Managing production conversions.

Abstract

The ability to "move business" from one vendor to another has been one of the historical strengths of the centralized hospital materials management function. It continues to be one of the most effective economic motivators in the discounting of hospital supplies. Conversion to standardized products is a proven way of moving business, but is it only effective where it is accompanied by good planning and the disciplined willingness to see the process through. This applies whether hospitals are using independent supply contracts, group purchasing contracts, prime vendor agreements, or stockless purchasing affiliations. It also applies to hospitals with active value analysis/product standardization committees and those without them.