PartsSource has announced PartsSource Repair and Service Agreements. This customizable solution expands total healthcare technology management (HTM) capacity by consolidating multiple service contracts into a single, evidence-based agreement with maximum flexibility, lower costs and vendor choice in a digitally powered, transparent service experience.
PartsSource recently conducted an intensive longitudinal analysis of service contracts.
PartsSource will demonstrate the new capabilities and share insights from its recent study in an educational session at the Association for the Advancement of Medical Instrumentation (AAMI) Exchange in Long Beach, California set for June 16-18.
Study Conclusions
- A typical hospital manages 146 service contracts on average.
- Contracts take 3-4 months to negotiate and activate, with 76% at low value.
- Service contracts account for 50% of an HTM departments’ budget.
- Price variability is widespread, with 519 unique prices for the same asset.
- 92% of surveyed hospitals did not have procedures to monitor vendor performance vs. contract terms consistently.
“We are bringing our evidence-based, data-driven and technology-enabled methodology to the $10 billion acute-care medical equipment service contract market,” said Philip Settimi, MD, president and CEO, PartsSource. “PartsSource Repair and Service Agreements offer cost, quality and efficiency advantages, a much-needed service contract solution for health care providers.”
The study concludes that many systems need more data to make evidence-based decisions to manage service contracts for improved cost, quality and productivity. PartsSource Repair and Service Agreements are transforming how health systems operate with five principles to resolve the issues uncovered by the study and bring better service to health care systems.
- Enterprise contract rationalization and workflow: PartsSource leverages its proprietary data to rationalize the right contracts into a single managed service agreement that offers one enterprise workflow and unmatched flexibility and savings.
- Formulary-driven standardized service management: PartsSource delivers end-to-end management of every service event with preferred vendor formulary rules.
- Nationally benchmarked vendor performance management: Transparent insights including peer-reviewed ratings of service technicians and the opportunity to provide feedback after every event, driving continuous improvement of the network quality and experience.
- Community buying power: As part of a larger community negotiating with service providers, clients can enjoy up to 20% immediate savings plus an opportunity to identify additional savings by utilizing PartsSource’s high-quality, evidence-based service network.
- Digitally powered experience: Digitized workflows transform the process for HTM teams. Timely notifications inform critical repair status, while data, generated by every event, powers visual analytics for healthcare leaders to visualize service spend, performance and savings opportunities.
“The flexibility PartsSource Repair and Service Agreements offered us was a game changer. By meeting us where we are, PartsSource helped remove the risk of taking equipment previously off-contract onto a new agreement, while their proactive recommendations for highly qualified alternatives from their network are helping us manage our service spend,” said Jay Olson, System director, biomedical services, Marshfield Clinic Health System.
For more information, visit corporate.partssource.com/solution/repair-and-service-agreements.
