Question 1

Why should I compare different staffing models?

Accepted Answer

Comparing staffing models helps you find the optimal balance between cost, flexibility, and service quality. A model heavy on full-time staff might offer stability but lack flexibility, while relying on agency staff provides flexibility at a higher cost. This calculator helps you see the financial implications of each model.

Question 2

What is a 'blended hourly rate'?

Accepted Answer

The blended hourly rate is the weighted average cost of all your labor. It's calculated by dividing the total labor cost (from all staff types) by the total hours worked. It gives you a single, powerful metric to track the overall cost of your labor.

Question 3

Are there hidden costs to agency staff?

Accepted Answer

Yes. While agency staff are flexible, they come at a premium hourly rate and may lack the institutional knowledge and loyalty of your direct employees, which can impact productivity and team cohesion. Their costs are often purely variable, which can be a benefit.

Question 4

What are the benefits of full-time vs. part-time staff?

Accepted Answer

Full-time staff often have higher retention rates, deeper knowledge of your operations, and can be more invested in your company's success. Part-time staff offer greater flexibility for scheduling around peak demand and can be more cost-effective if you don't need a full 40 hours of work.

Question 5

How can I use this calculator to optimize my staffing?

Accepted Answer

Use this tool to model different scenarios. What happens if you replace two agency workers with three part-time employees? What if you give your full-time staff a raise to improve retention? By comparing the total cost and blended rate of different models, you can make data-driven decisions to build a more cost-effective and efficient team.

Staffing Model Cost Comparison

Results

Understanding Staffing Models

Frequently Asked Questions

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