Adventist Health Joins Catholic Contracting Group – It’s All About Commitment

The Catholic Contracting Group (CCG), a committed contracting group working with Premier, is pleased to welcome Adventist Health System of Altamonte Springs, Florida, as its newest member.

Adventist Health System joins:

  • Bon Secours Health System of Marriottsville, Maryland
  • Mercy Health System of Cincinnati
  • PeaceHealth of Vancouver, Washington
  • Presence Health of Chicago
  • SSM Health of St. Louis

The CCG is a Premier buying group enabling members to leverage aggregation and commitment to produce industry-leading pricing on products and services. Adventist Health System will participate in creating value through enhanced contracting activities and efforts to improve product and service standardization and utilization.

“Adventist Health System is excited to join CCG,” said Celeste West, vice president of Supply Chain Management at Adventist Health System. “We reviewed various options and believe that by joining this group we can remain committed to our suppliers and reduce costs for ourselves and the systems involved.”

West will immediately be involved with the CCG decision making process while her team will join the various workgroups as it becomes appropriate. CCG remains aligned with Premier and will continue to collaborate to benefit both the Premier alliance and CCG and their affiliate members.

“Adventist Health System, based on its size, decision making capability, and desire to collaborate with like-minded health systems is an excellent addition to our group. For us, it’s about not only what we do, but also how we work together. Having shared values and similar goals, as well as a collaborative atmosphere is extremely important to us. We think Adventist Health System brings all of these attributes to the table and we look forward to working with Celeste and her team,” said Ron Brady, vice president of Materiel Management at Bon Secours Health System and current CCG Chairman.

CCG has expressed a public interest in continuing to grow at a thoughtful and measured pace. “We want to preserve our ability to be nimble, but add purchasing volume through additional affiliates and members who share our values and can be as committed to our agreements as the current members,” Brady said.

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From a strategic sourcing perspective, they say "healthcare moves slow." In fact, in terms of its adoption of the enabling technologies, healthcare's reputation as a notorious laggard, relative to other industries, is probably well-deserved.

But the times they are a-changing.

It doesn't matter whether you're aggregating purchase volumes, contracts or tiddlywinks, suppliers could care less. What they want is certainty. They'll trade off massive projected volumes for committed smaller ones all day long. They've proven that.

So the opportunity for these "contracting groups" is obvious. The answer is: aggregated commitments.

And that makes one of the strongest cases yet for GPOs and their provider-customers to invest in and develop competence in advanced strategic sourcing.

Why these same groups don't more aggressively adopt the advanced tools of the sourcing trade from companies like The Advisory Board and BravoSolution (to name a few) — as their largest suppliers have — makes little sense. What makes even less sense is why so many of the GPOs, who clearly have the most to gain, still behave like they have the most to lose. To say the least, it's a shortsighted view.

Source: Premier

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