4 Purchasing Compliance Considerations for Purchased Services | MD Buyline

4 Purchasing Compliance Considerations Hospital Purchased Services Top performing healthcare organizations promote reducing purchased services' costs by integrating the supply chain and finance departments. Standardize Sourcing Protocols When purchased services remain isolated in various silos of a health system, the ability to standardize sourcing protocols becomes increasingly more difficult. HR Clinical support Facilities Finance Create a central place of visibility that still allows individual buyers to exercise their knowledge but provides supply chain with the power to act as a barometer for the buying process. Environmental Centralize Purchasing Value Analysis Committèe With this approach, hospitals can avoid purchases based solely on personal preference, which value analysis teams have been tackling for years with PPI. Power Spenders and the Supply Chain A parallel influence that physicians have over PPI are what Fearson and Bales refer to as "power spenders" in purchased services. Power Spenders Power spenders in purchased services are spread throughout the healthcare system and are not as easily identified by the suffix MD. Supply chain must integrate with departments and value analysis teams to train power spenders on the benefits of following a purchasing process, creating champions for the value of strategic sourcing. Supply Chain Four Purchasing Compliance Considerations 1 Executive Sponsorship Without the right support from the leadership team, impacting change is nearly impossible. Executive sponsorship from the VP level in supply chain or the CFO or ČEO directly is imperative. 2 Align Stakeholders Clinicians Pulling together disconnected departments around purchased services allows providers to: Create comprehensive and compelling RFPS Prioritize the need for the right service Categorize and direct a focus for contracting and sourcing post-RFP Value analysis team Senior leaders 3 Thorough Sourcing Increase your negotiation leverage by assessing multiple service providers and creating a competitive situation. Evaluate providers based on: - Market trends - Key performance indicators - Industry best practices by category - Pricing benchmarks 4 Strategic Vision Sourcing services must align with the organization's strategic vision for the future, not simply with an individual department's goals. MD Buyline is an advocate for healthcare supply chain leaders across the nation. md buyline Learn about the purchased services solution that can help your organization achieve its short- and long-term objectives. www.mdbuyline.com