GHX Takes Its Shot at “The Perfect PPI Order”

First, there was heaven and earth and then, there were PPI (Physician Preference Items). Were it not for that second “P” in PPI, SCM life would be so much more simple. Especially for sourcing and procurement professionals. For them, it’s the difference between identifying a savings opportunity and actually getting the chance to implement it. It’s those pesky uppercase “C’s” in Change Management and Contract Compliance that dance in their collective heads –certainly not sugarplums. Think about it. For example, had generations of clever device sales people not successfully convinced physicians that four plate screws were better than six… well, we would have cut to a different chase a long time ago.

And that’s only the half of it. While the pursuit of a more optimized PPI supplier mix is noble, it’s a waste of time if you can’t even get the purchase order correct. Put another way, if your favorite orthopedic salesperson’s car trunk is a vital link in your supply chain, then your PO process is not getting warm.

We’ve been all over GHX’s move to deliver the industry’s first implantable device supply chain (IDSC) solution. From its announcement “to do for PPI what it has already done for med/surg,” to its acquisition of Beep N Track to various follow-on stories reporting GHX’s progress as it runs through its newest implantables solution customer trials, we’ve always known two things:

  1. The company’s IDSC solution will be successfully abstracted to other categories of PPI;
  2. The company would zero-in on defining the “perfect order.”

In fact, GHX has just released an educational paper called, “Defining the Perfect Physician Preference Item (PPI) Order.” The paper, available now for free download, focuses on the findings of the GHX Advisory Board PPI Work Group and provides best practice recommendations to help healthcare organizations achieve the perfect PPI order for implantable devices.

The healthcare industry has long strived for the “perfect order” – one that is processed electronically with the right product delivered to the right place, at the right time, the first time. As healthcare-trading partners increasingly adopt electronic, automated systems, the path to the perfect order in the medical-surgical supply chain has become clearer. But for PPIs, which are part of the larger implantable device supply chain (IDSC), the process is hugely inefficient, manual and disjointed. In fact, GHX research suggests that less than 20 percent of healthcare providers are sending electronic purchase orders for these types of devices. The paper covers the PPI Work Group’s research into current practices in the IDSC order process for both suppliers and providers, and offers recommendations on how to achieve the perfect PPI order to drive increased operational and financial performance for all parties.

In an effort to create the industry’s first implantable device supply chain solution, GHX has formed an Industry Advisory Board comprised of some of the leading healthcare providers and manufacturers. The findings in the GHX educational papers stem from advisory board member organizations’ designated subject matter experts, as well as more than 18 months of research and 600 interviews with healthcare organizations across the United States.

Source: GHX, PRNewswire

—Tom Finn


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