GPO Self-Governance is Key to Deflecting Critics and Reducing Health Care Costs
July 11, 2010
Posted by chcablogadmin in : Financial Viability, Group Purchasing
Despite credible evidence that GPOs are adhering to strict codes of conduct and bringing hospitals efficacious product from both large and small device manufacturers, a single editorial can set off a flurry of debate in Washington about GPOs. A July 7, Washington Monthly article resurrected small device manufacturers’ claims that innovation is being stifled by GPOs and urged Congress to hold hearings this fall on the GPO industry. At the HIGPA meeting earlier this week, we again scrutinized member practices and the HIGPII code of conduct. Our conclusion? Self-governance works. Hopefully, another round of costly Congressional investigations is not necessary to prove that point. We’ll keep you in the loop on any new developments.
In the meantime, I want to personally assure you that CHCA and its partner Premier adhere to the strictest codes of conduct in the industry. We look to our members to bring forward innovative products which are evaluated, and subsequently approved or dismissed for consideration by clinical and supply chain experts in your hospitals. CHCA’s role is to provide the best pricing and value on the products your hospitals use. In 2009, the CHCA group purchasing team delivered savings in excess of $21 million above and beyond the Premier agreements by aggregating and negotiating additional discounts on products your experts determined best met the needs of your patients. Through our involvement with HIGPA and HIGPII, we will continue to advocate the role GPOs play in keeping health care costs down.
Comments»
no comments yet - be the first?