The Cost Benefit of Interim Home Care Management
Over the years, we have provided numerous interim home care managers for home care executive level positions. On a few occasions we have been told that the cost of using a senior home care executive is more than they can afford. This has always intrigued me, because when a cost of service comparison is conducted, we frequently find that by the time all the benefits and overhead burden are calculated, the interim home care executive costs about the same and in a couple of situations less than what their actual cost of a permanent replacement.
What we have found is that some home care organizations only look at the monthly salary of the previous executive and measure against that number alone. If the employee burden of an organization is 20% or more, the cost of using an interim home care manager is about the same, or depending on the salary of the previous executive, a little less. There always needs to be a comparison of apples to apples when calculating the cost of an interim home care manager for a senior level position.
Cost, however, is only one area that a home care organization needs to think about in using an interim home care manager. The benefits prove to be so beneficial that, in retrospect, a vacated executive position gives an organization the opportunity to really look at themselves, their weakness and strengths, and develop a meaningful and effective strategic plan to carry the agency forward.
When you fill an interim home care manager position, it requires that an organizational assessment be accomplished in order to make sure that the interim management services are meeting the needs of the home care agency. An initial organization assessment also ensures that the interim home care executive has focused on the issues and goals that need attention.
It’s not uncommon for an organizational assessment to uncover issues and problems that were not apparent to the higher level managers of the home care agency. Sometimes we find that the staff filling certain positions are either not competent for the position or their personality and style are disruptive to the team. This makes it difficult to build a cohesive and effective management or staff team. In other situations, we have found that the home care organization has a very dedicated and competent staff, but the systems of the organization have not kept pace with changes in the environment and the implementation of required processes or software.
In these cases, time-consuming “work arounds” have been developed by the staff to accomplish what they know needs to be done. These situations are costly to a home care agency and frequently remain unidentified because the work is getting done.
An objective outside consulting firm, with interim mangers conducting the organizational assessment, provides you the invaluable benefit of identifying these types of issues, along with recommended solutions . You will then have some direction on how these can be resolved to the benefit of the agency.
Finally, the benefit of using an interim home care manager is that your agency does not lose momentum on previous projects and initiatives. It allows your agency to continue to function effectively and maintain your progress toward organizational goals and objectives. It also gives stability to the organization in a time of stress and flux. Using a seasoned interim home care executive assists the staff to move forward with confidence and know that they will be okay.
The biggest mistake that an organization makes is to allow a key position such as the Director, Administrator, or CEO to go unfilled for 4 to 6 months. Referrals drop, collections fall off and this distresses the business. Without a leader at the helm, critical things fall by the wayside. There is no one at the top with the view of the “world” of the agency. An agency without a leader is an agency afloat on the sea with no one at the rudder.
If you are in a position with an executive level position open and need help during this time of change, call or e-mail Ginny Kenyon at 206-721-5091 or gkenyon@kenyonhcc.com. We are here to help.
Category: Finances, Interim Management, Transition