As one of the largest healthcare systems in Indiana, St. Francis operates three main facilities in Beech Grove, Indianapolis, and Mooresville. St. Francis Hospital is ranked among the top 5% of all hospitals in the nation for overall clinical performance.
St. Francis’s total spending on implants was significant—more than $12 million per year. A Six Sigma® study revealed that the hospital was losing revenue on a high percentage of implant cases owing to a series of price increases from its implant vendors.
In order to negotiate better pricing, St. Francis needed credible, unbiased comparative pricing data to show to its surgeons and vendors. Using ECRI Institute’s PriceGuide™, the hospital was able to benchmark its implant supply costs against similar facilities’ costs. PriceGuide’s ‘‘average” and “low” pricing databases helped St. Francis determine the target price per item. St. Francis presented these targets to each vendor against their respective products, successfully leveraging its negotiations.
PriceGuide from ECRI Institute offered St. Francis powerful leverage at the negotiating table with its staff and vendors, resulting in nearly a 10% savings in annual implant spending—close to $1.2 million dollars saved.
Learn more about PriceGuide membership.