OUTSOURCING VS. FTE: WHICH STAFFING MODEL WORKS BEST?

Outsourcing vs. FTE: Which Staffing Model Works Best?

Outsourcing vs. FTE: Which Staffing Model Works Best?

Blog Article

When it comes to medical billing and coding, healthcare providers have two effective staffing options: outsourcing services to a trusted partner or leveraging the Full-Time Equivalent (FTE) model. Both models provide unique advantages, and choosing the right fit depends on your practice’s needs, budget, and goals.

At Info Hub Consultancy Services (ICS), we offer both outsourcing and FTE-based solutions to support medical practices across 40+ specialties. Let’s dive into these two approaches and explore how they can benefit your practice.

The Outsourcing Model: A Hassle-Free Solution


Outsourcing involves delegating your medical billing and coding tasks to a third-party provider like ICS. This model works on a minimal percentage of your total billing or a flat fee, making it a cost-efficient option for healthcare organizations that aim to focus on patient care while relying on experts for RCM.

Key Benefits of Outsourcing Medical Billing:



  1. Cost-Effective:You save on hiring, training, and infrastructure costs as ICS handles everything end-to-end.

  2. Scalability on Demand:Easily scale operations up or down based on your billing volume without administrative hassles.

  3. Expertise at Your Fingertips:Get access to certified coders and billers who are well-versed in various medical specialties and insurance requirements.

  4. No Infrastructure Worries:ICS provides advanced technology platforms, enabling accurate and timely submissions without requiring you to invest in software or hardware.

  5. Streamlined Workflow:Focus entirely on improving patient care while we handle your RCM with accuracy and compliance.


The FTE Model: Dedicated and Personalized Support


The FTE model provides healthcare practices with dedicated billing and coding professionals, who work exclusively for your organization. At just $7.5 per hour, ICS ensures that your FTE resources act as an extension of your team, fully aligned with your practice’s goals and workflows.

Key Benefits of the FTE Model:



  1. Dedicated Focus:FTE staff work solely for your practice, ensuring consistent quality and personalized attention to your billing needs.

  2. Seamless Integration:The FTE team becomes a part of your organization, aligning perfectly with your processes, culture, and long-term goals.

  3. Cost-Effective Long-Term Solution:For practices with stable and consistent billing needs, the FTE model offers high value at an affordable rate.

  4. Direct Oversight and Control:You have the flexibility to manage and monitor the work of your FTE staff, ensuring full accountability.

  5. Expert Resources, Zero Overhead:With ICS handling the hiring, training, and management, you get expert professionals without worrying about infrastructure or administrative costs.


Key Differences Between Outsourcing and FTE for Medical Billing


Here’s a precise comparison of Outsourcing and the FTE model for medical billing, with a focus on how both models deliver value:
















































Factor Outsourcing Model FTE Model
Cost Structure Minimal % or flat fee on total billing, saving on salaries, benefits, and infrastructure. $7.5 per hour per dedicated resource, offering predictable and affordable billing costs.
Scalability Easily scale up or down based on billing volume without administrative hassles. Ideal for consistent billing volumes with a dedicated and steady workforce.
Focus Task-based approach managed by ICS experts, freeing internal resources. Personalized attention to your billing needs, aligned with your practice’s goals.
Oversight Vendor-managed processes with clear Service Level Agreements (SLAs) and regular reporting. Direct control and oversight of dedicated FTE staff for maximum accountability.
Technology and Tools Access to ICS’s advanced tools (AthenaHealth, Kareo, eClinicalWorks, etc.) without infrastructure costs. FTE staff trained and experienced in your preferred billing platforms without additional overhead.
Flexibility Perfect for fluctuating patient volumes or seasonal billing spikes. Designed for practices with stable patient volumes requiring consistent support.
Specialization Immediate access to expert billers trained in over 40 medical specialties. FTE staff specialize in your practice’s unique requirements, ensuring deep familiarity.
Turnaround Time Faster submissions and reimbursements with a 24/7 dedicated outsourced team. Steady claim processing and follow-up to reduce denials over time.

Real-World Example



  • Outsourcing Success for a Large Multispecialty Hospital:
    A 400-bed hospital with fluctuating patient volumes partnered with ICS for outsourcing medical billing. By leveraging ICS’s expert team and technology, the hospital reduced claim denials by 40%, achieved a 25% faster turnaround time for reimbursements, and saved 30% on operational costs. Outsourcing allowed the hospital to handle high billing volumes seamlessly while focusing on patient care and operational excellence.

  • FTE Model Success for a Small Specialty Clinic:
    A 12-physician gastroenterology clinic opted for 3 FTE billers from ICS at $7.5/hour. This dedicated teamensured personalized attention to every claim, developed a deep understanding of the clinic’s specific workflows, and reduced billing errors by 20%. Within six months, the clinic improved its collection rate by 25% and maintained consistent cash flow—all without the need for additional infrastructure or management burden.


Conclusion: Choose the Right Model for Your Practice


At Info Hub Consultancy Services (ICS), we excel in delivering outsourced medical billing and coding services, as well as providing dedicated FTE staff at just $7.5 per hour. With our expertise spanning over 40 medical specialties and experience with leading software like Kareo, eClinicalWorks, AthenaHealth, and more, we ensure both models bring unmatched value to your revenue cycle management (RCM).

Still unsure which model is right for you? Contact our experts for a free consultation, and we’ll help you decide the best fit for your practice!

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