Sourcing Results on Savings for the Healthcare Industry

Welcome to the September edition of Sourcing Results, Insight Sourcing Group's monthly newsletter covering recent news and trends in the procurement industry. This month, we are spotlighting healthcare-related opportunities.

A Roadmap to Implementing Telehealth

Since 2019, the U.S. telehealth market has surged by over $22 billion, fueled by factors like the pandemic, an aging population, and patient preferences. Yet obstacles continue to make telehealth challenging to implement within the patient care models of hospitals, doctors’ offices, and various clinics.

In a recent?article?featured in the Future of Work section of USA Today,?Terry Wheat, Senior Manager of Insight Sourcing Group’s healthcare practice, discusses how telehealth is not only popular among patients, but also improves clinical outcomes, helps providers contend with healthcare workforce shortages and reduces costs.

Wheat points to the paradigm shifts in the American workplace as another catalyst for adapting to telemedicine: “As we usher in a new normal with remote and hybrid workforces, the employee benefit package is expected to include ease of access to healthcare in many modalities and geographic locations — making telehealth a must-have benefit.”

He shares how Insight Sourcing Group helps healthcare systems uncover savings to fund telehealth implementations, empowering them to take full advantage of a transformative approach to care delivery.

In addition, Terry’s latest executive advisory, “Procurement’s Roadmap to Successful Telehealth Implementation” provides a step-by-step telehealth implementation guide for health systems, insurers and employee group benefits programs. It explores telehealth market trends, opportunities, and strategic recommendations that can successfully reduce overall costs, while maintaining high quality of care and patient satisfaction

Thinking Ahead about PBM Evaluation

As open enrollment season comes around again, employers will soon be hearing the extent to which employees are satisfied, or dissatisfied, with their benefits packages. Depending on their feedback, and organizational needs, it might make sense for them to consider re-evaluating pharmacy benefits management (PBM) early in the New Year.?

According to Insight Sourcing Vice President,?Sarah Edwards, organizations that take a more holistic approach to evaluating and selecting PBM partners, rather than relying solely on brokers, can achieve a 10% to 20% savings on PBM costs.

In two recent?case studies highlighted in their executive advisory, you can read more about Insight Sourcing saving two clients more than $1M and $2M annually, respectively, through PBM sourcing.??

Additional information is available in our advisory, “Sourcing Pharmacy Benefits Management.”

A New Normal for the Healthcare Industry

The pandemic and its aftermath significantly changed healthcare, and with it, the landscape of healthcare procurement. As the industry continues to reshape itself, Insight Sourcing Group expert?Terry Wheat?discusses lingering factors contributing to instability within healthcare organizations, and how to respond to them:

• Supply chain shortages: Wheat advises that healthcare facilities plan for shortages by forging strong relationships with preferred, secondary, and tertiary suppliers for critical items, and devise alternative routes to bypass potential disruptions to the supply chain.?
• M&A activity: As consolidations continue, healthcare companies undergoing mergers or acquisitions can leverage their newfound scale to increase procurement optimization, with the goal of achieving higher rebates, lower markups and improved overall profitability.?
• Increased demand for telehealth and telemedicine: Healthcare facilities that embrace telehealth can reduce the costs and risks associated with in-person care, while expanding access to patients in remote locations, and contending with healthcare workforce shortages.

Learn more about market trends in the healthcare space by reading our?article in SupplyChainBrain.?

ICYMI: Read the August Edition of Sourcing Results

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