Sustainable Savings Now A Top Priority for Hospital CEOs
The Advisory Board recently announced the results of its 2018 annual Health Care CEO survey identifying the current top priorities for U.S. hospital and health system CEOs. While it was no surprise that cost savings-related priorities remain important, this year they occupied the top 2 spots in the survey results. The Advisory Board commentary observed that executives are looking for long-term, structural solutions to structural margin challenges, with the two highest scoring topics being: 1) preparing the enterprise for sustainable cost control, and 2) innovative approaches to expense reduction.
This is consistent with our experience and ongoing dialogue with hospitals that are now looking for innovative approaches to expense reduction as a way of preparing their enterprise for achieving sustainable cost control.
If the big question for you as a hospital executive is “how” and “where does one start?” in our next blog, we’ll discuss how hospitals can achieve structural cost reduction and sustainable cost control by having the right information to manage total cost of ownership (TCO) of medical equipment. Stay tuned for more about how hospitals can uncover hidden savings and respond with confidence to the current and persistent financial pressure they are facing.