The newest version of the Premier healthcare alliance’s widely adopted SpendAdvisor spend management decision support tool can identify and measure the drivers of supply cost, and a new tier analyzer report will measure performance of all contracts against tier requirements.
“It has been said that some things continue to get better with age. This has definitely proven to be true with Premier’s newest MySpend release,” said Norton Healthcare Contract Administrator Rebecca L. Williams. Norton Healthcare is the Louisville area’s leading hospital and healthcare system including four large hospitals, 10 immediate care centers, and some 50 other service locations.
“With a few clicks of my mouse, I can now produce reports that get to the heart of what is driving changes in Norton Healthcare’s supply chain,” Williams continued. “What used to be a very tedious process to determine if increased costs were being driven by purchasing volume, product mix, or pricing can now be produced in a few minutes.
“The ability to, at a quick glance, look into a category of products, down to the transaction level, is nothing short of amazing. In my opinion,” Williams said, “My Spend is the most user friendly software available in the market today. The ability to run accurate reports, with ease, has provided Norton with quick results. The savings we achieved during the first month paid for the program and continue to strengthen Norton’s bottom line with each passing month. MySpend is a must have for materials management.”
Premier Group Vice President Marla Weigert said, “This release represents a powerful mix of new functionality as well as improvements to existing reports.” Changes are based on member feedback as well as advancements in Premier’s data and technology supporting the SpendAdvisor platform.
A new series of “Change in Supply Cost” reports provide a broad view of major drivers of changes in total spend in a single facility or across a group of facilities. The new version is already available to users of SpendAdvisor.
Weigert said the version identifies root causes of supply chain expenses by leading member users through an analysis that focuses on changes that have the greatest bottom line impact. “With it, members can analyze whether changes are the result of pricing, volume or product mix, helping them not only understand recent and historical changes and patterns but also target key adjustments that will result in optimal savings.”
The new release also includes improvements that strengthen the SpendAdvisor tier qualification logic released in November. The reports now provide additional information making them even more actionable. A new view assesses contract performance measured against tier requirements on any contract in the portfolio.
Additional improvements include UNSPSC classification codes and descriptions added to the custom report builder module and new benchmarking reports for products that haven’t yet been purchased but are being considered, as well as other report and usability improvements.
More than 110 integrated delivery networks representing more than 630 facilities and approximately $8 billion in spend have installed or committed to the MySpend module of SpendAdvisor. Hospitals and healthcare systems using SpendAdvisor are experiencing better contracts with savings of between 4 percent and 8 percent on average.
“One of Premier’s primary roles is to bring cutting-edge technology solutions to systemic problems that inhibit the efficient and cost-effective delivery of healthcare to the communities our members serve,” Weigert said. “We will continue to enhance SpendAdvisor and deliver on our promise to unlock the improvement potential of our spend analytics tools for our members.”
About Premier Inc., 2006 Malcolm Baldrige National Quality Award recipient
Serving more than 2,000 U.S. hospitals and 53,000-plus other healthcare sites, the Premier healthcare alliance and its members are transforming healthcare together. Owned by not-for-profit hospitals, Premier operates one of the leading healthcare purchasing networks and the nation’s most comprehensive repository of hospital clinical and financial information. A subsidiary operates one of the nation’s largest policy-holder owned, hospital professional liability risk-retention groups. A world leader in helping healthcare providers deliver dramatic improvements in care, Premier is working with the United Kingdom’s National Health Service North West and the Centers for Medicare & Medicaid Services to improve hospital performance. Headquartered in San Diego, Premier has offices in Charlotte, N.C., Philadelphia and Washington. For more information, visit www.premierinc.com.