For healthcare leaders, the post-pandemic crunch is the new normal. Margins are tight. Reimbursements aren’t keeping pace with expenses. Staffing challenges continue to grow.
The easy response is to cut costs wherever possible. But the real question is this: how do you lower costs without hurting patient outcomes, staff morale, or your hospital’s reputation?
The Whole Perspective
Hospitals can cut costs without cutting corners by rethinking how they work with MSPs.
- See the gaps: Traditional MSP models drive up costs and create risk.
- Make pricing transparent: Eliminate hidden fees and track every dollar.
- Expect accountability: Hold staffing partners responsible for performance.
- Optimize the workforce: Use scheduling insights and retention to reduce turnover.
- Measure ROI beyond cost: Focus on patient care, staff morale, and reputation.
Want to see how leading hospitals are already putting these steps into action? Keep reading.
One of the biggest opportunities lies in how hospitals work with Managed Service Providers (MSPs). The traditional MSP model was built for a different time. Today, it often creates more problems than it solves.
Forward-thinking health system leaders are taking a new approach. They’re focusing on transparency, accountability, and workforce optimization. Here are five steps to rethink MSP solutions with long-term success in mind.
1. See where the traditional MSP model falls short
The first step is admitting the old MSP model isn’t working anymore.
For years, hospitals were told MSPs would make staffing easier. In reality, they often add more headaches than they solve. Instead of giving clarity, they create confusion. Instead of saving money, they quietly drive up costs.
Talk to any hospital leader and you’ll hear the same complaints:
- Pricing feels like a black box. Nobody can see where the money’s really going.
- The tech is clunky. Instead of making things easier, it slows teams down.
- Staffing partners aren’t held accountable. Resumes are passed along, but results don’t get measured.
The result: Costs climb. Performance dips. Staff morale suffers. And patients feel the impact.
For leadership teams, this hits especially hard. You’re responsible for today’s numbers and tomorrow’s growth. When labor costs rise without transparency or a clear return, trust starts to erode, not just in the MSP, but in the entire staffing strategy.
And here’s the bigger issue: traditional MSP models were built for a different time. They weren’t designed for today’s labor shortages, financial pressures, or the demand for accountability. What worked ten years ago doesn’t work today.
That’s why healthcare executives are no longer asking, “Do we need an MSP?” They’re asking, “Do we have the right MSP model to protect our bottom line and our reputation?”
2. Eliminate hidden fees with transparent pricing
Many hospitals don’t realize how much they’re overspending. Traditional MSPs often bury fees inside markups. The bill arrives, but the breakdown is missing.
Transparency changes that. When pricing is straightforward, every dollar is visible. That reduces waste, builds trust with finance leaders, and gives executives the confidence to forecast accurately.
Transparent pricing isn’t only about saving money. It’s also about creating clarity and trust across the leadership team.
Why transparency matters:
- Predictable budgets = stronger credibility with boards.
- No surprises means fewer late-night calls from finance leaders.
- Clear pricing shows staff and the community that leadership is serious about accountability.
Ask yourself:
- Can I see exactly what my MSP fees are?
- Do I know how much each role truly costs us to fill?
- Could I explain our staffing spend to the board in two sentences?
See how Prolink supports your hospital's staffing strategy.
Let's walk through how transparent pricing, accountable staffing partners, and workforce optimization can lower costs and strengthen outcomes for your organization.
3. Expect accountability from staffing partners
Passing along resumes isn’t enough. Hospitals need staffing partners who are measured on results.
That means using clear scorecards to track fill rates, compliance, and quality. High performers should be prioritized. Low performers should be coached or replaced.
Accountability creates healthy competition and ensures reliable clinicians are always available.
For healthcare leaders, it’s more than shift coverage. It’s about building an operation that is trusted by patients, staff, and the community.
What accountability looks like in practice:
- Fill rates are reported regularly, not buried in quarterly summaries.
- Staffing partners are scored on performance, not just speed.
- Missed commitments are addressed immediately, not ignored.
4. Focus on workforce optimization, not just staffing levels
Cutting costs is easy. Optimizing the workforce is harder—and more valuable.
Optimization means:
- Using scheduling insights to avoid costly last-minute hires.
- Balancing staff levels to reduce both overstaffing and understaffing.
- Building retention programs that lower turnover and support morale.
When health systems connect workforce planning with financial strategy, they protect both the budget and the culture. A hospital known for supporting staff is better positioned to grow and thrive.
Practical ways to optimize:
- Balance staff levels. Avoid overstaffing that wastes dollars or understaffing that risks patient safety.
- Use scheduling insights. Reduce reliance on expensive last-minute hires.
- Invest in retention. Lower turnover means fewer costly contract workers.
Why it matters:
- Optimized workforces create long-term financial stability.
- Supporting staff improves morale and makes your hospital an employer of choice.
- Workforce optimization is not just a financial win. It is also a cultural one.
5. Measure return on investment beyond dollars
Cost savings are important. But smarter MSP solutions deliver more.
The true measure of ROI is whether the hospital is:
- Lowering staffing costs.
- Improving staff productivity and morale.
- Delivering safer patient care and stronger satisfaction scores.
As one executive shared: “For the first time, I felt like our staffing strategy was creating value instead of just draining resources.”
That kind of ROI builds confidence across boards, staff, and communities.
Key takeaways:
- ROI is not just about budget relief. It is about building trust with staff, confidence with your board, and credibility with the community.
- A staffing strategy that delivers only savings is incomplete. The best ones deliver savings, stability, and stronger outcomes.
The impact across the leadership table
While CEOs and COOs focus on efficiency and growth, other leaders benefit too:
- CNOs gain reliable staffing that protects patient outcomes.
- Nursing directors see stable, motivated teams.
- HR directors achieve faster, more cost-effective hiring.
Smarter MSP isn’t only about staffing. It’s about building alignment across leadership, with each team supported in the areas that matter most.
Case study: Why one regional system made the switch
One regional hospital system was struggling with rising labor costs. They wanted to save money and enhance their overall labor pool by leveraging technology—but more importantly, they needed a partner who understood where their opportunities were.
After switching to a Prolink MSP, the system:
- Is projected to save $5 million this year on contingent labor
- Streamlined 37 vendors into one MSP delivery system
- Fulfilled all staffing needs during high-demand periods
The financial impact was significant. The cultural impact—leadership alignment, staff stability, patient trust—was just as powerful.
Read the full case study here.
How Prolink supports healthcare leaders with smarter MSP solutions
Hospitals don’t have to start from scratch. Prolink has built an MSP model designed for today’s challenges and tomorrow’s growth.
Here’s how Prolink helps healthcare leaders cut costs without cutting corners:
- Reduced MSP fees: Prolink eliminates hidden markups with transparent pricing, giving leaders full visibility into spending.
- Reliable staffing partners: Prolink holds every partner accountable with clear scorecards, ensuring consistent fill rates and dependable clinicians.
- Workforce optimization: Prolink uses scheduling insights and retention strategies to stabilize staffing, reduce turnover, and lower costly last-minute hires.
Each of these strategies creates bottom-line savings and measurable ROI while supporting staff morale and improving patient outcomes.
That’s why hospital CEOs, CNOs, nursing directors, and HR leaders turn to Prolink. Because cutting costs without cutting corners isn’t just possible. With the right partner, it’s already happening.
Ready to cut costs without cutting corners?
Connect with Prolink today and learn how smarter MSP solutions help hospitals save money while supporting staff and protecting patient care.
