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Healthcare Providers Gain Control of Demand Channels With GHX Procurement Suite; 12 Percent Supply Spend Savings Achievable
Date:10/8/2010

LOUISVILLE, Colo., Oct. 8 /PRNewswire/ -- A growing number of healthcare providers are choosing the Procurement Suite solution by GHX to gain better control over non-file, off-contract spending, focusing on high-cost medical-surgical supplies. Leveraging the capabilities of Procurement Suite, healthcare decision-makers receive sound content, accurate contract price validation and contract alignment during the procurement process, rather than after the fact. With greater contract compliance, financial models calculate that providers can reduce their supply chain costs by 12 percent.*

Supply chain costs typically account for 30 percent or more of a hospital's total operating expense—second only to labor—and are increasing faster than any other operating expense. And Datamonitor Group, a provider of global business information, estimates that 40 percent of the average hospital's annual spend is non-file, meaning it is not in the hospital's enterprise resource planning (ERP) system or materials management information system (MMIS). As a result, that spend is not easily managed.

Procurement Suite combines the healthcare supply chain's most accurate content management platform, contract optimization capabilities and connectivity to suppliers from which hospitals purchase products to enable process efficiency while driving contract compliance. The solution provides a foundation of accurate data with an easy-to-use interface designed to capture procurement occurring outside of materials management, helping ensure the correct products are easily identified, sourced and procured.

Among those selecting Procurement Suite is Champlain Health Supply Services, a shared service organization that provides integrated supply chain services to 12 hospitals in the greater Ottawa area.

"Building on a foundation of accurate, up-to date data—which is crucial—we will be able to capture demand electronically at the time the demand i
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SOURCE GHX
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