Boston Children’s Hospital announced a new partnership with healthcare improvement company Premier as a step in streamlining management of its supply chain.
As part of a multiyear agreement, Boston Children's will have access to Premier’s group purchasing organization and supply chain analytics, known as PremierConnect. But specifically at the pediatric facility, Premier will also embed experts onsite at the hospital to aid in the design and implementation of a new supply chain management and care delivery efficiency strategy.
Ultimately, Premier aims to implement a financial strategy that supports Boston Children’s healthcare delivery system of the future, officials said.
“Today’s healthcare environment calls for a business model that is focused on building healthier communities and better outcomes,” Andrew Singer, senior director of supply chain management at Boston Children’s, said in a statement. "We believe that Premier has the expertise and insights to help us evaluate and redefine our supply spend."
Premier has a data-driven approach to margin improvement, said Premier Senior Vice President of Supply Chain David Hargraves. On average, he said, the company can pinpoint $76 million in margin improvement opportunities per health system.
“We also understand that payment cuts and policies like site-neutral and value-based payments will continue to grow and spread, making cost savings, care delivery efficiencies and the creation of new revenue lines keys to success,” Hargraves told FierceHealthcare.
In late 2018, Premier announced its intentions to acquire health tech company Stanson Health in a $51.5 million deal. Stanson, a software-as-a-service company, provides clinical decision support tools that health systems can integrate directly into their electronic health records.
In addition, Premier has more than 50 pediatric partners, giving hospitals access to a strong peer network.
“We bring pediatric hospital leaders together to listen and learn from one another's successes and challenges, back best practices with data and scale innovation to accelerate industry improvement,” Hargraves said.
Financial terms of the deal were not disclosed.