IRVING, Texas, Dec. 14 /PRNewswire/ -- VHA Inc., a national health care
alliance, announced today that hospitals in Pennsylvania saved more than
$101.8 million in 2004 through its supply chain services and group purchasing
programs, and the hospitals are on track to exceed that savings figure in
2005. Seventy-three Pennsylvania hospitals purchased more than $1.2 billion
in health care supplies in 2004 through Novation, VHA's group purchasing
Abington Memorial Hospital in Montgomery County saved more than $7.2
million in 2004 through VHA and Novation, including $2.4 million when VHA
helped Abington develop a new process for engaging physicians and negotiating
better prices on sophisticated and expensive medical devices.
"Finding and buying the best drugs, supplies and medical devices at the
best possible prices takes an enormous amount of time and requires significant
input from purchasing and clinical staff members." says Richard Montalbano,
vice president at Abington Memorial. "Working with VHA and Novation allows us
to work with our doctors to identify cost saving opportunities that also
improve the quality of care and patient satisfaction."
Other health care providers that are part of the VHA alliance in
Pennsylvania include: Altoona Hospital, Butler Health System, Crozer-Keystone
Health System, Hamot Medical Center, Holy Redeemer Health System, Lehigh
Valley Hospital & Health Network, St. Clair Memorial Hospital, Temple
University Health System, University of Pennsylvania Health System and
WellSpan Health. Each hospital voluntarily participates in VHA programs that
help them save money on the best drugs, supplies, services and medical devices
for their patients.
GPOs serve as extensions of hospital purchasing offices, providing special
expertise, negotiating experience, electronic tools and processes to
streamline buying and save hospitals hundreds of millions of dollars each
year. Hospitals buying through Novation save an average of three to six
percent per year on supplies. The savings fall immediately to a hospital's
bottom line and make resources available for other uses.
"Hospitals have never been under so much pressure to provide unlimited
care on limited budgets," said Jerry Miller, president and chief executive
officer at Springfield-based Crozer-Keystone Health System, which saved
millions on supplies in 2004 working with VHA. "That's why it's crucial that
we find ways to operate as efficiently as possible, and the savings we
realized are real, and other hospitals and health care systems in Pennsylvania
are benefiting from VHA's services, too."
"We've been a broad-based supporter of VHA because we benefit from its
clinical collaboratives and from its supply chain program," said Steven P.
Johnson, president and CEO of Susquehanna Health System in Williamsport, Pa.,
which will save more than $650,000 this year through VHA's supply chain
management programs. "VHA helps us effectively apply strategies that are
being used in other health care organizations to our organization, and VHA
makes it easier for us to learn about and implement best practices."
In addition to working with hospitals in the state, VHA and Novation have
contracts with Pennsylvania suppliers, including: Aesculap Inc., CardiacAssist
Inc., Draeger Medical Inc., InterMetro Industries Inc., Jefferson Medical &
Imaging Inc., Medrad Inc., Molnlycke Health Care Inc., Respironics Inc. and
Teva Pharmaceuticals Industries Ltd. These contracts span a wide range of
products: cardiac devices, wound care products, oral care products and office
products. Through Novation, suppliers are able to promote new and emerging
technologies to the health care marketplace.
VHA Inc., based in Irving, Texas, is a national alliance that provides
industry-leading supply chain management services and supports the formation
of regional and national networks to help members improve their clinical and
economic performance. With 18 offices across the U.S., VHA has a track record
of proven results in serving more than 2,400 health care organizations
CONTACT: Lynn Gentry of VHA Inc., +1-972-830-0798, or email@example.com.
SOURCE VHA Inc.