Compass Healthcare | Case Study

Multiservice Contract Management Case Study

Operating across the Midwest, this regional health system delivers care through a comprehensive network of hospitals, clinics, and physician practices—improving access and outcomes for diverse urban and rural populations through integrated care models and community-driven health initiatives.

OBJECTIVES & CHALLENGES

To address industry workforce challenges, our hospital partners sought a partner to create a cohesive FNS and EVS program that addressed the core needs, while improving sustainability and operational efficiency. The partnership with Compass Healthcare prioritizes:

  • Strengthening career development pathways for its associates
  • Reducing turnover for frontline associates
  • Managing rising associate-related costs across the organization
  • Aligning FNS and EVS services with the organization’s mission-focused approach
  • Creating a patient-first culture in the FNS and EVS departments
  • Optimizing workflows for more efficient operations and patient interactions
  • Reducing costs for supply and food purchasing

APPROACH & SOLUTION

In early Spring of 2024, FNS and EVS associates transitioned to Compass Healthcare, with a reportedly seamless implementation resulting in no
interruption to patient services and only minimal, if any, disruption to associate workflows.

FNS and EVS hourly associates kept their same roles as part of the transition and were not required to interview for their jobs. From an associate perspective, communication was critical to ensure a smooth transition. As a result, the Compass Healthcare team worked with hospital leadership to communicate about the upcoming change through town halls, onboarding meetings, FAQs, and regular email updates. Key issues addressed include:

  • Health insurance
  • Retirement plans
  • Pay rate and timing
  • Schedule changes
  • Uniform changes
  • PTO policies

Service delivery was uninterrupted, ensuring patients received the high-quality care and service they have grown to expect from the mission-driven organization.

OUTCOMES & RESULTS

The organization saved $841,000 on the FNS side of the business in the first year due to lower fringe rates. All staff stayed in their roles during the transition to Compass Healthcare, resulting in significant retention rates, even among hourly associates:

Due to the consistent communication and associate-focused transition plan, transitioning associates rated the onboarding experience an average of
4.8/5 stars.

Results

96%

initial transition rate

84%

retention after 6 months

Key details of the transition plan:

Info Sessions

  • Conducted 28 sessions across all locations in 3 days
  • Performed by 4 teams of 3 (HR New Business Lead, Morrison Operator, Crothall Operator)

Due to the consistent communication and associate-focused transition plan, transitioning associates rated the onboarding experience an average of
4.8/5 stars.

Onboarding

  • 500 associates were onboarded onsite
  • 41 associates who were unable to make in person onboarding received a virtual experience 

Additionally, associates received new value adds during the transition that proved impactful for engagement and contentment with the transition.

Custom Benefit Credits

Compass Healthcare identified opportunities to provide credits to associates, helping minimize changes to benefit costs during the transition.

PTO Entitlements

  • Rolled over up to 40 hours of PTO into Compass Healthcare bank
  • Enhanced PTO accrual for more tenured colleagues:
    • 4–10 years: +5 additional vacation days
    • 10+ years: +10 additional vacation days

Critical Success Factors

The Compass Healthcare transition was a success due to an experienced team and proven track record for large integrations. Lessons learned and success actors include:

  • Associate-First Transition Approach: Compass Healthcare focused on clear communication, continuity of employment, and respect for existing relationships helped associates feel valued, which minimized disruption and preserved institutional knowledge.
  • Defined Career Development Frameworks: Structured training, advancement opportunities, and leadership development programs strengthened engagement and created long-term retention pathways for frontline associates.
  • Mission-Aligned Service Model: FNS and EVS teams are intentionally positioned as extensions of patient care, reinforcing dignity, compassion, and service excellence consistent with the organization’s faith-based mission.
  • Leadership Visibility and Regular Communication: The presence of on-site leadership addressed concerns about the transition; expectations and next steps were readily communicated to staff and the team was responsive to concerns.