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SoCalBio Open House &
Vendor Showcase
Helping Members Spend
Money Wisely
Welcome
Who We Are
www.socalbio.org
• The Southern California
Biomedical Council
(SoCalBio) is a trade
association serving the
bio...
SoCalBio Background
• Built with support from Rebuild LA (RLA)
• Incorporated in December 1995
• Chartered as a (C)6, non-...
SoCalBio helps Bioscience Companies
• Through Collective Action Focusing on:
– Mobilizing Resources Effectively
• Finance ...
The Bioscience Industry Fundamentals
• A Healthier Cluster -- Albiet Spatially-Dispersed
– That Is Adding Jobs:
– Med Devi...
SoCalBio Serves a Well Established Life-Science
Industry in the Los Angeles/Orange County Region
• Overall, the Los
Angele...
The industry is composed of very
small firms dispersed over a large
geography having limited resources
and little politica...
SoCalBio Group Purchasing Program:
Designed to Help Small & Med-Size Companies
• Date started: 2006
• Number of vendors: 1...
SoCalBio Group Purchasing Program Benefits
• The Group Purchasing Program is offered as a benefit to
member companies to h...
SoCalBio Group Purchasing Committee
• Program is managed by a committee of volunteers from
SoCalBio member companies.
• Co...
Committee Members
– David Caulkin, Procurement, Integrity Bio
– Richard Cupp, Purchasing & Distribution Manager, HemaCare ...
Group Purchasing Vendors
$Million Volume of Business, 2006-2014
0.042
4.07
6.27
7.2
13.6 14.4
13.007
15.2
17.9
0
2
4
6
8
10
12
14
16
18
20
2006 200...
15
Companies Utilizing Contracts,
2006-2014
7
53 49
58
80
86
106 105 107
0
20
40
60
80
100
120
2006 2007 2008 2009 2010 20...
Actual VWR Program Savings
Lab Supplies Spend Range Under
SoCalBio-VWR Program
Average Savings Off List Price
Under SoCalB...
Actual Office Depot Program
Savings
Office Supplies Spend Range
Under the SoCalBio Program
Average Savings Off List Price ...
Actual FedEx Program Savings
Shipping Services Spend Range
Under SoCalBio Program
Average Savings Off List Price
Under SoC...
19
1. Increase number of contracts per company ratio from
1.40 to 2.00
2. Outreach to new contract users to expand their u...
Thank You
Ahmed A. Enany
enany@socalbio.org
Southern California Biomedical Council
Your Success Is Our Business
www.socalb...
SoCalBio Presentation on its Group Purchasing Program
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SoCalBio Presentation on its Group Purchasing Program

A brief presentation on some of the advantages and benefits of membership in SoCalBio

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SoCalBio Presentation on its Group Purchasing Program

