Saving Money While Meeting Needs

Ben Franklin’s centuries old axiom “A penny saved is a penny earned.” Cliché or Passé?  Not in today’s Health Care and Economic environment…

Today, healthcare organizations, clinics and physician’s practices are looking for a clear benefit to boost the bottom line. Group Purchasing Organizations (GPOs,) like the HealthTrust Purchasing Group (HealthTrust,) provides value added benefits and cost savings to member organizations in the areas of Medical/surgical supplies, Pharmaceuticals, Capital equipment, Office supplies, Information Technologies, Food items, Lab, and Maintenance supplies. Established in 1999, and headquartered in Brentwood, TN, HealthTrust has as combined membership of nearly 4,000 and $17 billion in annual purchase volume across 300,000 contracted items.

AdvantageTrust was designed to serve non-acute care facilities—physician offices, clinics, long-term care facilities and home-health providers. The program provides members access to the same contracts HealthTrust has established for their acute care membership. This program presents the information in a relevant, user-friendly manner so that staff performing multiple duties in these operations can quickly identify the steps necessary to obtain discounts and implement those to realize the savings the contracts provide. AdvantageTrust developed medical and pharmaceutical supply distribution agreements that provide the greatest value to the membership by controlling the cost of manufactured goods and the distributor’s markup. 

“Placing patients first” can be an often over used catch phrase in our industry, but HealthTrust exercises a patient focused attitude as standard modus operandi. The foundation of the HealthTrust model is a patient-focused mission, led by experienced clinical leaders and member advisory boards who conduct a rigorous product vetting and approval process. This industry-differentiating approach drives all procurement activities and decisions, ensuring that member requirements are addressed. Clinical Advisory Boards provide input to the HPG National Agreements Team in reference to new technologies, products and services. Each board is usually made up of 15 – 20 health care professionals with relevant clinical experience; members are selected after peer and organizational recommendations from across the HealthTrust member organizations. Ellen Scott, Spotsylvania Regional Medical Center’s Senior Leader of the Medical / Surgical unit, is a contributing member of the Nursing Advisory Board.

HealthTrust is developing new enterprises to further drive being a value added resource to their membership – Medical Device Sourcing, Supply Chain Consulting, Spend Analytics and Staffing Management are designed to enhance the provider’s worth proposal. On, an ongoing basis, HealthTrust solicits and responds to member advice and opinion through additional service offerings, enhanced capabilities and a commitment to becoming the provider’s total cost management solution.

The U.S. healthcare industry spends more than $200 billion annually on medical and non-medical products, more than 70% through a GPO. To distinguish itself as the leading solution for the purchasing needs of healthcare providers, HealthTrust focuses on reducing operating costs, ensuring industry-leading pricing, providing a broad portfolio of products/services, maintaining strong vendor relationships, and practicing unsurpassed ethics and compliance. The HealthTrust Model: A committed purchasing model will always drive a superior value over voluntary GPOs. The reason HealthTrust has superior value and pricing is the commitment of their member organizations to achieve contract compliance. The basis of HealthTrust’s success is member alignment around two key main beliefs—product evaluation (and awards) and contract adoption or member compliance. High compliance is only possible because advisory boards are aligned in setting strategy and approving all contract awards. Being able to leverage the purchasing power of the almost 4,000 member organizations is definitive advantage.

AdvantageTrust offers members in physician offices or clinics the opportunity to save significant dollars on the supplies purchased. Medical Surgical supplies are available through two contracted distributors and the pricing HealthTrust has negotiated directly with companies like 3M, B-D, Kendall, etc. are available to those contracted suppliers. There is no cost to participate in the program, but members are required to participate exclusively with HealthTrust Purchasing Group and no other purchasing programs. It seems a reasonable requirement since the savings substantiates HealthTrust and the member’s commitment.

So there you have it; a penny saved really is a penny earned, real value is driven by HealthTrust’s commitment to their members and by member organizations commitment to the GPO and their contracts. For more information or interest in joining go to www.advantagetrustpg.com or feel free to contact your local Supply Chain Director, (for SRMC) Richard Hill @ 540-498-4281 or via email @ Richard.Hill@HCAhealthcare,com .

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