Why ‘More Help’ Isn’t Always the Answer in Workers’ Comp

When workers’ comp results disappoint, employers often respond the same way: add another vendor.

Nurse case management. Surveillance. IMEs. Specialized litigation firms. New technology platforms.

Yet despite the investment, outcomes don’t improve — and sometimes they get worse.

Here’s the uncomfortable truth:
Most vendor services don’t fail. They’re simply used at the wrong time.

The “More Is Better” Trap

Vendor services are valuable tools — but tools are only effective when applied at the right moment.

When employers skip foundational steps, vendor services become:

• Expensive band-aids

• Poorly integrated

• Misaligned with goals

• Frustrating for everyone involved

The issue isn’t quality. It’s sequence.

Why Timing Matters More Than Tools

Workers’ comp programs succeed in a specific order:

1. Framework and vision

2. Employer systems

3. External support

When employers start at step three, vendors are forced to compensate for missing structure — an impossible task.

No nurse case manager can fix:

• Delayed injury reporting

• Poor supervisor response

• No return-to-work plan

• Confused employees

Common Misuses of Vendor Services

Examples seen repeatedly:

• Assigning nurse case management without employer engagement

• Adding litigation counsel before improving communication

• Using investigations to manage trust issues

• Layering technology onto broken processes

In each case, the vendor becomes reactive — not strategic.

When Vendor Services Actually Work

Vendor services shine when:

• Reporting is timely

• Expectations are clear

• Roles are defined

• Metrics are tracked

In this environment, vendors enhance performance instead of compensating for dysfunction.

The Real Cost of Poor Timing

Misused vendor services don’t just waste money — they:

• Increase complexity

• Create friction with employees

• Undermine trust

• Delay recovery

Ironically, employers often conclude “vendors don’t work” — when the real problem was when they were introduced.

Final Thought

Vendor services are powerful — but only when layered onto a solid foundation.

Fix the framework first. Strengthen employer systems next.
Then — and only then — let vendor services do what they do best.

That’s how tools become solutions.

Michael Stack, CEO of Amaxx LLC, is an expert in workers’ compensation cost containment systems and provides education, training, and consulting to help employers reduce their workers’ compensation costs by 20% to 50%. He is co-author of the #1 selling comprehensive training guide “Your Ultimate Guide to Mastering Workers’ Comp Costs: Reduce Costs 20% to 50%.” Stack is the creator of Injury Management Results (IMR) software and founder of Amaxx Workers’ Comp Training Center. WC Mastery Training teaching injury management best practices such as return to work, communication, claims best practices, medical management, and working with vendors. IMR software simplifies the implementation of these best practices for employers and ties results to a Critical Metrics Dashboard.

Contact: mstack@reduceyourworkerscomp.com.

Workers’ Comp Roundup Blog: http://blog.reduceyourworkerscomp.com/

Injury Management Results (IMR) Software: https://imrsoftware.com/

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