The healthcare industry is at a critical juncture, grappling with soaring costs, widespread physician burnout, and an ever-increasing patient load amid a shortage of primary care providers. Healthcare administrators and hiring managers are finding their solution in hiring APPs, including nurse practitioners (NPs) and physician assistants (PAs), in greater numbers. APPs are now an integral part of healthcare teams and a key piece of healthcare workforce strategies — and that’s not likely to change soon. Beyond immediate staffing answers, APPs enhance the financial health of organizations and the physical health of patients.
Financial Benefits of APPs: A Smarter Investment in Your Healthcare Team
Healthcare organizations are constantly wrestling with rising physician salaries and declining physician availability. Neither trend is slowing.
Why are physician salaries so high? Because they undergo extensive training and have deep expertise. But the reality is that many routine tasks assigned to physicians can be carried out by qualified APPs — at a much lower cost. APPs command a lower salary than physicians, often by a wide margin. According to the U.S. Bureau of Labor Statistics, the median physician salary in 2023 was $239,000; the median salaries for NPs ($126,260) and PAs ($130,020) were a little more than half that. That’s a substantial savings on salaries alone — especially when APPs are able to handle routine care and less complex medical cases.
The cost efficiency of APPs doesn’t stop there. Hiring APPs brings savings in benefits and recruitment costs. Physician recruitment can be time-consuming and expensive — and their shortage is expected to persist through 2030. APPs, meanwhile, can often be hired more quickly and with less hassle — partly because the APP talent pool is often larger.
APPs also contribute to overall cost reduction through efficient delivery of patient care. American Association of Nurse Practitioners studies show patients of NPs are less likely to require hospitalization or emergency department visits, which results in significant cost savings for healthcare systems. APPs can effectively manage a wide range of patient needs, including routine checkups, preventive care, and chronic disease management. This enables them to see more patients per shift, reducing the workload for physicians and generating higher revenue for the organization.
Quality of Care: APPs Maintain the Highest Standards
Beyond raw salary savings, APPs have proven to contribute to improved patient outcomes. Research shows little difference between the outcomes patients receive from APPs and physicians. A 2022 study published in the Journal of the American Association of Nurse Practitioners, for example, found similar outcomes for patients treated by NPs and physicians in primary care settings. In some cases, the NP care was found to be better.
Patients also are consistently happy with APPs, especially the increased time and personalized attention they provide during appointments. This focus on patient engagement is vital in fostering positive health outcomes, adhering to treatment plans, and reducing the need for future interventions. APPs also earn high marks for their thoroughness, approachability, and patient-centered care.
Taken altogether, the cost-effectiveness of APPs becomes quite clear. By providing high-quality care, APPs play a significant role in managing chronic conditions, preventing complications, reducing overall healthcare costs, and striking a balance between quality and affordability.
Operational Efficiency: Streamlining Workflow and Reducing Burnout
Integrating APPs into your healthcare team is about more than just managing patient care. APPs can improve operational efficiency, addressing some of the most pressing challenges in healthcare.
Physician burnout is a reality — a product of heavy workloads and long hours — with an alarming 62.8% reporting feeling burnt out in 2021. APPs can help alleviate some of the burden of care by handling routine and less complex cases, allowing physicians to focus on their core specialties and more critical and specialized care and procedures.
Reduced physician burnout results in a more engaged, more productive team overall, leading to better patient care. APPs, specifically, are happier and highly engaged, with 90% reporting they are very satisfied or somewhat satisfied with their jobs. Engaged, well-functioning teams with clear roles and responsibilities contribute to a more streamlined workflow, saving time and resources throughout the organization.
Thanks to their versatility, APPs also offer greater appointment availability. They can manage a larger patient volume, reducing wait times and improving patient access to care. More efficient care delivery translates to increased patient satisfaction and potentially improved reimbursement rates. This is reflected in the bottom line. Higher quality of care reduces the need for more expensive patient interventions in the future.
By improving operational efficiency, APPs contribute to cost savings for healthcare organizations. Reduced wait times and enhanced workflow efficiency equal higher patient throughput and better use of resources.
Find APPs to Elevate Your Healthcare Team
At Medix, we understand the challenges of recruiting and retaining qualified healthcare talent. With the increasing importance and prominence of APPs, healthcare organizations need a sound staffing strategy to find highly qualified nurse practitioners and physician assistants to bolster their teams. As your Joint Commission-certified staffing partner with access to a pool of 3M+ candidates, Medix helps you quickly find talent that meets your unique needs and fits your organization’s established culture.
Contact us today to start building your team of APPs.
