Case Study

www.nielsenhealthcare.com.


Executive Staffing: Unique Fee System Keeps Costs Affordable, Predictable

By Karen Branz

When Kathleen Joyce, chief nursing officer at Pampa Regional Medical Center, needed to find an interim quality director quickly, she turned to the Nielsen Healthcare Group for eligible candidates. "I've worked with the Nielsen Healthcare Group on and off for about 10 years, and I know most of the people there," she said. "I know they won't tell me they can do something that they can't. I appreciate that." The staffing firm, which specializes in providing interim managers and executives to the health care industry, credentialed several candidates, including a registered nurse who matched the hospital's needs. Joyce hired him as her interim quality director. Using her discount through the Texas Hospital Association, she said she paid about half what she had paid other search firms.

"They have a unique fee system. We pay them a finder's fee when the candidate arrives on site and begins work. Then we don't pay anything else unless we hire the candidate full-time or the candidate stays more than six months. In that case, we pay them a second fee, and that's the end of it," said Joyce. Each of the two fees is usually equal to 8.33 percent of the person's annualized salary.

"We see our role as being a matchmaker," said Susan Silver, executive vice president of the Nielsen Healthcare Group. "We search our database and find the best candidates, and then we check to see if the candidates are interested in the position. We present the candidates to the client with references, confirmed degrees, verified licensure and more, and they choose whom they want to interview."

The unique fee system, she said, was designed to keep the fees predictable for the client. Unlike ongoing fee arrangements, the client knows that, no matter how long the candidate is there, the hospital will pay no more than 16.66 percent of the annualized salary. "The fees have remained the same since Bruce Nielsen started the business in 1991," she said.

The contract arrangement between the candidate and the hospital is negotiated directly between the two parties, not by the Nielsen Healthcare Group. Joyce appreciates this because it gives hospital executives a chance to see what the candidate's negotiation skills are like before committing to the arrangement.

"We only use an agency for director level and above, so the person should be able to negotiate effectively. If not, he or she may not have the managerial skills we need," said Joyce.

Christina Corley, executive director of support services at Lubbock Heart Hospital, used the Nielsen Healthcare Group in 2009 to help her hospital find an interim business services manager and an interim chief nursing officer. She said the THA endorsement of the company provided the backing she needed to confidently recommend the firm for the task. And, like Joyce, she appreciated the simple fee arrangement.

"The fee structure is one of the reasons we will work with Nielsen and not others," Corley said. "Also, they always seem to be able to take our needs and produce viable candidates."

The business services manager was able to do all the work they needed done. "He was very self-sufficient and stayed until we felt we didn't need him anymore. He did not leave any holes," she said.

The other position was an even better fit. "The chief nursing officer selection turned out so well that it turned into a permanent hire. She joined Lubbock Heart Hospital just a couple of months after coming in on an interim basis. She filled a void that made our team complete,"" Corley said. "I don't have a single complaint about our relationship with Nielsen. I would wholeheartedly recommend them."

For more information about the Nielsen Healthcare Group, contact Bruce Nielsen or Susan Silver at nhcg@primary.net or 800/581-8901 or go to www.nielsenhealthcare.com.
www.nielsenhealthcare.com.