SOURCE: VHA Inc.

October 04, 2011 14:15 ET

New VHA PriceLYNX™ 2.5 Provides Hospitals With Access to $60 Billion Database for Market Analysis and Price Benchmarking

Single-Click Dashboard Access Pinpoints Cost Reduction Opportunities, Aids Transparency

IRVING, TX--(Marketwire - Oct 4, 2011) - VHA Inc., the national health care network, today introduced VHA PriceLYNX™ 2.5, with multiple enhancements that are designed to further help hospitals improve their bottom line, strengthen their cash flow and maintain high-quality outcomes while they continue to confront shrinking reimbursements, escalating costs and the rapidly evolving health care environment. This $60 billion database represents the value of members' supply purchases and enables subscribers to gain greater insight into prices on their supplies.

Launched in 2010, and developed in conjunction with Novation, VHA's supply contracting company, VHA PriceLYNX has allowed subscribers to identify more than $300 million in savings opportunities on supplies so far in 2011. Typically, supply costs represent 46 percent of a hospital's total non-salaried spend.

VHA PriceLYNX compares an individual hospital's prices to the total hospital market, providing a transparent view of cost management opportunities on both contract- and non-contract items. With weekly updates to the pricing database and proactive, collaborative sessions with a dedicated VHA PriceLYNX advisor to focus the cost reduction efforts, this benchmarking service has made a name for itself with its robust $60 billion database.

New and expanded VHA PriceLYNX 2.5 features include:

  • Constructs allowing for the creation of custom groups of items for monitoring performance by item or as a whole
  • A 10 percent increase in data pool size
  • An IDN version that allows review of performance at the system and the hospital level, to uncover additional savings opportunities and potentials for standardization
  • Market share reports that help hospitals identify opportunities for standardization and cost reduction at the supplier level, allowing for a strengthened position for negotiating with suppliers
  • Easier homepage navigation and single-click connection to all dashboards

"These new business intelligence features provide hospitals with greater control over their supply chain purchasing and represent the best way yet for them to attack their day-to-day sourcing activities and reduce their costs," said Nik Fincher, vice president of analytics at VHA Inc. "By providing more comprehensive information and greater data transparency, VHA PriceLYNX 2.5 will catapult hospitals to the next level of improved pricing by helping them improve vendor negotiations, achieve better pricing, identify standardization opportunities and track their individual and system-wide pricing performance to realize immediate and long-term sustainable savings."

VHA PriceLYNX is just one component of VHA LYNX™, VHA's robust analytical solution that helps hospitals cut costs and improve supply chain management. This powerful suite of products and services includes VHA DataLYNX™, VHA Physician PreferenceLYNX™, Spend Analysis, Services Analysis, Pharmacy Analysis and the Contract Catalog, plus supplemental services that further improve members' cost saving opportunities.

About VHA -- VHA Inc., based in Irving, Texas, is a national network of not-for-profit health care organizations that work together to drive maximum savings in the supply chain arena, set new levels of clinical performance and identify and implement best practices to improve operational efficiency and clinical outcomes. In 2010, VHA delivered record savings and value of $1.7 billion to members. Formed in 1977, VHA serves nearly 1,350 not-for-profit hospitals and more than 30,000 non-acute care providers nationwide, coordinating delivery of its programs and services through its 16 regional offices. VHA has been listed as one of the best places to work in health care by Modern Healthcare since 2008 and one of the best places to work in IT by Computer World since 2007.

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