Transforming health care through research and education.
Leveraging research and education to create a society of healthy communities, where all individuals reach their highest potential for health.
Eugene S. Schneller, PhD, Arizona State University
Kathleen Montgomery, PhD, Arizona State University
Amber Coan, Research Assistant, Arizona State University
As hospitals strive to achieve savings by standardizing product SKUs and/or prices, some achieve more success than others. What factors are important in the successful management of physician preference items?
As the costs associated with materials and the broader hospital and system supply chain continue to escalate, pressures to achieve savings through standardization have intensified. In a study focusing on implantable items in the specialties of cardiology (pacemakers) and orthopedics (hip implants), researchers investigated the factors associated with successful materials standardization efforts, including the role played by physician trust. After conducting interviews with key members of five different systems and with representatives of two major group purchasing organizations, researchers found that hospitals and systems that achieved consensus on standardization had much in common.
The study’s authors note that as supply costs associated with typical discharges continue to grow, this is an especially important time for senior management to understand the issues associated with product selection and standardization. In addition, gainsharing (providing physicians with a distribution of funds saved in the process of care) now challenges hospitals and systems to evaluate their alignment of incentives with medical staff and to assess the extent to which gainsharing will support their ongoing standardization strategies.
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