Healthcare providers are constantly looking for ways to reduce spending and increase efficiency in their practices to better serve their patients. One way for a gastroenterology (GI) practice to do this is by joining a Group Purchasing Organization (GPO).
What is a Group Purchasing Organization?
A Group Purchasing Organization is an entity that helps healthcare providers leverage their purchasing volume to negotiate discounts with distributors, manufacturers and other vendors. They basically help hospitals, nursing homes, surgery centers and clinics get products at the best value by negotiating contracts that they can use when making purchases.
GPOs have a positive impact beyond the reduced costs of individual products. In fact, the broader focus on systems and processes creates increased efficiencies and lower total costs—resulting in savings to providers, patients and the entire health care system.
GPOs have been bringing down provider costs for more than 100 years. According to the Healthcare Supply Chain Association, GPOs save the healthcare system up to $55 billion annually, while saving providers an average of 10 to 18 percent on product and services.
A GPO Focused on Independent Gastroenterology
Gastrologix is the only GPO focused only on independent GI practices. While many GI practices have relationships with GPOs, they tend to be large, national concerns that don’t really focus on entities that provide specialized care and non-acute care such as surgery centers and physician practices.
We heard from a lot of physicians that there wasn’t really anyone concentrating on the challenges faced by small or mid-sized independent GI practices from a GPO perspective. So, we created the only GI-specific GPO in the U.S. serving the needs of independent, community-based GI practices.
Gastrologix works with independent GI practices to identify the best products for their business and establish purchasing contracts with the best vendors. As a member of our GPO, a practice can negotiate with vendors for equipment, drugs, and supplies to get discounts normally available only to the biggest practices and hospitals.
As a group, GI practices can increase the volume of their overall purchasing demands. By increasing the forecast purchase volume, we can negotiate lower prices for goods or services compared to what might be negotiated by each individual GI practice.
Another way Gastrologix differs from national GPOs is that we provide value as a true partner, bringing more to the table than simply preferred pricing on goods and services.
We also act as a business development organization on behalf of our membership, working together to create programs that are focused on challenges that are specific to independent practices. We work with our members using a three-pronged approach:
- Lowering expenses by aggregating spending power for preferred pricing
- Finding new sources of revenue
- Creating member-owned assets that will grow in value over time
This includes helping GI practices find solutions for issues regarding data aggregation systems, real estate, insurance, human resources and many other components of running an independent practice.
How Can Gastrologix Help My Practice?
Are you the administrator of a small-to-medium sized gastroenterology practice? Do you spend too much time on the phone with vendors and suppliers trying to get deals on equipment and supplies for your clinic? Or do you just wish you had more time to spend growing your practice instead of worrying about the cost of endoscopy equipment?
Gastrologix partners with the best names in the industry. Your practice can benefit from the relationships we have with vendors. For example, we have developed a one-stop-shop program for endoscopy center needs by contracting with companies providing medical and surgical supplies, capital equipment and other items and services.
Our mission is to save you money and to make your practice more efficient, so that you can do what you do best: Grow your practice and let your doctors treat patients. Contact us today to learn how Gastrologix can help you.