Children’s hospitals save $4.5M with Premier PharmacySpend™
The Child Health Corporation of America (CHCA), Shawnee Mission, Kan., is an alliance of 42 of North America's leading children's hospitals that provides a range of programs and services designed to reduce costs, increase revenue and improve the performance of children’s hospitals. CHCA owner hospitals represent more than 20,000 physicians, 100,000 employees, $14 billion in revenue and $2 billion in overall product purchases.
Situation:
Child Health Corporation of America (CHCA) was looking for a way to create a pharmacy spend report for each owner hospital. Its current system would require merging four databases, downloading information into a spreadsheet, and time spent meshing and cleansing data.
Solution:
With Premier’s SpendAdvisor™ PharmacySpend spend analytics tool, CHCA could easily identify savings opportunities and maximize contract utilization for one hospital or their whole system. PharmacySpend allows members to look at NDC level analysis highlighting on-, off- and non-contract spend; contract conversion opportunities; and savings options with functionally equivalent products.
Result:
CHCA’s participating owner hospitals realized at least $4.5 million in savings.
"We needed the tool, and Premier came through. The key for us to be
successful is contract utilization. What is the level of utilization and how can
you make it better? Information is essential. SpendAdvisor PharmacySpend makes
it possible to see if members are utilizing the Premier contracts. Utilization
is savings."
Linea Wilson,
Director of Group Purchasing Services
Child Health Corporation of America