Memorial Hospital, a 100-bed facility in York, Pa., has identified savings of more than $800,000 after completing a nine-month supply chain improvement project sponsored by Premier Inc.
Memorial Hospital is a first time participant in Premier's Supply Chain Collaborative Breakthrough Series (SCCBTS), an initiative available to members of Premier's alliance of 1,500 hospitals and health systems. The hospital participated in the perioperative focus of the program, while monitoring the orthopedic focus.
The hospital team was able to achieve more than $800,000 in savings through contract negotiations and redesigned processes, while also establishing improved relationships with their physicians. The organization now has the physician backing it needs to make changes and negotiate with vendors successfully.
Participants in the Premier program pledge to implement changes in a nine-month period that will improve operations. Memorial Hospital accesses Premier's resources through an affiliation with Bon Secours Health System, a Premier shareholder.
The hospital has renegotiated contracts with its two main orthopedic companies for a significant part of its savings. In addition, the hospital hired an inventory control specialist for the OR, based on another suggestion that was made at the SCCTBS learning sessions. The goal is to assist caregivers in being more effective and efficient in patient care, and less involved in managing supplies.
"We looked at everything that came up in the learning sessions and phone calls," said Phil Schmidt, contract coordinator at the hospital. "As a result, our savings were found across a broad range of issues."