Navigating the Storm: How Supply Chain Management Can Transform Capital Equipment Costs

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Miga CEO Peter Robson’s presentation will describe practical ways for hospitals to reduce their medical equipment spend. With the uncertainty surrounding healthcare reimbursements, hospitals are increasingly looking for innovative ways to drive structural cost reduction across the enterprise.

Healthcare

NAVIGATING THE STORM
How Supply Chain Management Can Transform Hospital Equipment Costs
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission.
1

Agenda
1. The “Storm”
2. How TCO Approach Will “Transform” Costs
3. 3 Strategies for Success
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 2

Navigating Stormy Seas Requires Great Sailors
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 3
Costs Revenue

Medical Equipment - Even Stormier Seas
1. Convergence:
medical equipment & IT
2. Complexity:
equipment, buying equipment
3. Expertise:
required for success
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 4

GOOD INFORMATION
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 5

3 STRATEGIES FOR SUCCESS
1- Learn a new language 2- Plan for contingencies 3- Communicate results
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 6

1- LEARN A NEW LANGUAGE
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 7

Learn to Speak “Revenue-ese”
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 8
$1MM of
Savings
$50MM of
Compensated
Care
Speak “CFO” – benefits vs. features
“Patient revenue equivalent”:
• 50 Heart Transplants
• 1,700 baby deliveries
• 2,500 vasectomies
• 2,000,000 flu shots

©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 9
Tuko juu ya bajeti

EXAMPLE:
Patient Monitor
Fleet Replacement
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 10
$491K / 100%
RESALE vs
TRADE-IN
disposition

2- PLAN FOR CONTINGENCIES
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 11

Plan for Contingencies
•Uncertain future = uncertain resources
•Supply chain knows how to “do more with less”
•Flexibility and resilience are critical
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 12

The Best Laid Plans Don’t Always Stick…
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 13

EXAMPLE:
Mammography
Service Contract
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 14
$423K / 100%
BETTER
PRICING
service

3- COMMUNICATE RESULTS
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 15

Communicate Results
•Communicating benefits is key
•TCO costs are hard to “see”
•Silence can be deafening!
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 16

EXAMPLE:
Linear Accelerator
Service Contract
Renewal
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 17
$913K / 34%
SAVINGSpurchase

Set Your Course for Success
1. Learn a new language
2. Plan for contingencies
3. Communicate results
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 18

©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 19
And You WILL Reach Dry Land!

THANK YOU
Peter Robson | CEO | O: (763) 225-8407| C: (612) 859-2332
probson@migasolutions.com
©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 20

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LFT stands for liver function test, which is a blood test that measures the levels of proteins and enzymes in the blood to provide information about the state of the liver. LFTs are also known as hepatic panels. LFT stands for liver function test, which is a blood test that measures the levels of proteins and enzymes in the blood to provide information about the state of the liver. LFTs are also known as hepatic panels. Contents Overview Test Details Results and Follow-Up Contents Overview Test Details Results and Follow-Up Overview What are liver function tests? Liver function tests are blood tests that measure different substances produced by your liver. These measurements give your healthcare provider important information about the overall health of your liver and how well it’s working. A liver panel will often measure several substances in one blood sample. It may include various enzymes, proteins and byproducts. What are the five primary liver function tests? The most common liver tests include: Liver enzymes test. Your liver enzymes include alkaline phosphatase (ALP), alanine transaminase (ALT), aspartate aminotransferase (AST) and gamma-glutamyl transferase (GGT). These are elevated when there’s liver injury. Total protein test.A total protein test measures levels of protein in your blood. Your liver makes protein, and low protein levels may indicate that your liver isn’t functioning optimally. Bilirubin test. Bilirubin is a waste product that your liver deposits in bile. LDH test. Lactate dehydrogenase (LDH) is an enzyme found in many of your body’s tissues, including your liver. Prothrombin Time (PT) test. This test measures how long it takes for a sample of your blood to clot, a process that involves proteins that your liver produces. These tests are all part of a routine blood panel called a comprehensive metabolic panel. When are tests done to check liver function? Your healthcare provider might want to check these values to screen you for possible hepatitis or other liver diseases. If they already know that you have liver disease, they might want to check how it’s progressing or whether a treatment is working. You may also have a liver test to monitor the side effects of certain medications that are known to affect your liver. What kinds of things can a liver panel tell you? Different values and ratios of different substances may tell your healthcare provider: If you have liver inflammation (hepatitis). Whether the inflammation is alcohol-related or nonalcoholic (metabolic). Whether you have a problem in your liver itself or in your bile ducts. If your liver function is impaired, and if so, how much. If your bile flow is impaired, and if so, how much. Whether your medications are affecting your liver, and if so, how much. Test Details How do liver function tests work? A healthcare provider draws a small amount of blood from a vein in your arm to test in the lab. They’ll look for abnormally high or low levels of different subs

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Navigating the Storm: How Supply Chain Management Can Transform Capital Equipment Costs

2. Agenda 1. The “Storm” 2. How TCO Approach Will “Transform” Costs 3. 3 Strategies for Success ©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 2

4. Medical Equipment - Even Stormier Seas 1. Convergence: medical equipment & IT 2. Complexity: equipment, buying equipment 3. Expertise: required for success ©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 4

6. 3 STRATEGIES FOR SUCCESS 1- Learn a new language 2- Plan for contingencies 3- Communicate results ©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 6

8. Learn to Speak “Revenue-ese” ©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 8 $1MM of Savings $50MM of Compensated Care Speak “CFO” – benefits vs. features “Patient revenue equivalent”: • 50 Heart Transplants • 1,700 baby deliveries • 2,500 vasectomies • 2,000,000 flu shots

12. Plan for Contingencies •Uncertain future = uncertain resources •Supply chain knows how to “do more with less” •Flexibility and resilience are critical ©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 12

16. Communicate Results •Communicating benefits is key •TCO costs are hard to “see” •Silence can be deafening! ©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 16

18. Set Your Course for Success 1. Learn a new language 2. Plan for contingencies 3. Communicate results ©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 18

20. THANK YOU Peter Robson | CEO | O: (763) 225-8407| C: (612) 859-2332 probson@migasolutions.com ©2017 Miga Solutions, Inc. All Rights Reserved. May not be copied or circulated without prior permission. 20

Editor's Notes

2% margin ROI vs. amps Capital vs. clinical
“Get rid of” vs. recovery value
Hologic glassware, 25% booked into time and materials, 2 detectors, $320K return
MISSION: Help hospitals maximize the ROI of medical equipment lifecycle spending Benchmarking information to lower equipment lifecycle costs 12-16% every year Services to find, buy and save on equipment and service/maintenance Pioneer of Benchmarking 2.0 strategy 10+ years of experience helping leading US hospitals find savings Share our customer’s commitment to supporting healthcare missions via Miga Foundation

Navigating the Storm: How Supply Chain Management Can Transform Capital Equipment Costs

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Editor's Notes