Medical, Lab & IT Equipment Benchmarking & Analytics

Medical, Lab & IT Equipment Benchmarking & Analytics

September 30, 2024

Industry Tips

Supplier Negotiations: The Power of Saying “No”

Hospitals are reporting a growing frustration when it comes getting what they need from reps who – at times – can make supplier negotiations painfully difficult. Working with uncollaborative reps can be frustrating for many reasons, especially when it comes to staying within budget or meeting deadlines. But what are you going to do, right? The supplier has something you need, and the best you can do is to keep sending emails, making calls, and hoping for the best. But actually, there’s a much more powerful way to make sure you get what you need from suppliers.

Say “no” when you need to. Instead of tolerating the non-responsiveness of reps in supplier negotiations, use a strategic “no” to reset expectations and help your suppliers understand what you need from them. Saying “no” can include not buying the supplier’s product, buying from a different supplier, buying used instead of new, or simply cancelling the deal and making do with the equipment you currently have. It’s hard if you don’t have a plan, so make sure that you have options ready with alternate suppliers when necessary and be prepared to act on them. A little healthy competition never hurts – and as long as your rep continues to win, you’re simply prolonging your frustration.

Recently, a Miga hospital client was waiting for a quote and shipping timing from an OEM rep for some modules needed to complete a patient monitoring upgrade. But after complete silence from the rep, despite four follow-up emails and six missed calls over the course of three weeks, the hospital said “the heck with it” and bought from a different supplier instead. Not only was the new supplier far more responsive, but they also delivered the modules within a week for 27% less than the original price ($9,000 savings). But that wasn’t all: when the rep learned that his slow response had cost him a sale and that the hospital was willing to look elsewhere, he went out of his way to make it up to them – securing a 19% price cut on all computer monitor purchases for the coming year (an estimated savings of $433,000). And all it took was the hospital being willing to say “no.”

Know the right price.

And get it.

Having the right information saves hospitals time and money on medical equipment lifecycle costs.

Scott Bosch

Director of Clinical Engineering

HealthPartners

“The groups responsible for managing technology in our healthcare organization need data and analysis to manage costs and make informed decisions. Miga’s EVMS platform is an important and valuable resource that helps us make the right decisions for both our clinical priorities and budget.”

Matt Werder

Chief Technology Officer

Hennepin County Medical Center

“Miga’s data is key to helping us be good financial stewards and validates we are using our resources wisely. The market intelligence provided by Miga’s EVMS platform has allowed us to save substantial amounts of money.”

"Miga’s ability to match equipment donated by their customers with the needs of our medical projects has been a most valuable and welcomed resource."

Jim Tierney

CEO

Suburban Radiology

“Miga’s data, analysis and expertise – in particular related to the fair market value of clinical equipment – is a critical resource we need to support strategic acquisitions, divestitures and joint ventures.”

Eric Hoag

Director, Corporate Strategy & Development

Allina Hospitals and Clinics

“Miga’s proprietary data and expertise was critical to our ability to close an acquisition deal quickly and with a high level of confidence in our valuation.”

Bill Barta

Corporate Director, System Imaging

Fairview Health Systems

“Miga’s objective information-based approach and understanding of the needs of hospitals makes them a valuable resource and helps us make the most cost effective spending decisions.”

Matt Blashill

Enterprise Director of Supply Chain

Lake Region Healthcare

"There’s a personal touch that sets Miga apart from their competitors. They don’t just offer great insights. They always take the time to provide additional analysis that is meaningful and actionable."

Dan Bazinet

Director of Clinical Engineering

Southcoast Health

“In all my years in health care, I’ve used a lot of benchmarking tools. Most simply repeat information passed along from others; Miga’s information tells me what’s really happening.”

COO

Community Hospital

"Miga's negotiating skills save us time and money. And their unique understanding of the market means we’re always playing from a position of strength."

Supply Chain Director

Regional Healthcare System

“All suppliers claim to have excellent customer service. Miga actually walks the talk and always has our best interest at heart. We love working with them."