomecare Implementation in an Italian Pediatric Hospital. Professionalism and Self-Evaluation: Diverging Perspectives Among Physicians and Nurses. Organizational Factors Driving the Realization of Digital Health Transformation Benefits from Health Service Managers: A Qualitative Study. Barriers to Recruitment and Retention Among Underrepresented Populations in Cancer Clinical Trials: A Qualitative Study of the Perspectives of Clinical Trial Research Coordinating Staff at a Cancer Center. Empowering Leadership: A Journey of Growth and Insight Through a Mentoring Program for Nurses in Leadership Positions.
×
引用
GB/T 7714-2015
复制
MLA
复制
APA
复制
导出至
BibTeX EndNote RefMan NoteFirst NoteExpress
×
×
提示
您的信息不完整,为了账户安全,请先补充。
现在去补充
×
提示
您因"违规操作"
具体请查看互助需知
我知道了
×
提示
现在去查看 取消
×
提示
确定
0
微信
客服QQ
Book学术公众号 扫码关注我们
反馈
×
意见反馈
请填写您的意见或建议
请填写您的手机或邮箱
已复制链接
已复制链接
快去分享给好友吧!
我知道了
×
扫码分享
扫码分享
Book学术官方微信
Book学术文献互助
Book学术文献互助群
群 号:481959085
Book学术
文献互助 智能选刊 最新文献 互助须知 联系我们:info@booksci.cn
Book学术提供免费学术资源搜索服务,方便国内外学者检索中英文文献。致力于提供最便捷和优质的服务体验。
Copyright © 2023 Book学术 All rights reserved.
ghs 京公网安备 11010802042870号 京ICP备2023020795号-1