Outsourcing of Medical Staffing Management Gains Momentum - New Solutions Emerge for Addressing the Nursing Shortage

Chicago, IL - February 14, 2003 - As hospitals across the United States strive to meet the increasing demand for healthcare services while the supply of healthcare clinicians declines many are developing new and innovative solutions to meet the challenge.

One such hospital is the Penn State Milton S. Hershey Medical Center in Hershey, Pennsylvania. The hospital recently signed an exclusive contract with InteliStaf Healthcare, Chicago, IL to provide staffing management services. Through this agreement InteliStaf will provide supply chain management for all the Medical Center, including flexible staff sourcing, regulatory documentation, and quality outcome management and reporting.

This innovative approach to staffing has been independently documented to:

• Improve healthcare quality

• Reduce flexible staffing costs

• Increase core staff and flexible staff productivity

• Reduce core staff overtime

• Increase retention and recruitment of core staff

• Improve employee and patient satisfaction

• Reduce incidence of ER divert, bed closures and clinical unit bottlenecks

In fact, recent research done by the Nursing Executive Center of the Advisory Board, an independent think-tank located in Washington, DC, gave InteliStaf’s approach to flexible staffing its highest grade and concluded when reviewing it: “Strongly recommended for most members as a highly effective practice for maintaining performance in a time of shortage”, The Advisory Board Company, Washington DC, 2001

"We are very excited about our partnership with InteliStaf," said Donna Reck, M.S.N., R.N., Chief Nursing Officer for Penn State Milton S. Hershey Medical Center, "We are very confident this approach to flexible staffing will help us better meet the medical needs of our patients and their families."

“Penn State Milton S. Hershey Medical Center is one of the leading hospitals in the nation” said Ralph Friedmann, President and CEO for InteliStaf Healthcare, "They continue to demonstrate innovative and proactive strategies to meet their healthcare staffing needs head on. We are excited about this opportunity to partner with the medical center.”

InteliStaf Healthcare has partnered with many leading healthcare systems across the nation to provide similar services. Known as “Staffing Effectiveness Partnerships” the company develops custom staffing solutions for each client based upon their specific staffing, recruitment, financial, and clinical requirements. This approach to staffing has been independently studied and is recognized as the leading staffing solution for hospitals in times of a nursing shortage.

About InteliStaf Healthcare

InteliStaf Healthcare is one of the largest healthcare staffing companies in the United States operating over 70 offices supporting over 35,000 medical professionals. The company provides nurses, allied healthcare professionals, and other medical professionals to healthcare facilities on a temporary and contract basis. InteliStaf Healthcare’s travel division is the fastest growing travel staffing company in the U.S. InteliStaf is at the forefront of vendor management services, creating and directing innovative solutions designed to meet it’s customers specific contract labor, patient care, and financial requirements. The company is the nationally recognized leader for such services.

About Penn State Milton S. Hershey Medical Center

Founded in 1963 with a gift from The Milton S. Hershey Trust, today, Penn State Hershey Medical Center is one of the leading teaching hospitals in the country. The 504-bed Medical Center is staffed by more than 200 specialty physicians who offer world-class medical care and a full spectrum of advanced medical and surgical diagnostics, procedures and treatments. Located at the Medical Center, Penn State Children's Hospital - central Pennsylvania's only children's hospital - offers the region's only pediatric trauma center, the region's most advanced Neonatal Intensive Care Unit and Pediatric Intensive Care Unit, and more than 150 pediatric medical and surgical specialists. For more information about the Medical Center and Penn State College of Medicine, visit www.pennstatehershey.com.

Contact: Eric Brown
InteliStaf Healthcare
Phone: 630/916-3900
URL: www.intelistaf.com