Category: Medical supplies
A healthcare system with over 2000 beds partnered with eBridge to establish a contract for trashcan liners. Six qualified vendors placed 134 lowering bids during the online reverse auction, and the winning offer created a net savings of 13% or roughly $55,000 per year. But in addition to saving money, the eBridge process helped their procurement team created value in 5 additional ways.
- The IDN reduced waste by over 20% (according to director of Environmental Services), by buying liners in rolls rather than flats—flats are harder to store on ESD carts, and are easily scattered and lost.
- Reduced the number of SKUs from 21 to 10, so the staff has less inventory to track.
- Increased recycling and lowered waste hauling costs by buying clear bags instead of black. Recycling company will not accept black liners, and as more waste is sent to recycling, the client pays less for the municipal landfill service—and less waste goes to the landfill.
- Improved quality of office can liners from 0.3 to 0.7 mils, so bags will be less likely to tear, cause spills, etc. Case weight increased from 7.7 to 17.9 lbs.
- Established better terms by consolidating purchases to one primary vendor, and locking in pricing for one year, rather than remaining vulnerable to price changes every 3 months.
The eBridge customized RFP process is about much more than price. We help our clients procure the right products and services, from the most qualified vendors, with the best contract terms—helping their procurement team capture cost savings throughout every step!
This bid has been in the making for just under a year. After many conference calls between eBridge and the Buyer, to get a complete understanding of and determine the best way to achieve what the Buyer was looking for, we finally reached the bid date 10 months after discussions began. All of the hard work and attention to detail was the perfect set-up for a great bid! 7 of the 15 sourced suppliers participated in the 47 minute reverse auction, placing 145 bids with 18 first-place turnovers. The spread between 1st and 2nd place was 0.14%. The anticipated annual savings to the Hospital is $51,212 or 30%.
A university hospital used eBridge’s reverse auction platform to purchase disposable gloves, masks, shoe covers, and other disposable protection materials. The 11 participating suppliers were competing over 9 line items. There were four 1st place turnovers, with 264 bids placed. The event lasted 43 minutes, with 34 time extensions. The hospital was pleased with the outcome, as they saved 40 % off their budget.
Local service contracts are often overlooked as a savings opportunity in healthcare. However, a hospital system in North Carolina was able to cut its water delivery costs by engaging with eBridge to run a reverse auction bid for the contract. Previously, the hospitals had four different vendors and variations in prices. eBridge worked with the procurement office to develop specifications for a bid, identify additional potential suppliers, trained the suppliers on the eBridge website, and hosted the online bid. Seven suppliers were approved by the hospital and the bid was broken into multiple lots. In the end, a local incumbent supplier earned all of the business, and the hospital system consolidated its contracts and lowered its costs.
A large hospital system engaged eBridge to help establish a three year contract for laundry and linen services. eBridge worked with their procurement team to first identify purchases over the next year that would be appropriate for the reverse auction process. Next, eBridge’s team helped the group develop a set of specifications for the bid.
“It had been several years since the hospital had opened this item up for competitive bidding so they didn’t have a set of specifications that appropriately appealed to a wide group of suppliers,” said Rebecca Flaherty, Senior Procurement Manager at eBridge. “My team collected the requirements as directed by the hospitals’ team and then helped write specifications that were both thorough and clearly defined, positioning the bid to be highly competitive and fair.”
A total of eight suppliers were approved by the hospital’s team and included in the bid opportunity. eBridge’s strategic sourcing efforts brought 6 new suppliers to the table for this event.
The suppliers placed 140 bids with first place changing hands 11 times. At the conclusion of the bid, the hospital had saved 28% versus budget, with the three lowest bidders within a close margin.
The Department of Health and Environmental Concerns for a state government utilized eBridge procurement services and reverse auction platform to purchase newborn screening forms. This highly specialized paper is used in the initial testing done on new born children.
The bid included two suppliers who placed multiple lowering bids throughout the 30-minute event. Manufacturers and distributors of this highly specialized material must be FDA approved and meet tough regulations.
During the reverse auction event, first place changed hands four times and suppliers’ final bids were less than 2% apart, indicating true market value was achieved. The final savings was 66% versus budget and the incumbent’s price was $100,000 lower than the existing contract.
This state and eBridge have an exclusive contract and have run millions of dollars through the reverse auction saving an average of 22% overall.
A large hospital system enlisted the expertise of eBridge Business Solutions to purchase new, state of the art radiology equipment for one of their hospitals, utilizing the reverse auction process. The purchase included four line items along with installation costs.
eBridge sourced five suppliers to participate in the event.
During the course of the bid, the five suppliers placed a total of 52 bids. The final low bids were 30% below the hospitals’ budget amount for this purchase and are poised to run several auctions for additional equipment before the end of the year.
eBridge purchasing professionals provided guidance to the hospitals’ purchasing staff throughout the process. With the expertise and strong partnership with the innovative team of purchasers at the hospital, the event was a success and delivered bottom line savings to the hospital organization.