The Business of Surgery

Average Hospital Spending $11 Million Annually On Supply Chain Waste

October 24, 2018 / Cost Reduction, Hospital Finance, Hospital Management, Operational Efficiency, Supply Chain, The Business of Surgery /

A recent study from Navigant Consulting concluded that hospitals across the US are wasting an aggregate of $25.4 billion annually in their supply chain, or $11 million per hospital. The amount of waste is up 10.2% from 2017. With hospitals increasingly focused on eliminating waste from their operations to increase profitability, the supply chain is […]

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Hoarding In The OR Is Costing Your Hospital Real Money

October 17, 2018 / Cost Reduction, Hospital Finance, Hospital Management, Operating Rooms, Operational Efficiency, Supply Chain, The Business of Surgery /

The hospital supply chain is increasingly being looked at as a way for hospitals to eliminate unnecessary spend. As hospitals continue on their journey from volume to value, the profit per procedure needs to improve in order for hospitals to remain profitable. As the place where most hospitals make and spend 50% of their dollars,

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US Hospitals Suffer Profit Drop For Second Straight Year

September 27, 2018 / Cost Reduction, Hospital Finance, Hospital Management, Supply Chain, The Business of Surgery /

A recent press release from Fitch Ratings noted that not-for-profit hospital operating margins fell for the second straight year. The median operating margin in the not-for-profit hospital space was 1.9% in 2017, down from 2.6% in 2016. Even though balance sheets strengthened for the not-for-profit hospital sector in 2017, the drop in operating margins from

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The Dangerous Trend Of Hospital Costs Outpacing Revenue Growth Rates

September 20, 2018 / Cost Reduction, Hospital Finance, Hospital Management, Operational Efficiency, Supply Chain, The Business of Surgery /

A recent research report from Moody’s Investors Service noted that not-for-profit hospital revenue growth rate have been increasing at a slower rate than expenses, leading to shrinking profitability margins. While there has been a slowdown in the growth rate of costs at not-for-profit hospitals, the reduction in the revenue growth rate was even faster in

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New Research Concludes Academic Medical Centers Trail Community Hospitals In Cost And Quality Measures

August 30, 2018 / Cost Reduction, Hospital Finance, Hospital Management, Operational Efficiency, Supply Chain, The Business of Surgery /

Academic medical centers (AMCs) play a prominent role in America’s healthcare system. They provide a disproportionate share of charity care, medical research and medical education when compared to non-academic medical centers. It has been assumed for a long time that AMCs also provide higher quality care than comparable non-academic medical centers, however there has been

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The Key Inventory Management Metric For Hospitals To Track

October 7, 2021 / Cath Lab, Cost Reduction, Hospital Finance, Hospital Management, Operating Rooms, Operational Efficiency, Radiology, Supply Chain, The Business of Surgery, Tissue Management /

As hospital executives look for new opportunities to reduce costs in an era when value is taking over for volume, the supply chain is increasingly coming in to focus. For too long, hospital supply chains – more specifically the procedures for managing surgical implants and supplies that make up a large share of supply costs

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How A Periodic Update Of Your PAR Levels Can Save Your Hospital Millions

October 5, 2021 / Cath Lab, Cost Reduction, Hospital Finance, Hospital Management, Operating Rooms, Operational Efficiency, Radiology, Supply Chain, The Business of Surgery /

PAR levels (or periodic automatic replenishment levels) have been used in industry for decades to help businesses of all kinds keep just the right amount of inventory on hand without suffering from excess. Many hospitals solely rely on “gut feel” in order to understand how many items of each product type they should keep on

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How To Turn Supply Chain Waste Into A Revenue Opportunity

August 9, 2018 / Cost Reduction, Hospital Finance, Hospital Management, Supply Chain, The Business of Surgery /

The healthcare supply chain is increasingly being looked at as a new frontier in hospital cost containment. With the supply chain making up the 2nd largest expense category for healthcare providers, there is ample opportunity to drive costs out of the supply chain to boost profitability at hospitals. What if there was a way to

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Hospital Inventory Management In A Data-Driven World

October 12, 2021 / Big Data, Cost Reduction, Hospital Finance, Hospital Management, Operational Efficiency, Supply Chain, The Business of Surgery /

As hospitals grapple with increasing costs and declining reimbursements, reducing expenses has become an important tool for hospital CFOs to use to improve profitability. This contrasts greatly with hospital strategies from a decade ago that relied solely on increasing revenues to increase profitability. Key areas that hospitals have been focusing on are their labor and

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UDI One Step Closer To Reality

July 18, 2018 / Big Data, Cath Lab, Clinical Documentation, Hospital Finance, Hospital IT, Hospital Management, Operating Rooms, Operational Efficiency, Patient Safety, Radiology, Regulatory Compliance, Revenue Cycle, Supply Chain, The Business of Surgery, Tissue Management /

The United States Food & Drug Administration (FDA) and its European equivalents are currently conducting a real-world pilot aimed at bringing unique device identifiers (UDIs) one step closer to reality. UDIs have been a long-term dream for many in healthcare, who view the ability to track and trace medical devices using unique item-level codes as

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