CASE STUDY

Spend Analysis Helps a Leading Medical Equipment Manufacturer Cut Down Overall Cost

Nov 15, 2017

Category Overview

The health and medical facilities across the globe procure and consume a wide array of products, including pharmaceuticals, building, food, and medical supplies. Sourcing and procurement activities that encourage the use of efficient materials and products with low carbon footprints can create environmental and health benefits and cost savings. In many countries across the globe, the spending in healthcare is on the rise, and the recent predictions of spending seem to indicate that current healthcare systems are unsustainable in the long run.request free proposal Moreover, in most of the developed markets, the healthcare industry suffers from two substantial and growing challenges which include the significant variation in patient outcomes for routine procedures and the spiraling costs involved in such procedures. As a result, stakeholders across the healthcare industries are looking for methods to provide high quality and accessible healthcare services to individuals at affordable public and private costs. One such method is to implement value-based healthcare service that focuses on patient outcomes and the costs of delivering these results, can address both challenges. In addition, the healthcare industry is in a unique position to boost value-based health care. Thanks to its design innovations, business, and therapeutic experience, and deep relationships with healthcare providers who deliver enhanced care at reasonable costs.

As the healthcare industry endures to increase its focus on cost-to-serve strategies for managing healthcare cost, accurate data could be a stumbling block for understanding procedure costs and its relationship to desired clinical outcomes. As a result, it is crucial for healthcare industry players, especially the medical equipment manufacturers to understand the association between clinical and supply chain management data. Understanding the medical equipment sourcing and procurement strategies are critical factors in ensuring that the process of opening, moving, and upgrading a medical facility is handled in a manner that delivers the level of service assured right from the start. Moreover, procurement managers and facility equipment administrators across the globe are becoming increasingly aware of the vital importance of bringing efficiency to this complex undertaking as the healthcare industry continues to dictate the need to increase quality performance and cut costs.

These challenges have urged players in the medical equipment manufacturing space to leverage the use of robust spend analysis solutions. Spend analysis solutions help companies in the medical equipment manufacturing space identify the potential opportunities and deliver actionable insights into the spend data to generate improved ROI. These solutions also address concerns about the maverick spends across the supply chain and help achieve superior supplier relationship efficiently.

With years of expertise in offering spend analysis and spend management solutions, SpendEdge also helps medical equipment manufacturing firms measure and improve their business decisions by formulating cost-effective strategies across the supply chain.

The Procurement Pain Point and Insights Offered

A renowned global medical equipment manufacturing client approached SpendEdge to streamline their logistics chain. The medical equipment manufacturing client was also facing predicaments in reducing their cost across the medical equipment sourcing and procurement processes. As a result, the client wanted to find an established vendor that could provide everything from competitively priced medical equipment all the way to delivery and set-up solutions than just merely focusing on the price of an item itself. Additionally, the client was also facing challenges in operational functions which restricted them request free proposalfrom increasing their process efficiency and streamlining their sourcing and procurement functions. Identifying an automated sourcing and procurement solution that helps to organize the process was a more appropriate option.

To cater to the business requirements of the medical equipment manufacturing client, SpendEdge’s spend analysis specialists tailored an integrated two-step research methodology which included qualitative and quantitative data collection methods. SpendEdge also closely collaborated with specialists from the healthcare institutions who have already implemented innovative procurement practices. During this spend analysis engagement, the medical equipment manufacturing client was able to identify sourcing and procurement solutions that address the issues unique to healthcare. Additionally, the client was able to launch category-specific sourcing events, thereby, making it possible to swiftly analyze the types of complex, strategic products with the help of SpendEdge’s collaborative sourcing tool. These tools also offer built-in category-specific dynamic pricing structures that help in assessing the trade-off decisions between quality and price to identify the supplier offering the overall best value.

Fundamental questions answered in this spend analysis study include

Business Outcome

The medical equipment manufacturing client was able to identify the areas for process improvement and cost reduction by gaining real-time insights into the firm’s procurement activities and expenditures. The client was also able to identify the best-in-class suppliers in the medical equipment manufacturing space which will help them in significantly cutting down the prices on high quantity products. Furthermore, the client captured the product data and subsequently formulated an efficient patient cost-to-serve model with the desired outcome for quality patient care.

To know more about our spend analysis solutions for medical equipment manufacturers

request free proposal

Recent Case Studies

Getting Down To Business

We are offering Free Trials to all our customers or prospects who have been impacted positively or negatively by Covid-19 and are looking to connect with prospect buyers immediately.

Contact us

COVID-19

Featured

Overview

Buyers

Diagnostic Test Kit

Additional Resources
Contact

A LOOK INTO THE FUTURE OF THE FOOD AND BEVERAGE INDUSTRY AFTER THE COVID-19 PANDEMIC

Identifying the Top 100 Coronavirus (COVID-19) Test Kit Manufacturers Across Regions

Sourcing and Procurement Market Intelligence Services

Products and Tools

Featured

Services Overview

Category Market Intelligence

Supply Market Analysis

Low-Cost/Best-Cost Country Sourcing

Benchmarking

Spend Analysis

Cost Modeling and Should-Cost Analysis

Total Cost of Ownership (TCO) Analysis

Supplier Risk Analysis

Supply Chain Risk Assessment

Supplier Sustainability Assessment

Commodity Price Forecasting

Category Management

Supplier Negotiations

Contract Management

Procurement Store

Purchase Ready-to-use Reports

SEinsightsTM

Our Robust Procurement Platform

BizVibeTM

Suppliers and Buyers Marketplace

SUPPLY MARKET ANALYSIS FOR A METAL MANUFACTURING COMPANY HELPS ACHIEVE ANNUAL SAVINGS OF $15 MILLION

Industries

Industries Overview

Automotive and Tire

Banking, Financial Services and Insurance

Biotechnology, Pharmaceutical and Life Sciences

Chemicals

Energy

Food and Beverage

Industrial and Manufacturing

ICT, Media and Entertainment

Mining, Metals and Minerals

Retail and CPG

Transportation

INCREASING LOCAL PROCUREMENT BY 28% FOR A COMPANY IN THE METALS AND MINING INDUSTRY – A CASE STUDY BY SPENDEDGE

Resources

Featured

Resources Overview

COVID-19 Resources

Blogs

Case Studies

Whitepapers

Webinars

Press Releases and Media Mentions

5 KEY CORONAVIRUS RISK ASSESSMENT STRATEGIES TO OVERCOME HEALTHCARE SUPPLY CHAIN CHALLENGES

IDENTIFYING STRATEGIC PURCHASING PRACTICES FOR A COMPANY IN THE US FOOD SERVICE INDUSTRY | SPENDEDGE’S LATEST SUCCESS STORY

Clients

Featured

Clients Overview

Who We Serve

Case Studies

SUPPLY CHAIN MANAGEMENT HELPS AN IMPORT AND EXPORT INDUSTRY CLIENT ENHANCE SUPPLY CHAIN VISIBILITY

REALIZING SAVINGS OF $15 MILLION IN PACKAGING SPEND FOR AN FMCG CLIENT – PACKAGING SOURCING STRATEGY

About Us

News

About SpendEdge
Why SpendEdge?
Vision, Mission and Values
Clients
Social Impact
Global Offices

Press Releases and Media Mentions

Upcoming Events & Webinars