The Role of a GPO in the Procurement Process for Medical Equipments
Ever wondered if you could minimize your total investment cost while purchasing the ideal volume of medical supplies at discounted rates? That’s what GPO or Healthcare Group Purchasing Organizations work to achieve for you.
Around the world, GPOs are comprised of medical suppliers, medical professionals, hospitals, clinics, institutions, etc. For example, if you’re a healthcare provider looking for medical items supplier in Dubai, becoming a member of a GPO like Bridge Medical Group Purchasing could be extremely beneficial to you.
Understanding The Job Profile
Fundamentally, GPOs negotiate contracts between suppliers, manufacturers, distributors, and buyers. The main emphasis is on patient care while making sure both sides end up in profit.
GPOs strive to empower hospitals and care centers, moulding their approach towards aspects like risk-based payments. During outbreaks such as the recent pandemic, they become a treasure of resources.
As they work to balance price disparities in the market, they possess a thorough understanding of the differences in the products within the market. This helps chalk out the best cost-effective strategies for the buyers associated with them.
It all narrows down to how skyrocketing expenses existing within healthcare are generously cut down by the GPO process of procuring. Let’s dive into a few ways where they play an essential role in obtaining medical equipment.
Procuring The Right Rates with The Best Deals
The main mission GPOs hold close to their heart is acquiring the best contracts and bargaining deals for medical equipment. They are the substitute of medical providers in the healthcare markets, after all.
Who enjoys the benefits showered by these transactions? From nursing homes to doctor practices, from hospitals to ambulance care facilities and even residence health companies get the opportunity.
Usually, the GPOs are headed by provider members. However, these leaders never grab rights or establish ownership over the equipment.
Their focus is instead on enhancing effectiveness and productivity within the medical world. As a way of standing out and being authentic, many GPOs also loan supplementary assistance to healthcare institutes.
For instance, take the case of running data analytics. This not only helps bring down costs but also nurtures operations. Your team will gain visibility of the right savings helping them always stay on top of their game.
Aiding Patients and Healthcare Providers Save Funds
Through two techniques, the prices of supplies are reduced:
- The first is carrying out inexpensive transaction charges in a bulk.
- Second is by conducting collective negotiations that cleverly bring down the overall expense of medical equipment.
On the face of it, it may seem that the procurement process is simple, but it comes wrapped in complications.
Picture this, thousands of medical items suppliers in Dubai are selling innumerable pharmaceutical medical equipment to their target audience. Many kinds of research have, thus, been indulged in to figure out the difference between purchasing as a stand-alone consumer in the UAE or employing GPOs such as BMGP to help out.
Data shows that the latter solution actually helps hit economical rates and leads to massive cost savings. A whopping 10-18% saving is accomplished versus what bargained rates would have got if tried solitarily.
This in turn is beneficial for patients as they then get asked lesser rates to pay. It also helps reduce inventory holding which in turn positively affects the cash flow.
Moreover, BMGP guides you on how to leverage leading supply chain practices in efficient ways. This implies operating successes for your business which in turn reduce the OPEX by 20% and more.
Just another way of boosting your profitability with the GPO process.
Staying Ahead of The Competitive Acquisition Market
If we glance at the GPO process of acquiring within the market, it’s quite competitive and unconcentrated to a large extent. As a health provider, you can give robust incentives for your GPO to strike deals with lower prices.
A GPO like BMGP works closely with medical equipment companies in Dubai on national, local, and even regional level. Due to the number of players in the market, healthcare providers benefit from the competitive prices offered in favour of them.
The hard part of negotiation is already done for you, with the vendors eliminated from the scene. What’s left for you to do?
Simply lead your procurement team toward picking the best items based on needs and savings. Through aggregated purchase volumes, valuable contracts integrated with market pricing are easily gained by GPOs.
So, experience a surge of favorable prices when you sign up with a GPO for procuring medical equipment. Bring in new, innovative machines to your inventory which in general might have been side stepped or difficult for you to acquire.
Leave behind worries of quality and time wastage in examining the right deals or products. If you’re in the UAE, your GPO is already on the scene, hunting the best deals from medical equipment companies in Dubai to fit your needs.
Since the acquiring is balanced, even during harsh times like a supply scare or a pandemic, you won’t find yourself lost in the sea.
Before we sign off, there’s something quite interesting happening in the GPOs realm. Specialized or regionalized bifurcations have led to even more targeted sourcing, focusing only on particular divisions.
Hence, the push in efficiency.
So, why not leave the ideal purchasing, re-ordering, genuine pricing and so on in the trustable hands of your GPOs?
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