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Staffing. The five-level pyramid

S Hollabaugh¹, S Kendrick

¹Critical Care Division and the Emergency Department, Good Samaritan Regional Medical Center, Phoenix, Arizona, USA.

Nursing Management

|March 13, 1998

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Redesigning nurse staffing systems can significantly cut hospital expenses. A 571-bed hospital saved $7.5 million annually in premium nursing labor costs without reducing patient care hours.

Area of Science:

Healthcare Management
Nursing Administration
Hospital Operations

Background:

Hospital staffing practices are a major driver of operational expenses.
Effective expense control is crucial for financial sustainability in healthcare.
Optimizing nurse staffing can impact both cost-efficiency and quality of care.

Purpose of the Study:

To evaluate the financial impact of a redesigned nurse staffing system.
To determine if cost savings could be achieved without compromising nursing care levels.
To identify strategies for replicating cost-saving measures in other healthcare settings.

Main Methods:

Implementation of a redesigned nurse staffing system at a 571-bed hospital.
Analysis of annual premium nursing labor expenses before and after the redesign.

Related Experiment Videos

Comparison of nursing hours per patient day to assess care levels.

Main Results:

The redesigned nurse staffing system resulted in annual savings of $7.5 million in premium nursing labor expenses.
There was no decrease in the nursing hours per patient day following the system redesign.
The study demonstrates the potential for significant cost reduction through strategic staffing adjustments.

Conclusions:

A well-designed nurse staffing system can lead to substantial hospital cost savings.
It is possible to reduce labor expenses without negatively impacting patient care standards.
The findings offer a scalable model for other healthcare organizations seeking to improve financial performance.