CME Insider's Blog Posts

The Affordable Care Act, sometimes referred to as Obamacare, includes many stipulations.  One of these is to create a change in the way the federal government pays for healthcare services provided to patients on Medicare.  

Specifically, the change is to move away from a quantity-based payment system to a quality-based system.  Another way it is described, is the process of moving away from a volume-based, to a value-based, system of purchasing services for the Medicare patients.  

Quite literally, it is referred to as the Hospital Value-Based Purchasing program, which has three objectives: 

In designing the workflow of exam/treatment areas, the patient’s safety and comfort are top considerations. Additionally, easily accessing electronic health records (EHR) and diagnostic equipment will help with the efficiency of each visit, ultimately creating a better experience for the patient.

With most healthcare organizations spending as much as 38% of their budget on supply chain activities, effective supply chain management is an absolute must in the healthcare industry.  Supply chain activities are the second largest and fastest growing expense for medical facilities, second only to labor costs.  Effective supply chain management is thus an extremely important added value to any healthcare organization's overall operations.

*This blog includes excerpts from a Midmark white-paper.

The series of recently enacted significant legislative changes to America's healthcare delivery system have made one thing abundantly clear; patient-centered policies and initiatives are now front and center when it comes to what healthcare providers need to focus on.

Taking a fresh look at physician office design has also found a spot on the agenda as both administrators and clinical staff begin to re-evaluate the impact of every point of contact on patient outcomes and satisfaction. What has emerged from this is a fundamental change in the interaction between healthcare providers and patients that is transforming the industry.

Medical equipment procurement is a critical factor in ensuring that the process of opening, moving, or even upgrading a medical facility is handled in a manner that both lets the doors open when planned, and delivers the level of service promised right from the start.

"Industry best."

"Best practices.”

“Best in class.”

Here’s another often-cited quote:  “You can’t argue with success.”  If you want to be a high achiever and successful within your own organization, Bob Engel, C.P.M., says to look to the processes and practices used by the most successful industry leaders.  He says, “In today's economic environment, doing what you've always done—even if you do it very well—is no longer acceptable.  Under pressure to contain costs and produce results despite challenging circumstances, you (and many other supply chain managers) must transform rather than simply improve your operation.”

With the new focus of the Affordable Care Act, hospitals are under increasing pressure to reduce costs while increasing the quality of care they provide and patient satisfaction.  This means that even medical equipment procurement has to be as efficient as possible to help keep overall hospital costs down.  So how do you uncover hidden costs and ensure you know what you're paying for?

Purchasing medical equipment in the current regulatory and financial landscape means that capital expenditures need to be thought through and executed carefully. Purchases that were once routine now have to be reviewed up the chain - sometimes all the way to the CEO or CFO.

As you purchase and plan equipment for your facilities, you probably visualize when, where and how various devices are most used. When it comes to patient intake, chances are good the first step in the process is fairly constant: taking vital signs. These important indicators are critical to properly triaging, diagnosing and treating each unique patient according to his or her specific need.