Intalere Member Best Practice Spotlight-Woodlawn Hospital Cost Reduction on Orthopedic Implants

ISSUE

Woodlawn Hospital was incurring a cost increase on orthopedic implants every year while their reimbursement remained the same. The facility needed to find a way to reduce their cost of implants.

SOLUTION

Woodlawn tried to negotiate directly with their supplier and to also “piggy back” onto a contract with another local hospital. While the supplier would not allow the facility to be added to the other hospital’s contract, they did offer a 10% reduction on their own contract. Although this was a savings, Woodlawn felt that too much money was still left on the table. Woodlawn’s Intalere representative introduced the facility to the Intalere Clinical Advantage Program (ICAP), which offers a proven strategy for reducing costs of physician preference items. After meeting with the ICAP representative, Woodlawn determined that this program was the solution to their issue.

OUTCOME

With the help of ICAP, Woodlawn Hospital was able to reduce costs for orthopedic implants by 24%. The Materials Management department monitors the invoices with new current pricing and if a discrepancy occurs, the invoice is held. To date, pricing has been correct.

ABOUT WOODLAWN HOSPITAL

Woodlawn Hospital is a 25-bed critical access hospital located on 33 wooded acres in Rochester, Ind. Along with the hospital it has five different outreach clinics.

View the Woodlawn Hospital page in the 2017 Intalere Best Practices Compendium.

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