The Latest from Suture Express

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You don’t have to look too far or dig too deep for data showing that supply chain continues to present an enormous opportunity for hospitals and health systems to reduce their costs. Here are just a few of the latest supporting data points that we found:

  • Supply chain spending is the second-largest cost for health systems and is projected to surpass labor as hospitals’ greatest expense by 2020, according to data from Definitive Healthcare.1

  • According to an annual analysis by Navigant Consulting, hospitals could safely reduce their supply expenses by an average of 17.7 percent or $11 million annually per hospital.2

  • Physician preference items (PPI) account for a significant portion of spend, according to the Healthcare Industry Distributor Association’s (HIDA) 2017 Acute Care Market Survey of hospital CFOs and supply chain executives, and are “rife with logistics inefficiencies.”3

  • Of those that pursue PPI purchasing models with distributors, 93 percent are somewhat or very satisfied, according to HIDA, while none are dissatisfied. Physician opposition presents a significant barrier for both those that have or haven’t explored such paths.4

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This is the kind of information Suture Express pays close attention to and experiences firsthand as the company evolves beyond suture and endomechanical categories into physician preference items, such as implants. The company has been taking what it knows from suture and developing innovative supply chain solutions for implants — specifically, neurostimulators, stents and balloons — that are customized to a health system’s needs, with proven success in the pain management and cardiovascular space.

Savings In Pain Management

Larger health systems that don’t have distribution capabilities of their own because of geographical or financial challenges or limitations are beginning to purchase expensive neurostimulators in bulk at a savings and relying on Suture Express as a virtual distribution center (VDC). The company can bulk-buy neurostimulators from multiple vendors or, in theory, if a health system wanted to standardize around a single vendor, they could potentially use the model as leverage for even better pricing for bulk buys.

Savings In Cardiovascular

Suture Express also enables health system savings in the cardiovascular space for stents and balloons — a slightly different, non-traditional category of items that has typically been distributed under a consignment model. Using the Suture Express approach, customers are able to purchase stents and balloons at bulk rates from the manufacturer. Suture Express provides consignment replacement, and the manufacturer continues to own the consignment wall. In addition to lowering cost, the Suture Express model for stents and balloons can help health systems standardize in these categories by consolidating around a single vendor.

To learn more about what Suture Express may be able to do for you, visit us at or call 877-790-1873.

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1Definitive Healthcare
2Navigant Consulting
3Healthcare Industry Distributor Association 2017 Acute Care Market Survey
4Healthcare Industry Distributor Association 2017 Acute Care Market Survey

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