From market volatility to rapidly increasing costs, CFOs face significant headwinds in 2024 as they look to create sustainable operations and resilient organizations. In healthcare, there are unique financial pressures that keep many CFOs up at night.
- Margin Compression—As the costs of goods and labor have increased significantly since the start of the COVID-19 pandemic, margins have shrunk. Many hospitals are losing money. Over the past year, average operating margins have gone back and forth from a low point of -1.2% to a high of 5.5%. This fluctuation creates challenges for CFOs looking to create sustainability and plan for the future.
- Consolidation—M&A activity, as well as hospital closures, has been well reported in the healthcare industry. Consolidation brings with it opportunities and challenges. With a larger footprint, many organizations are better able to scale to meet the needs of the communities they serve, while keeping costs under control. Smaller organizations are left struggling to keep up with the growing need for clinicians and rising costs.
To combat these challenges, healthcare CFOs are looking to control costs and find a measure of stability that has eluded financial leaders over the past few years. Workforce management is at the heart of these efforts. By better understanding and managing clinical staff, organizations can not only survive but thrive in a difficult landscape. This level of success takes a new approach.
That’s where Venn comes in.
Enhanced Reporting
Data is the cornerstone of effective workforce optimization. By investing in a higher level of reporting, CFOs gain insight into operational efficiency and can better plan for immediate and future needs. Technology plays an important role in reporting. Venn’s innovative workflows and custom-built technology enable comprehensive data collection that is pulled into a scorecard and KPI reporting, allowing for more advanced analysis and informed, agile decision making.
New Efficiencies
With a better understanding of where we are, we can create new efficiencies that will have a lasting impact on the organization. On the locum tenens and contact staffing side of the business, managing all external staffing initiatives through a single program means less time spent searching for talent. When integrated with an internal staffing strategy, these initiatives create a holistic program that drives access, value and sustainability. Additional efficiencies come from consolidated billing, where Venn combines multiple transactions into a single invoice, allowing for a streamlined process while still providing transparency and savings.
Cost Control & Sustainable ROI
With better data and new efficiencies, CFOs begin to realize cost savings. With Venn’s unified methodology and holistic market view, CFOs see a faster turnaround for open clinical positions, particularly in hard-to-fill specialty lines. Once contract clinicians are hired, Venn provides scheduling optimization services through innovative technology and workflows that help CFOs to maximize their resources, create flexibility and reduce vacancies. These cost savings are easily tracked through Venn’s technology platform, Kimedics, delivering rapid and sustainable ROI.
Managing the finances for a financial organization is a unique challenge. With a rapidly changing landscape and ever changing regulations, CFOs need a partner that can deliver efficiency and cost savings which will allow the organization to create sustainable pathways to deliver care. The right partner turns a CFO’s challenges into opportunities.
To learn more about how Venn can create a customized solution that aligns data-driven workflows with your operations, reach out to start a conversation.