Sponsored
Caresfield
BY KACIE BEMMELS, CARESFIELD DIRECTOR OF STRATEGIC PARTNERSHIPS
Diverse Vendors, GPO Contracts Help Achieve Clinical Success COVID-19 changed the environment
price transparency. By communicating
for healthcare facilities. Many organi-
what’s available and what sourcing needs
zations, whether acute or long-term, can
to change, GPOs and vendors can help
improve vendor relationships and leverage
you keep crucial supplies stocked.
the benefits of GPO membership to help
GPOs vet suppliers and conduct con-
stabilize the supply chain and manage costs.
tract negotiations. GPOs save members
“Facilities have been streamlining
significant money by negotiating value-
operations for years, adopting just-in-time
adds like free freight, on-site support and
inventory practices,” said Barry Marquardt,
rebates. Some GPOs even offer different
director of medical products & services
Ordering items made or stored in the
at Managed Health Care Associates, Inc.
U.S. poses a lower risk. Suppliers should in-
(MHA), the country’s largest alternate site
vest in research and development to optimize
GPO. “The pandemic didn’t just stretch that
costs and produce quality products. Partners
supply chain, it broke it in many respects.”
without backup suppliers or raw material
Caresfield has worked with MHA since 2017. The organizations recently worked
sources run into back orders and disruption. Quality matters, too. Suppliers with a
revenue and value-based programs to enhance your membership.
How Suppliers Support GPOs and their Members Suppliers and GPOs can work together to
quality management system hold products to
collaborate on new product opportunities.
webinar, How to Overcome Breaks in Your
a certain standard. There is little to no mate-
Suppliers can also share transparent infor-
Supply Chain: How to Diversify Vendors while
rial waste which helps control the cost of raw
mation on current inventory. This includes
Leveraging Your GPO Contract.
materials and ensures dependable products.
relaying market conditions back to GPOs
together to present the Caresfield CaresTalk
If a supplier works with GPOs, you can save thousands of dollars annually.
with quarterly and annual budgeting. “The bottom line it comes down to
Provider/Supplier Bridges and Barriers
Typically, GPO contracts come with dis-
communication,” Marquardt said. “As a
counts on purchases, rebates for compli-
supplier, proactively engaging with your
One barrier between healthcare facilities
ance and other value-adds like free freight.
customer base drives comfort and confi-
and suppliers is information transparency.
dence in your operation.”
Many suppliers cashed in during the pan-
Partnering with GPOs can provide a
GPOs are Diversifying Vendor Sources
wealth of benefits aside from contracted
When paired with uncertainties in the operating environment, it became difficult
GPOs are always working to provide
goal is to give you the tools to make your
to manage costs.
better value to members. During the pan-
operation successful with a focus on posi-
demic many items were suddenly in high
tive clinical outcomes.
demic with opportunistic price increases.
Next is the influence clinicians have
pricing. As a supplier or as a GPO, the
on procurement. Ideally, the supply chain
demand. Many GPOs expanded product
supports the best outcome for patients or
categories and worked with suppliers to
supplier or GPO doesn’t do that for you,
residents with the fewest resources spent.
find strong manufacturers with a high
reach out to Caresfield to see how we can
This can be difficult in non-acute settings,
market share and healthy supply chains.
help! You can call our main line and talk to
where it’s typically a single person review-
Additionally, GPOs work to under-
ing costs and product alternatives.
12
stand forecasting challenges and drive
If your current distribution partner,
a real person at 952-890-7100 or use the live chat feature on www.caresfield.com.
April 2022 | The Journal of Healthcare Contracting
