One of the biggest difficulties healthcare purchased services professionals face is trying to negotiate more favorable vendor contracts for their hospital or health system. With hundreds of vendors spread across numerous departments and facilities, it is nearly impossible — without the right data analytics platform — to have enough time and information to build a persuasive case.
Valify puts the negotiating advantage firmly on the hospital’s side through timely, accurate and powerful data and analytics. To show you how, here are the top 3 challenges we hear from purchased services professionals and how Valify solves them.
- “I can’t see how much I’m spending.”
The most immediate advantage Valify gives hospitals is the ability to visualize at least 95 percent of their purchased services spending. Until implementing Valify, most of our clients did not have an accurate understanding of spending because they had been using highly manual data reporting tools that only gave them partial visibility of their data that was also quickly outdated, leaving the purchased services team back at square one every time refreshed data was needed. Valify automatically delivers real-time spending data into more than 1,200 vendor categories. Valify breaks down the data by first grouping the vendors together into seven service lines and provides multiple tools to drill down into the data to the granular level of each transaction.
- “I don’t know if I’m getting a good deal from my vendor.”
Once hospitals review vendor contracts, it’s usually difficult to accurately judge if their rates are competitive in the market due to regional and utilization differences. Usually, confirming the rates involves conferring with other colleagues in the industry which can be time-consuming or paying an expensive consultant. With Valify, hospitals have an instant, unbiased, and comprehensive benchmarking database of more than $132 billion in purchased services spending across hundreds of comparable healthcare organizations. With that type of industry knowledge, Valify users have more leverage during vendor negotiations. Additionally, if hospitals discover they are paying more than the market rate for a vendor, they can also consider negotiating premium services or other perks to make up for the lost savings.
- “Holding vendors accountable is impossible.”
Once a competitive vendor agreement is secured, Valify helps hospitals create savings projects so the hospital can easily monitor a savings initiative and see in seconds if a vendor is abiding by the terms of their agreement. If spending is higher than expected, the user gets an automatic notification and can then take steps to determine if the cause is overutilization or if other operational workflows need to be corrected. Valify helps organizations hold vendors accountable to their contracts. If unexpected spending occurs, organizations can quickly get back on track without losing savings.
With the evidence and insight that Valify delivers, professionals now have more leverage during vendor negotiations than ever before. The result is millions of dollars of potential purchased services savings and more efficient and standardized hospital operations.
To learn more about how Valify can help uncover hidden savings in purchased services, schedule a demo today.