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Analytics and Reporting

Metrics to Maximize Success

The adage to measure what you treasure is critically true for supply chain management. Often times, community hospitals fall short monitoring GPO compliance and other important supply chain metrics due to a lack of technology and human resources.

CHC Supply Trust can step in to fill the void with spend analytics and the reporting you need to keep supply purchasing, monitoring and compliance on track. Analyzing product spend and utilization helps identify areas for improved efficiencies and ensures compliance.

For example, our compliance reporting flags purchase orders that do not match a contracted item. This delays the order until proper documentation is received, motivating staff to ensure that purchase orders are completed correctly.

In our experience, hospitals that use CHC Supply Trust for supply chain analytics and reporting can document more savings than clients opting for the GPO-only option.

Why Compliance Matters

Compliance results in savings, so we monitor contract compliance and help hospitals maintain a compliance standard of 85 percent.


  • Insight. Gain an understanding of market trends and perceptions of the hospital, which are helpful in mapping out a future strategy.
  • Preparation. Predict the impact of demographics and competitive forces on the hospital’s current and projected performance.
  • Information. Create accurate growth projections based on the analysis of patient data, demographics, market trends and competitor strategies.
  • Resources. Although standalone community hospitals lack the resources to engage in big data analysis on their own, in partnership with CHC Supply Trust, smaller hospitals are leveraging sophisticated analysis for supply chain optimization.
  • Savings. The typical savings achieved by switching from a non-contracted product to a contracted product is 15 to 25 percent across all categories of supplies.
  • Compliance. Measuring procurement of contracted products and aiming for 90 percent compliance bring significant cost savings.
  • Support. Data analysis can also help win clinician support for product standardization and other supply chain initiatives. For example, a dashboard with product usage data by clinician, procedure and patient outcome can show clinicians the value of product standardization on efficiency and cost reduction, all while improving patient care.


Health Supply Chain Management Optimization Is Key for Reducing Costs

Supply costs are one of the fastest-growing cost centers for hospitals. Yet 18% track no supply chain metrics at all, according to a recent industry survey. As health supply chain management expenses surpass labor costs for most hospitals, optimization becomes more important than ever. These spiraling expenses tend to hit community-based hospitals hard because many don’t wield enough purchasing power to command preferred pricing. Other hospitals, though larger or part of a health system, face unique health supply chain management challenges and concerns despite their greater purchasing power.

Holding the...

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A Strategic Approach 

The supply chain continues to be a main focus of community hospital cost-reduction efforts. Moving forward, however, hospitals are making strategic and data-driven supply chain changes to bring about more effective care delivery. Gone are the days of relegating supply chain to a cost-reduction target. 

Data-driven Supply Chain Efficiencies

On behalf of hospital clients, CHC Supply Trust uses third-party platforms including Healthcare IQ and Valify to analyze product spend and utilization and to identify areas for improved efficiencies and compliance. Ongoing data analysis brings transparency to the procurement process. 

The goal is cost reduction and improvement in patient care delivery and outcomes — an objective that raises the stature of the supply chain to hospital operations.


4 Best Practices for Hospital Supply Chain Management

Hospital supply chain management has become a red-hot buzzword these days in the medical field, and its importance seems to be growing exponentially every few months. Most hospitals are faced with very tight budgets, and that means that in addition to being as cost-effective in every area as possible, that many hospitals are forced to take a hard look at cost-cutting measures throughout their organizations.

The supply chain has come under increasing scrutiny for this very reason, because it is ripe for generating savings in a number of areas, and...

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