healthcare supply chain

Purchased Services as a Recovery Focus in Healthcare

Everyone in healthcare has witnessed the devastating impact of Covid-19, both personally and professionally. We’ve seen hundreds of articles stating the need to start recovering from the effects of Covid-19, and there has been a steady uptick of elective surgeries and services. Yet, healthcare still stands to lose over $300 billion in 2021. Now is the time to examine new methods and partners to financial recovery. A firm footing in the recovery process is necessary to support and shore up the economic bedrock of healthcare.

Three Major Cost Savings Beyond Price Elements for Your Purchased Services Program

Most organizations look at purchased services only from a contract price standpoint to the value provided by the vendor. This keeps the negotiations and transactional aspects of the vendor relationship very simple in the purchased services side of supply chain. Now with group purchasing having valued contracts in the purchased services space, this only enhances the contract price savings for supply chain professionals. I guess this means our job is done with purchased services, right? Or are there still major dollars being left on the table? The answer is yes, because you can still look beyond price to save even more, and you don’t have to wait until the contract renewal process to go after these savings.

Are You in Control of Your Hospital’s Purchased Services?

It’s my guess that out of the 6,090 hospitals in the United States, 30% to 50% of them aren’t effectively controlled by their supply chain departments. This creates an opportunity to open up a whole new source of savings (equal or greater than supply expenses) for those “wait and see” supply chain executives. Isn’t it time to rethink your supply chain mission?