Colorado hospital selects VHA Price Benchmarking serviceSeptember 10, 2010 | Industry News Release
Longmont United Hospital in Longmont, Colo., has selected VHA Inc.'s industry-leading price benchmarking service, VHA PriceLYNX to help with the hospital's plans to save millions of dollars in supply expenses over the next 12 months.
By using VHA PriceLYNX, Materials Management at Longmont United Hospital hopes to be better positioned to negotiate with vendors, educate senior management and collaborate with clinical staff on cost reduction strategies. As part of the benchmarking service, Longmont will receive ongoing analysis of its supply spending and access to a supply chain advisor who will work with employees at the 201-bed hospital to identify and prioritize opportunities.
"This relationship with VHA represents a cost-reduction strategy rooted in analytics and data," commented Tim Ingram, director, Materials Management, Longmont United Hospital. "With VHA PriceLYNX we can compare our performance against nearly 1,000 other acute care facilities. It allows us to identify opportunities to save now and to sustain cost reductions long term. We've never had anything that showed us this kind of clarity before."
Ingram indicated that negotiating a high volume of contracts and pricing on a daily basis can be very challenging.
"VHA PriceLYNX allows us to compare ourselves to what other hospitals are paying. Now we can accurately benchmark prices and stay on top of market trends. Furthermore, I believe VHA PriceLYNX will help answer the question on where the greatest savings opportunities lie. With this robust service, we can now pinpoint exactly where we should focus our efforts," continued Ingram.
"Since launching last year, VHA PriceLYNX has established a benchmark of its own in the industry," says Justin Hibbs, senior director, Analytics Strategy and Marketing for VHA. "Cost reduction remains a constant focus in health care and more hospitals see VHA PriceLYNX as an ally in their efforts."
VHA PriceLYNX is just one component of VHA SupplyLYNX, VHA's robust suite of analytical solutions that help hospitals cut costs and improve supply chain management. This powerful array of products and services includes: VHA DataLYNX, VHA Physician PreferenceLYNX, the contract catalog, plus supplemental services that further improve members' cost saving opportunities such as spend analysis, services analysis and pharmacy analysis.