While group purchasing organizations (GPOs) are used to access national contracts, they are merely the starting point. There is additional opportunity to increase savings and purchasing efficiencies through a stronger, more committed regional alliance. This is especially true for mid-sized, stand-alone hospitals. Market consolidation and large, mega health systems have become the primary focus of suppliers and national GPOs. To compete in the consolidated market, many mid-size, stand-alone organizations are collaborating with others like them through RPCs to aggregate volume and increase their competitiveness in the marketplace.
TPC is a leading coalition that has built a distinct regional model based on collective participation and high commitment that has proven successful. TPC has demonstrated steady savings for over 10 years, while also increasing overall value for Members. The financial benefit is typically the leading story, but TPC is so much more.
As stated by Jeremy Walker, Chief Financial Officer at Hendrick Health System, “When you bring stand-alone hospitals together, you're able to collaborate on so many levels beyond supply costs. Through our strong network, I can candidly discuss common challenges with my peers from other Member organizations – functioning more as a system would. Together, we review best practices for clinical protocols, revenue cycle and pharmacy drug use, among others. It’s a benefit that goes way beyond what a GPO would ever do for us as an organization. As a stand-alone hospital, I do not have access to a peer group like I have with TPC.”
TPC brings the power of a system, without merging assets. Through the TPC network, Member hospitals aggregate spend and competitively go to market together. But, unlike a system, there are no corporate mandates. TPC Members use a facilitated, democratic approach to reach a committed, consensus-driven decision. Each Member has a voice and a vote. Our entire process is a collaborative effort led by our Members to achieve superior results.
“Just because we are a stand-alone, community based hospital doesn't mean that we can't be competitive. Through TPC, we have access to a variety of vendor relationships and we negotiate competitive pricing on products and services. And that makes our services more affordable to our community. You don't have to be part of a big system to achieve big system results. Our collaborative business model does that for us. TPC helps us remain competitive and independent, and allows us to be a community-based asset in our market," commented Walker.
TPC works with you, so you can better serve the patients in your community. It’s what Stronger Together, Superior Results is all about.
Contact us to learn more about how TPC can be a partner for your organization.