Chicago partner Neil Olderman authored “How and Why Supply Chain Must Prepare and Be Ready When Confronted with Hospital M&A” for the Healthcare Purchasing News blog. In this post, the second in a two-part series about the changing health care supply chain, Neil discusses how hospitals and health systems can optimize the combined supply chain operations during hospital and health system M&A.
With decades of experience facilitating health care M&A, Neil recognizes that the supply chain and purchasing is a key area of savings immediately upon closing. He explains, “Savings generated through aggregation of the combined entities purchasing power and other techniques are relied on to reduce the cost of equipment, products, supplies and services.” With this in mind, Neil provides the following points of advice for hospitals and health systems to prepare and be ready to offer value in the supply chain immediately following closing of an affiliation transaction:
- Accept change.
- Get ready to do things differently.
- Evaluate opportunity through the lens of patient care and the consumer.
- Initiate research and development. • Identify and work on weaknesses.
- Exhaust the resources available through your GPO.
By being prepared on these fronts, your organization will be ready to deliver value on the first day of integration.
For more information on each of the points outlined above, read more on Healthcare Purchasing News.