The 'Balancing Act' in Healthcare Procurement
What is the best strategy to achieve affordable healthcare supply in 2020?
In surmounting the ever-growing challenge of sustainable cost-effective healthcare, procurement’s role is more vital than ever.
Procurement is not the single silver bullet, however it does take into consideration several key factors in this “balancing act” of healthcare costs.
👩🦽Patient Outcomes and Expectations
Always at the forefront of all activities.
CHALLENGE: Meeting patient expectations in areas such as minimal invasive treatments, minimising recovery times and robotic technology.
👩⚕️ Clinical Preference and Choice
In many clinical product categories, clinical preference for certain brands is extremely high.
CHALLENGE: Driving the best commercial arrangements for products.
👨💼Industry Marketing and Influence
The powerful force of product brands is ever present.
CHALLENGE: Health suppliers use sophisticated marketing and influencing strategies to create strong brand loyalty with end users, which often start during a clinician’s training.
🔬Product Complexity and Uniqueness
Healthcare products and service offerings are complex, specialised and often unique.
CHALLENGE: Assessing the value of such products, even with expert advice, can be difficult. In addition, market competition.
Advancements in healthcare happens virtually daily. How a health facility manages new technology plays a significant role in attracting and retaining clinicians.
CHALLENGE: Knowing which new technology to invest in, and when.
The quality of goods and services obviously has an impact on any business’ reputation, and this is magnified in the health care industry.
CHALLENGE: Separating the reputation from the product or service itself.
🏛 Government and Industry Standards
Health care standards and government regulations are under constant review in the health industry.
CHALLENGE: All purchases need to factor in current and future regulatory standards and obligations.
Here are some key insights to getting the balancing act right, in order to achieve sustainable and cost-effective health supply costs:
🩺Effective engagement with clinicians
Do not be afraid to share commercial information with your clinicians. How can we meet the financial challenges of health care if we do not share all the information with the key stakeholders?
Form genuine partnerships where challenges are shared and solutions with mutual benefits are pursued.
Health care providers need to learn from the health supply industry and consider adopting ethical influencing strategies with clinicians to counter the industry loyalty systems that diminish market competition.
🗺 Have a technology advancement road map (even if it is a living document)
Take more control on how technology is introduced into your health facility. Undertake short and sharp cost vs benefit analysis upfront, so you can make informed decisions. Fully engage with your clinicians in this process.
Never stop listening to the wants and needs of the receivers of your services.
If you would like to discuss any of the above further, please do not hesitate to make contact with our healthcare procurement specialists.