Publisher’s Letter July/August 2006

The 10 People to Watch … and what the future holds

In this issue of The Journal of Healthcare Contracting we release the “10 People to Watch” in healthcare contracting. This is always one of our most anticipated and well-read issues. It gives us a chance to look inside the minds of the healthcare supply chain’s best and brightest.

I am particularly intrigued with a question we pose to each inquiring what they believe the future will hold for our market. Below are a few quotes from this year’s “10 People to Watch” commenting on what the future holds.

 

“… larger systems are centralizing both procurement and requisition processing, as well as accounts payable … And as an industry, we are headed toward greater transparency and greater accountability.”
– Lou Fierens
“GPOs will continue to survive … many of the distributors will offer similar services that compete with GPOs … so that in the future, it may be a little bit harder to separate what’s a GPO, what’s a distributor, a what’s a consultant.”
– Jack Fleischer
“One trend I see is contracting locally vs. nationally. I think we all want to be good citizens. We’re all looking for ways to ensure that our communities benefit from their relationship with us.”
– Kenneth Grant
“We will probably see IDNs band together, work in small groups and increase volume for better pricing. They will do this with or without GPOs.”
– George Hersch
“We will see more centralized decision-making in IDNs and the larger IDNs will do more of their own contracting.”
– Brent Johnson
“I am looking forward to the day when I can work with suppliers to aggregate and drive standardization and compliance when it is clinically indicated.”
– Chris Meyers Janda
“… we should expect to see more attention to pay-for-performance measures.”
– Ken Peterson
“I believe we will see an increased trend among healthcare organizations against inflationary pressures by entering into longer-term contracts. More five and seven-year term agreements are likely.”
– Ed Robinson
“I think there will be more pressure to show that using a particular device produces better patient outcomes.”
– Alan Wilde Jr.
“… there will be a trend toward commoditization of products, and outcomes will be tied to products.”
– Dave Zimba

 

If you find these predictions provocative, wait until you read what they think is wrong about today’s healthcare supply chain! As always, enjoy this issue of The Journal of Healthcare Contracting.

John Pritchard About John Pritchard

John Pritchard is the publisher of The Journal of Healthcare Contracting as well as The Major Accounts Exchange (The Max).

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