Hospital charges can vary by 10x; Athenahealth bought for $17B; Vizient recognizes suppliers, distributors; plus Jobs!

December 3, 2021

Hello NAW Subscribers,

I hope you enjoy this issue of National Accounts Weekly!

Sincerely,

John Pritchard

President of ANAE

Publisher of The Journal of Healthcare Contracting

Some hospitals charge up to 10x more for medical scans than others, study finds

Some hospitals charge up to 10 times as much as others for standard medical scans, according to the latest analysis of previously secret market rates.

Median prices for taking images of the brain, legs, abdomen and chest differed across hospitals by thousands of dollars in some cases, a team of researchers from Johns Hopkins and Michigan State universities reported in the journal Radiology.

Private equity firms to buy Athenahealth for $17 billion

Private-equity firms Hellman & Friedman LLC and Bain Capital have agreed to buy Athenahealth for $17 billion, the latest sign of rising interest in companies powering the healthcare sector’s shift to the cloud, according to Reuters.

Companies providing cloud-based solutions to the healthcare sector have enjoyed a demand surge during the COVID-19 pandemic as home-bound people turn to the web for their medical needs.

Podcast: McKesson Responds to Supply Chain Disruptions

In this podcast, a panel of McKesson supply chain experts talk with Scott Adams about the past, present, and future of supply chain disruptions.

Tune in to learn more about how McKesson reps are maneuvering products across to U.S. to ensure delivery.

Health System Supply Contracts: Insight into the Process of Erosion

By Michael Georgulis

Those who manage product and service contracts for health systems, either within the health system, or from a Performance/Aggregation group (GPO), are very familiar with contract calendars. Annually, many health system contracts come to term. In the contract management process, decisions are made to either re-negotiate, extend contracts, or process new bids and select suppliers based on potential new value creation.

Vizient recognizes suppliers and distributors in 14 categories for service excellence

Vizient, Inc., the largest member-driven health care performance improvement company in the country, recognized the superior performance of suppliers and distributors in 14 categories for their work to deliver exceptional service to its members. The recognitions were presented at the hybrid online and in-person Vizient Connections Summit, held Nov. 15-18 in Las Vegas.

Queen’s Medical Center announces $1B campus modernization project

Queen’s Medical Center (Hawaii) announced plans for a $1 billion, 15-year campus modernization project.

The $85 million project will more than double the amount of bays in the ED at Queen’s Medical Center from 27 to 57. The first part of the modernization will begin in the next 18 months and will expand the hospital’s emergency department.

HCA Healthcare to build three hospitals in Florida

HCA Healthcare, Inc. (Nashville, TN) announced plans to build three new acute care hospitals in Florida.

The new hospitals include:

90-bed acute care facility in Gainesville
60-bed hospital near The Villages
100-bed acute care hospital in Fort Myers

Cleveland Clinic’s Q3 operating income rises to $148M

Cleveland Clinic ended the third quarter of this year with higher revenue and operating income than in the same period a year earlier, according to financial documents released November 23.

The health system’s revenue climbed to $3.1 billion in the third quarter of 2021, up from $2.7 billion in the same period of 2020, The system’s net patient service revenue climbed from $2.4 billion in Q3 2020 to nearly $2.8 billion in the same period this year.

CVS Health announces strategic alliance with Microsoft to accelerate digital transformation

CVS Health and Microsoft Corp. announced a new strategic alliance focused on developing innovative solutions to help consumers improve their health and provide CVS Health employees with tools to better serve customers.

Walgreens acquires remaining stake in German GEHE-Alliance Healthcare joint venture from McKesson

Walgreens Boots Alliance and McKesson Corporation have reached an agreement for Walgreens to acquire the remaining 30% share of their GEHE Pharma Handel (GEHE) and Alliance Healthcare Deutschland (AHD) joint venture.

Following this transaction, Walgreens will become the 100% owner of the combined GEHE and Alliance Healthcare businesses in Germany.

Sysmex America introduces eSupply inventory management solution

Sysmex America, Inc. introduced eSupply, an inventory management solution to help laboratories drive operational efficiencies across their supply chain by reducing reagent waste and limiting unnecessary costs. eSupply’s easy-to-use interface utilizes predictive learning algorithms to proactively analyze and recommend the inventory quantity to adjust for laboratory reagent usage patterns.

Ambu awarded National Video Laryngoscope contract with Vizient Inc.

Ambu Inc., was awarded a contract in the category of Video Laryngoscopes with Vizient Inc.

The contract covers Ambu’s King Vision video laryngoscope system, which enables quick and easy intubation with a display providing a consistent clear real-time view of a patient’s airway. Single-use blades are available in three sizes.

The contract also includes Ambu’s next-generation video laryngoscope, which is expected to launch in 2022.

Michael Abney to receive HIDA Sasen Leadership Award

The Health Industry Distributors Association (HIDA) announced Michael D. Abney Jr., SVP, North America for Quidel Corporation as the recipient of the 2021 John F. Sasen Leadership Award. The Sasen award recognizes individuals who demonstrate exceptional leadership, commitment, and service to the healthcare products distribution industry and HIDA.

Cleveland Clinic names new chief supply chain officer

Cleveland Clinic has named Steve Downey as the health system’s chief supply chain and patient support services officer.

In this role, Downey will be responsible for planning, leading and directing all strategic and operational aspects of Cleveland Clinic’s global supply chain and support services. He will also provide strategic vision and oversight for creating key partnerships and joint ventures, providing direction on key sourcing decisions.

BD names Dr. Joseph Smith as chief scientific officer

BD (Becton, Dickinson and Company) (Franklin Lakes, NJ) named Dr. Joseph M. Smith as SVP and chief scientific officer for the company, effective November 29.

In this role, Smith will be primarily responsible for external innovation and BD’s technology roadmap to deliver transformative innovations that align to three irreversible forces driving the future of health care: smart connected care, the transition to new care settings and chronic disease.

Ochsner hires first chief digital officer

Ochsner Health announced Denise Basow, MD, as its first Chief Digital Officer (CDO), effective January 3, 2022. Dr. Basow will join the Ochsner Executive Team, leading strategy and growth of Ochsner’s digital health programs, building new digital businesses and expanding clinical businesses regionally and nationally to create a more convenient, cost-effective experience that delivers better outcomes for patients.