Next-Generation Supply Cost Savings

How Hospitals Are Remaking Partnerships with Suppliers and Physicians to Achieve Sustainable Value

About the White Paper

Our Health Care Advisory Board researchers originally wrote this white paper for hospital executives looking for new ways to slow supply cost growth.

Based on interviews with provider C-suite executives, supply chain officials, and medical suppliers, our experts recommend that hospitals and physicians expand their definition of value in relation to device purchasing to help build a cost-sustainable supply chain. Our interviews demonstrate that progressive health systems now understand that hammering on line item price is a short-sighted strategy.

While still written from a provider perspective, our experts highlight the importance of sustained, mutually beneficial partnerships among providers and medical product suppliers.

Keep in mind, suppliers may not favor every practice profiled here—we hope this report will increase transparency about The Advisory Board Company’s supply chain research and the recommended best practices will accelerate productive partnership discussions.

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