In 2013, hospitals purchased more than $49 billion in products and services through Novation contracts. Wednesday’s Innovative Technology Expo at the Irving Convention Center was the third the company has hosted. About 120 suppliers got face-time with the hospital representatives who could potentially contract to buy their products.
"The Healthcare Supply Chain Association (HSCA) today announced a new economic analysis on the value of group purchasing organizations (GPOs) to the U.S. healthcare system which found that GPOs generate up to $55 billion in annual savings for hospitals, Medicare and Medicaid, and taxpayers. The report specifically found that, from 2013 to 2022, GPOs are expected to generate savings of up to $864 billion for the entire U.S. health system, $229 billion in Medicare savings, and $169 billion in Medicaid savings. Healthcare economists Dobson DaVanzo & Associates used updated National Health Expenditure (NHE) data published by the U.S. Centers for Medicare and Medicaid Services (CMS) to complete the empirical analysis"
$40 Billion Hospital Supplier Links Health Innovators With Clinicians. Forbes has a good article on how Premier and other deep pocked corporations are funding medical device manufactures and clinicians. "Innovation Celebration is hosted annually by Premier Inc., an alliance of about 3,000 U.S. hospitals and 110,000 other health services providers. As one of the nation’s largest purchasing alliances with more than $40 billion in annual hospital supply purchases flowing through the company, Premier has a unique perspective on what care providers need to better care for patients."