We’re often asked about the essence of VIE Healthcare and what we achieve for clients.
That is, more specifically, what’s the focus of our business and how can we help our clients create great results?
As an overview, we work with hospitals to identify and implement operational efficiencies to drive down costs and improve patient satisfaction. We do this in a number of ways. We look at non-labor costs, we ensure the best pricing, and also the best contract development.
We put measurements in place to ensure that the pricing mechanisms that we achieve are sustainable. We also look at the hospital and the health system’s profitability across multiple platforms.
Essentially, we take strategic steps to reduce non-labor expenses, optimize revenue, performance and hospital processes.
An example of this is looking at variation and the variability that exists between hospitals in just pricing alone.
When we look at variability between pricing, waste, and utilization, it represents a tremendous opportunity for your organization. Quantitatively, studies show that this opportunity is approximately $1,200 per discharge. What could this one opportunity mean for your hospital?
There are three primary areas where we achieve great results for clients.
1. Purchased Services Expense Reduction
Purchased services is a very difficult area for hospitals to get their arms around. Typically they’re in disparate locations, they are non-PO driven, and have a difficult time achieving real-time insights to those costs. There are often poor price benchmarks in the marketplace as well. Our strategies help achieve between a 20%-37% reduction in our client’s purchased services spend.
2. Operating Room Opportunities
The second area that we achieve great results for our clients is in the OR. And, our clients typically save between 10%-30% in their pricing spend, waste minimization, and also in their inventory and consignment utilization.
3. Mapping Costs and Spend to Reimbursement
The third primary area is in mapping costs and spend to reimbursement. The conversations today are mapping to Medicare margins. We’ve been on the forefront of that discussion for years, looking at every single possibility that a hospital can map their costs to reimbursement. And, so, mapping to the margin is what hospitals and thought leaders are talking about. And, we are still on the forefront of looking at and optimizing managing costs to managed care.
They’re seeking new and innovative ways to reduce costs and improve processes. Often, the biggest distinguishing factor between hospitals that are on the forefront of profitability, and on the forefront of delivering great patient quality care, are simply those that aspire to be.
What’s one area of your organization you are trying to improve? Let us know in the comments!