Savings Beyond Price™
Innovative Supply Savings and Quality Solutions That Work
by Strategic Value Analysis® in Healthcare
Did You Know...?
That Value Analysis Was Developed Back In the 1940's After World War II as a Way to Find Lower Cost but Higher Quality Alternative products and methods. This was Due to the Lack of Material Resources At The End of The War.
Savings Beyond Price -Weekly eNewsletter - June 11, 2008
Robert T. Yokl
President & Chief Value Strategist
Greetings!
How to Save More in Less Time!
I can’t think of anyone in supply chain management who doesn’t want to save more in less time. However, this isn’t going to happen with more GPO contracts, more standardization, more capitation or even more custom contracts, since this ripe fruit has almost been picked clean in your vineyard.
This is just churning the same old savings, over and over again, without having any real effect on your hospital’s bottom line, since inflation (3.4% annually) has been eating into all of your so-called savings for years. The future of supply chain expense management isn’t in the old ways of doing things, but instead is all about utilization management.
This is where you will achieve double-digit savings (26% on average) on just about any utilization project that you decide to attack. More importantly, it will require less time than any of the above strategies, tactics and techniques, I just mentioned, to reduce your supply expenses!
So if you aren’t on the utilization management train already, may I suggest that you start thinking beyond price by digging deeper and broader in your supply chain to identify and remove the wasteful and inefficient consumption, misuse, misapplication and mismatches in your value streams.
Then, and only then, will you save more in less time which will be sustainable over the long-term.
Your Partner In Innovative Savings,
Bob Yokl
Robert T Yokl
Chief Value Strategist
Strategic Value Analysis® In Healthcare
P.S. Would it be worth .82 cents to have ALL of the resources you required to be wildly successful with your hospital or system’s supply value analysis program? Well this isn’t a fantasy, but a reality with our innovative Value Analysis Resource Web. Check it out for yourself at www.strategicva.com/vaweb.htm. i PROMISE You -- YOU won’t be disappointed!
P.P.S. Don’t forget to check out my new blog article “Stop the Madness with Your GPO Contracts”. This will give you some ideas on how to manage this important chore more effectively.
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"Could a misalignment that comes with a simple (and less costly) fix be eating away at your savings?"
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"Managing utilization costs can save six to 10 percent on total supply expenditures"
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