Step 3 to Become a Self-Distributed Hospital or IDN: Unbundle to Boost your Hospital Supply Chain Bottom-line

Are you so tied to your rebate checks that are detrimental to your bottom line? Stop chasing the rebate check and broad “discounts” on bundling in step three on the path to global sourcing success for self-distributing hospitals and IDNs.

The net effect of most bundled purchasing agreements is often detrimental to hospitals’ bottom lines. For some reason, purchasing managers just love their rebate checks tied to bundled agreements. But a 1.5% rebate tied to a 3% increase in prices on required new product categories within the agreement leads to higher overall program costs.

The balance sheet doesn’t care if financial gains arrive via a check or simply lower product costs. Stop chasing the rebate check and broad “discounts” on bundling. Go for the deeper dive on each product or category.

becker's hospital review

Becker’s Hospital Review has published the third of a five-article series detailing the key points on how self-distributing hospitals or IDNs can integrate global sourcing to maximize the value of their hospital supply chain. Read the full article and learn how to break the bundling cycle and free yourself from “bundled” purchasing agreements imposed by distributors on your hospital supply chain.

Download the entire five-part Global Sourcing Guidebook for free.

If you are a large hospital or health network ready to put global sourcing to work, let ASP Global help you get started. Contact or call (404) 620-4809.