Maximizing Savings for Hospitals through Total Cost of Ownership

Maximizing Savings for Hospitals through Total Cost of Ownership

As healthcare providers seek ways to maximize the value of the healthcare, Practice Greenhealth (PGH) is helping its members to identify ways to reduce the cost and environmental impact of healthcare delivery through the PGH “total cost of ownership tool.”
 
I had the opportunity to participate in the organization’s recent Greenhealth Academy Webinar on the Total Cost of Ownership (TCO) tool.  Practice Greenhealth is assisting members with its TCO, which was developed to provide purchasers with “a standardized and systematic way to consider products’ environmental costs, which aren’t often readily apparent and may include added expenses such as the cost of energy, water or waste disposal.”
For instance, what do medical devices really cost hospitals?  What is the total cost associated with devices – both the initial cost of the device as well as any secondary costs, such as costs associated with waste removal. “Total Costs” aren’t truly reflected in purchase price. Hospitals looking to maximize the value of the devices they purchase, i.e., extend the life of the products they purchase and reduce the ultimate disposal costs, need to evaluate a product’s true costs.
 
I was pleased to see the webinar included case studies, suggestions on the types of products to consider, and an overview on “how to” use the tool.  AMDR urges hospitals looking to maximize value to check out the tool. 
 
Kudos to PGH, the tool’s developers and webinar panelists for their efforts.
 
For more information on Practice Greenhealth’s TCO, visit https://practicegreenhealth.org/initiatives/gsc/tco.

 

By | 2017-09-15T13:48:41+00:00 September 15th, 2017|Blog|0 Comments