Patient care still no.-1 focus, though cost-effectiveness andenticement to MCOs color decision-making process.
FRAMINGHAM, Mass.--Medical equipment purchases may decline slightly
as healthcare institutions undergo more stringent cost/benefit analysis,
so says a recent survey conducted by AT&T Capital Leasing Services.
While the primary consideration in cost/benefit analyses was
improving patients' quality of care with new equipment, 63% of
respondents said they balance this benefit with how cost-effective and
profitable the new equipment will be. Moreover, there seems to be a
greater shift toward centralized purchase decision-making, as well as
more compliance with the recommendations of Group Purchasing
Organizations (GPOs), according to the purchasing managers of the 200
hospitals and group practices involved in the phone survey.
"These results confirm that hospitals and health care
institutions are trying to manage the capital costs of new medical
equipment as cost-effectively as they can," said John Carroll, vice
president of Product Marketing for AT&T Capital Leasing Services
Healthcare Segment.
When asked if they would apply more cost/benefit analysis to 1997
medical equipment acquisitions compared with a year ago, 32% of
respondents said yes. The trend is particularly prevalent among the
largest hospitals (500 beds or more), as 50% of the market segment
surveyed anticipate increased cost/benefit analysis throughout the year.
In addition, 57% of respondents take into consideration whether
the acquisition of a new piece of equipment will contribute to their
ability to win managed care contracts.
Who is responsible for making such acquisitions? According to the
survey, the decision-making process is increasingly being concentrated
in purchasing departments and directed by CEOs, CFOs, and other senior
executives (see Table). In fact, while 53% of respondents claim
purchasing departments are more involved in the equipment acquisition
process than they were two to three years ago, 36% claim CFOs are more
involved than before, and 35% say CEOs and COOs are playing a larger
role.
In the past two to three years, how involved are these players when
it comes to medical equipment acquisition decision?
More Less No Not
involved involved change applicable
Board 13% 18% 47% 22%
Clinical Engineer 19 8 34 40
Technology Assessment
Committee 20 7 26 47
Strategic Planner 22 13 22 42
Chief of Medicine 29 13 47 11
Group Purchasing
Committee 35 7 19 39
CEO, COO 35 13 41 12
CFO 36 15 39 10
Purchasing Department 53 5 35 7
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