Supply Expense Management
Survival in a post reform environment will depend upon a provider’s ability to make margins at or below Medicare rates. FTI’s two-pronged, data-driven approach identifies opportunities to implement product cost reductions as well as infrastructure and cultural changes to attain sustainable and measurable financial improvement. The supply chain has a vital—and often underestimated—impact on the financial health of an organization. Total supply expense, including drugs, purchased services, implants and consumables is exceeded only by labor expense. At the same time, the selection of purchased goods and services can also influence patient safety and satisfaction. As a consequence, a comprehensive supply chain strategy that addresses expense management, data capture and efficient logistics is essential adapting to declining reimbursement and competition for patients. That is the reason hospital and healthcare system executives rely on experts at FTI Healthcare to assess overall supply chain cost effectiveness and offer solutions that reduce costs, enhance the quality of support operations and strengthen the organization’s competitive position.
With extensive hands-on experience managing and optimizing the supply chain at a wide range of hospitals and healthcare organizations, supply expense management professionals at FTI Healthcare deliver data-driven analysis along with a clear roadmap for implementation. Assessing multiple perspectives of client supply chain performance, we review expense management functions that impact operational effectiveness, cost performance and customer satisfaction to determine where performance is relative to leading practices. We then deliver highly credible findings that identify opportunities to build a more effective and responsive operation. Our methodology has been internally developed to add value with sustainable annuity revenue tools that can be easily incorporated into current business processes.