St. Louis, Missouri (PRWEB) November 28, 2011
Amerinet, a national healthcare solutions organization, helped the East End Healthcare Alliance (EEHA) in Eastern Long Island, New York, implement a customized physician preference item (PPI) cost-savings solution that brought an immediate savings of $385,000, a 40 percent decrease in spend and an overall total savings of $700,000.
Implant costs continue to outpace reimbursements and hospitals nationwide are facing this additional strain on operating budgets. “We knew we had to do better with pricing, but the priority was making sure our surgeons had access to the specific products they wanted to use,” explained Materials Management Administrator Alan Manning of Peconic Bay Medical Center, a member of the alliance.
The Amerinet Clinical Advantage program aligned with EEHA’s collaborative philosophy, working towards a common goal to lower implant costs and improve margins while respecting physician preferences and enhancing quality outcomes. Amerinet Clinical Advantage promotes a united course of action among administrators, clinicians and suppliers. It delivers immediate, up-front savings and invokes ongoing strategic and systemic changes in the entire implant procurement process.
The proprietary study provided to members utilizing Clinical Advantage is a quantitative, evidence-based tool that illustrates clear pathways to cost reduction and improved margins. The analysis is empirical and all-inclusive, incorporating up-to-the-minute actionable opportunities in national and regional market fluctuations and volume.
The Clinical Advantage consulting group created unique and individual contracts specifically for the East End Health Alliance. By re-pricing EEHA’s $1.96 million TJR implant spend, an immediate savings of $385,000 was realized. This represented a decrease of 40 percent over the pre-project purchase amounts. Contribution margin analysis prompted physicians to approve an additional savings opportunity of $150,000. Increased volumes at the newly-negotiated price points yielded an additional $165,000 savings, bringing the total to $700,000.
“Market knowledge was extensive and the price points supplied were dead on. Clinical Advantage is the gift that keeps on giving. It’s an outstanding purchasing resource for our entire facility,” said Manning
EEHA consists of three facilities – Eastern Long Island Hospital, Peconic Bay Medical Center and Southampton Hospital – operating as an integrated regional healthcare delivery system. The Alliance hospitals are all critical healthcare providers serving a combined population of 300,000 residents in a 300 square mile area. More than 16,000 inpatients and 60,000 emergency room visitors are seen annually. The hospitals in the Alliance employ over 2,500 individuals and generate nearly $1 billion of regional revenue. They are an essential component of the local economy.
As a leading national healthcare solutions organization, Amerinet collaborates with acute and alternate care providers to create and deliver unique solutions through performance improvement resources, guidance and ongoing support. With better product standardization and utilization, new financial tools beyond contracting and alliances that help lower costs, raise revenue and champion quality, Amerinet enriches healthcare delivery for its members and the communities they serve. To learn more about how Amerinet can help you successfully navigate the future of healthcare reform, visit http://www.amerinet-gpo.com.