Perspective Why Group Purchasing Is Only One Side of the Savings Triangle Equation Robert T. Yokl, President/CEO, SVAH Solutions
It has been my experience that very few things in life and in business have one all-encompassing solution. However, group purchasing seems to be the only savings strategy that supply chain professionals have embraced since 1910 when the Hospital Bureau of New York was founded to provide group purchasing services nationwide. Don’t get me wrong! I’m a strong proponent of group purchasing, but it's only one side of the “Savings Triangle.” Only using this strategy limits you from obtaining maximum savings results at your healthcare organization. Here are the reasons why.
Standardization Vs. Customization: A Paradigm Shift While standardization goes hand in hand with group purchasing since you can’t maximize your GPO savings without standardizing on one product, service, or technology organization wide, it can also cost you money. That’s why customization might be a much better cost management tactic than standardization.
Volume 10/Issue 1
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