A collaborative effort between Anne Arundel Medical Center (AAMC) and GHX to drive supply chain savings through greater process efficiency and contract compliance has been chosen by Supply &Demand Chain Executive as one of its 2013 100 Great Supply Chain Projects. The award program honors supply chain solution and service providers that are helping their customers achieve supply chain excellence and prepare for the post-recessionary return to growth.
AAMC is dedicated to providing efficient, responsible and affordable care but its supply chain presented roadblocks in this effort. With paper-based contracts and manual price updates, it was difficult to tie items being ordered to contracts/agreements and maintain accurate pricing. Most of its business transactions were via fax, and it had inconsistent processes for purchasing, which caused invoice discrepancies and delays.
In 2012, AAMC teamed with GHX to transform its supply chain. Using the GHX Exchange, plus additional solutions including NuViaSM for content management, Procurement Suite to direct on-contract requisitioning, CCXpert for contract price management and MetaTrade to expand its reach to more trading partners, AAMC’s Supply Chain team automated its previously manual procure-to-pay process, enhancing efficiency, improving accuracy and gaining visibility into critical data to drive operational and financial performance – saving the organization $1M annually.
“One of the biggest accomplishments was how fast we were able to get a solution up and running and start reaping benefits,”said Dena Jackson, director of supply chain, Anne Arundel Medical Center. “There is an understanding that supply chain has to be positioned to help support the economic goals of the organization as we move into the demand for higher quality and lower cost.”
“While other industries have long recognized the strategic importance of the supply chain most of healthcare has hardly scratched the surface on this significant area of savings,”said Derek Smith, chief commercial officer, GHX. “Anne Arundel Medical Center is a perfect example of how a healthcare organization can quickly stem revenue leakage and achieve both hard and soft dollar savings through supply chain automation and visibility. We are proud to have played a role in their achievements.”
About Supply &Demand Chain Executive
Supply &Demand Chain Executive is the executive's user manual for successful supply and demand chain transformation, utilizing hard-hitting analysis, viewpoints and unbiased case studies to steer executives and supply management professionals through the complicated, yet critical, world of supply and demand chain enablement to gain competitive advantage. Visit us on the Web at www.SDCExec.com.
About GHX
Global Healthcare Exchange, LLC (GHX) is driving costs out of healthcare by transforming the healthcare supply chain. Working with providers and suppliers, GHX is accelerating change by providing a faster, more efficient and collaborative supply chain that will take billions of dollars out of the cost of healthcare. For more information, visit www.ghx.com and The Healthcare Hub.