Healthcare has always been a hotspot of all time whenever it comes to innovation and the economy. Healthcare is always at the top. 

Recalling these, healthcare has crossed the prediction till 2024 for the market size, which was expected to reach a staggering US$4.3 trillion by 2024 from US$3.5 trillion in 2019, as per the report. 

Furthermore, the healthcare staffing segment contributes a significant amount to the healthcare market. Along with telehealth and telemedicine, healthcare staffing is also creating a huge number of employment and opportunities in the economy. 

However, the current geopolitical challenges and other global economic crises are slowing down the growth of the healthcare sector directly or indirectly. 

As a result, many positive signs such as the AI revolution and technological advancement are leading the healthcare staffing segment with significant growth. 

In these articles, we are going to talk about both aspects of the current challenges, trends, and revolutions taking place around the healthcare sector. And what are the business lessons that you need to understand as an entrepreneur that can help you to stay top in the game.  

So let’s get started… 

The Current Landscape: Challenges and Opportunities in Healthcare Staffing.

Currently, healthcare staffing firms are on the edge of either creating or destroying themself. Because, after the pandemic the landscape for healthcare staffing has totally changed. The demand for skilled professionals is high and supply is very low. 

And so it has significant impacts on the rise of healthcare costs. Because of the increase in demand with less supply, the price for skilled professionals is at a peak and so healthcare facilities need to increase their charges for the patients as well. 

Now let’s understand the opportunities and challenges of healthcare staffing. 

Growing demand: 

Growing demand is yet another factor in terms of opportunity for new players to enter into the market and penetrate the healthcare staffing segment. However, for the existing players, the growing demand is yet another challenge to meet the supply they need to either expand themself repeatedly or lose the number. 

Specific Specialty and certification base focus:  

Many new start-ups are coming-up with new ideas and penetrating the specific niche in the healthcare staffing. For instance, many companies are only focusing on CNA. This is one of the good strategies to enter into the healthcare staffing market and gradually expand the business. 

No proper technological utilization:

Even today, many healthcare staffing are operating on paper and telephones. They have not upgraded themselves to modern technology. In addition, many companies are using old software and platforms that do not fulfill their custom needs of business. As a result, utilizing new edge technology such AI will help the healthcare facilities and staffing solutions providers scale-up their business. 

Shortage of skilled professionals: 

After the pandemic, the shortage of skilled healthcare professionals is at a peak. As per the report of the AHA, By 2033, they project a shortage of up to 124,000 doctors, but they also point out the urgent need for nurses, mental health specialists, and other medical personnel.

However, healthcare staffing firms are facing a huge problem with increasing talent expectation, raising client demands and evolving technological solutions for healthcare staffing. 

Why 2024 is a Pivotal Year for the healthcare Industry.

One of the foremost reasons, the year 2024 is pivotal for the healthcare industry is also due to elections. Because major elections across different countries around the globe are taking place in the same year. 

For instance, in 2024 there is going to be an election in India and America, the largest democracy in the world. And with the change of government like events there is a possibility in the changing policy in the healthcare industry as well. 

However, many states in the US are now adopting “Nurse licensure compact” which allows nurses and temps to work across different states with a single license. 

As a result, change in government policy plays a vital role in any industry either creating new opportunities or challenges. So as an entrepreneur it’s important to keep an eye on government policies. 

Major Trends Shaping the Future of healthcare industry: 

During the last year, major trends have been recorded to be yet another opportunity for healthcare staffing business. Let’s understand various trends in healthcare staffing that can help you to find gaps in the market and as an entrepreneur how you can leverage these opportunities for your business. 

Rise of Flexible Staffing Models:

New start-ups are researching and finding gaps into the market, and here is what they found… 

#1.  Increased demand for travel nurses and temporary staff:

The increase in demand for temps is a good opportunity for the healthcare staffing companies who are operating in the same segments. Currently, hospitals are not able to afford permanent nurses and clinical staffing members due to the rise in cost of skilled professionals. 

But when it comes to temps the cost is less than the permanent. And it also provides the flexibility to healthcare facilities to order temps when it is required, that gives them a benefit for saving the extra cost for medical professionals and as a result, it reduces the cost for the patient’s treatment. 

Additionally, the travel assignments are also increasing because of the single license policy of the government, that allows temp to work across different states with one license. 

#2.  Shift towards gig economy model in healthcare:

Major healthcare facilities are transforming towards the gig economy model which prompts the concept of hiring temps and contract based workers. Because currently the healthcare costs are at pick and in these circumstances hiring for temps and contract based healthcare professionals is cost effective for healthcare facilities. 

Moreover, it gives flexibility for healthcare professionals to work on their choice pay rates with the facility they want. Temps can work on different shifts with different pay rates. 

Technological Revolution in Healthcare Staffing:

After finding gaps, utilizing the technology can be a next level of move for your business growth. After the ChatGPT revolutions, people have found the true potential of AI across various sectors including healthcare. AI is proven to be a solutions maker for healthcare staffing leaders. 

Let’s understand how one can utilize AI to solve healthcare staffing problems. 

#1.  AI-powered recruitment and candidate matching:

Every facility has different needs and requirements and every temp has different choices too. Earlier, there used to be manual work in terms of finding temps, allocating to facilities. But that was not enough for scaling-up a business. 

As a result, building healthcare staffing app solutions with the AI candidate matching ability helps the healthcare staffing platforms to manage the demand and supply of temps according to the requirements. 

For instance, AI algorithms learn the preference of temps like what shifts do they prefer? What facility do they like? What pay rate do they expect? What location do they want to work? Based on these AIs suggest suitable shifts to temps. 

On the other hand, AI also learns the preference for the facilities like what are the credentials required? What skills will be required? and so on based on these AI will find suitable candidate for the facilities as well. 

#2. Automation of administrative tasks and workflows:

By reducing manual work for finding temps, allocating to facilities, billing for the temps, managing the paperwork of temps, verifying credentials of temps and so on is an overwhelming process for administrative staff. 

As a result, AI is automating the administrative tasks and workflows for healthcare staffing companies. Which also results in the cost-saving for them by reducing administrative expenses. 

Winding-up

Healthcare staffing is going to increase its contribution into the healthcare sector with expected growth between US$26.97 billion and US$41.17 billion by the end of 2024 as per the report of Grandviewresearch. 

However, building technological solutions with AI ability is yet another business opportunity for new start-ups to penetrate the healthcare staffing market.