Key Takeaways
- Provider productivity continues to rise. Provider work relative value units (wRVU) per full-time employee (FTE) increased 3% year-over-year, indicating higher demand for care across physician enterprises.
- Labor dominates physician enterprise expense, with providers representing the most significant share. Labor expense accounts for 84.6% of total expense. Of that, provider expense—physicians and advanced practice providers (APPs)—represents 71% of total expense. With APPs now 40% of the workforce, strategic care team design can increase value, maximize effectiveness and meet rising patient demand.*
- Support staff comprise a comparatively small share but remain important to overall effectiveness. Support staff account for only 13.6% of total expense. At the same time, they play an important role in supporting provider productivity and care delivery, reinforcing the value of strategically designed staffing models that optimize team effectiveness.
* More information on how to Align the Right Physician/APP Model.
The Physician Flash Report features the latest industry trends from the same data physician groups use to track their finances and operations. For more detailed benchmarks by specialty or custom peer groups, please email PhysicianFlashReport@kaufmanhall.com.
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