  1. 1. SoCalBio Open House & Vendor Showcase Helping Members Spend Money Wisely Welcome
  2. 2. Who We Are www.socalbio.org • The Southern California Biomedical Council (SoCalBio) is a trade association serving the biotech and medical device industries in Los Angeles, Orange County and adjacent communities
  3. 3. SoCalBio Background • Built with support from Rebuild LA (RLA) • Incorporated in December 1995 • Chartered as a (C)6, non-profit trade association • Became fully functional by mid-1997 • SoCalBio is one of 50 regional life-science associations in the US and one of the three California regional associations. – The others are Biocom (serving San Diego) & BayBio – AKA CLSA -- (serving the San Francisco Bay Area) • SoCalBio is driven by entrepreneurs united behind a collective action agenda to – Translate our region’s excellence in basic life-science research into high paying jobs. – Build on local assets to sustain critical mass in biocommerce – Make our region competitive in the “knowledge economy”
  4. 4. SoCalBio helps Bioscience Companies • Through Collective Action Focusing on: – Mobilizing Resources Effectively • Finance Capital • Intellectual Capital • Human Capital – Fostering a Synergistic Eco-system • Research Parks • Partnerships • Networking – Advocacy & Building Social Support • Putting Industry needs on the priority list of local governments • Industry now perceived as an important pillar of growth
  5. 5. The Bioscience Industry Fundamentals • A Healthier Cluster -- Albiet Spatially-Dispersed – That Is Adding Jobs: – Med Device – Biopharma & Generics – Digital Health • We Are a MedTech Region with a Growing (and Getting Healthier) Biotech Subsegment • Kythera Biopharma, Puma Biotechnology, Kite Pharma, Astellas Pharma, Lion Biotechnologies, ArmagenTech, Xenor, C3 Jian, NantHealth, MannKind
  6. 6. SoCalBio Serves a Well Established Life-Science Industry in the Los Angeles/Orange County Region • Overall, the Los Angeles Metro Region (Los Angeles and Orange Counties) is specialized across non- clinical life- science industry, with about 88,000 + workers across over 900 firms in 2014.
  7. 7. The industry is composed of very small firms dispersed over a large geography having limited resources and little political clout
  8. 8. SoCalBio Group Purchasing Program: Designed to Help Small & Med-Size Companies • Date started: 2006 • Number of vendors: 15 • 2014 $ size of transactions: $17.9 million • Number of SoCalBio users in 2014: 105 companies • Number of contract utilization: 152 • Program is carried out in partnership with the Biotechnology Industry Organization (BIO) • SoCalBio is currently one of the top five (5) BIO affiliates in terms of revenues generated • SoCalBio has moved into the top ten (10) in terms of BIO Business Solutions contract utilization
  9. 9. SoCalBio Group Purchasing Program Benefits • The Group Purchasing Program is offered as a benefit to member companies to help in reducing the burn rate and cutting the cost of doing business • To be eligible, the interested company must be a member of SoCalBio and/or BIO • Participation in the program is voluntary • Program generates significant savings to participating companies and, in some instances, company employees • Participating companies would be able to track purchases and calculate the savings generated • Savings exceed any membership dues paid to SoCalBio
  10. 10. SoCalBio Group Purchasing Committee • Program is managed by a committee of volunteers from SoCalBio member companies. • Committee functions include: – Working with BIO on executing group purchasing contracts in SoCalBio territory covering Los Angeles and Orange Counties, the Inland Empire and Gold Coast communities – Overseeing program performance – Screening and selecting new vendors – Marketing the program – Trouble-shooting
  11. 11. Committee Members – David Caulkin, Procurement, Integrity Bio – Richard Cupp, Purchasing & Distribution Manager, HemaCare Corp. – Ranil Fernandez, VP of Operations, Bioscreen Testing Services – Wendy Fong, Materials Management, Grifols Biologicals – Jacqueline Garcia, Procurement Manager, Los Angeles , Siemens Medical Solutions – Marina Kreculj, Director of Sourcing, Kite Pharma – Karen Mayo, Sr. VP, LA BioMed – Matthew Pfeffer, CFO, MannKind Corp. – Richard Tamaki, COO, Molecular Express – Victoria Wilinski, Manufacturing Director, Second Sight Medical Products, Inc.
  12. 12. Group Purchasing Vendors
  13. 13. $Million Volume of Business, 2006-2014 0.042 4.07 6.27 7.2 13.6 14.4 13.007 15.2 17.9 0 2 4 6 8 10 12 14 16 18 20 2006 2007 2008 2009 2010 2011 2012 2013 2014
  14. 14. 15 Companies Utilizing Contracts, 2006-2014 7 53 49 58 80 86 106 105 107 0 20 40 60 80 100 120 2006 2007 2008 2009 2010 2011 2012 2013 2014
  15. 15. Actual VWR Program Savings Lab Supplies Spend Range Under SoCalBio-VWR Program Average Savings Off List Price Under SoCalBio-VWR Program > $2M $2,682,800 $1M - $2M $931,959 $500k - $1M $472,161 $250k - $500k $252,683 $100k - $250k $108,145 $50k - $100k $53,582 $25k - $50k $23,812 $10k - $25k $12,304 < $10k $2,696
  16. 16. Actual Office Depot Program Savings Office Supplies Spend Range Under the SoCalBio Program Average Savings Off List Price Under the SoCalBio Program >$500k $765,218 $250k - $500k $319,731 $100k - $250k $134,868 $50k - $100k $82,801 $25k - $50k $43,360 $10k - $25k $19,687 $1k - $10k $4,876 <$1k $491
  17. 17. Actual FedEx Program Savings Shipping Services Spend Range Under SoCalBio Program Average Savings Off List Price Under SoCalBio Program > $100k $39,302 $50k - $100k $16,336 $25k - $50k $12,895 $10k - $25k $5,062 $1k - $10k $1,168 < $1000 $129
  18. 18. 19 1. Increase number of contracts per company ratio from 1.40 to 2.00 2. Outreach to new contract users to expand their use of other contracts 3. Consider new BIO contracts 4. Add noncompetitive contracts to compliment BIO Business Solutions portfolio, e.g., employee benefits SoCalBio-BIO Business Solutions: 2015 Goals
  19. 19. Thank You Ahmed A. Enany enany@socalbio.org Southern California Biomedical Council Your Success Is Our Business www.socalbio.org Los Angeles Office: 617 S. Olive St., Ste 700, Los Angeles, CA 90014 Phn: 800-418-7079 -- Fax: 213-403-7688 scbc@socalbio.org

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