Traditional Benchmarking Solutions Fail To Maximize Savings

Using better information can save hospitals $11 billion of the $90 billion they spend annually on medical equipment lifecycle costs. Whether buying new or used equipment, negotiating a service contract, upgrading software or selling equipment, making the right decision is more complicated than ever and hospitals need every possible advantage to successfully drive the most savings from their equipment costs. Here’s why traditional benchmarking solutions no longer are able to provide what hospitals need:

1. Pricing Information Is Incomplete – Information historically used by hospitals to benchmark is largely focused on purchase price, but purchase price is less than 30% of the many cost variables that make up total equipment lifecycle costs. Further, traditional benchmarking relies on hospital reported data that is increasingly biased towards “average prices” and doesn’t capture or report the truly best prices out there.

2. The Marketplace Is Hard To Navigate – Realizing savings not only requires knowing the right price to aim for but also how to use this information with suppliers. Even with traditional benchmarking information, hospitals still are left with the burden of having to navigate a complex, constantly changing market.

3. There Are Many Different Needs – Often hospitals want or need more than traditional benchmarking solutions provide - whether additional bandwidth, expertise or both. The right data and benchmarking information can frequently be applied to help address the many other strategic and often complex business decisions related to the medical equipment lifecycle.

Miga’s pioneering Benchmarking 2.0℠ methodology combines the most accurate and comprehensive industry pricing information with expert and specialized services in its Equipment Value Management System® (EVMS). EVMS is an advanced, proprietary solution that enables hospitals to identify and realize savings of up to $11 billion of the $93 billion they currently spend every year on medical equipment lifecycle costs. See Our Solution >>