September 12, 2011 14:05 ET

VHA Introduces New, One-of-a-Kind Pharmacy Price Benchmarking and Performance Improvement Service

IRVING, TX--(Marketwire - Sep 12, 2011) - Because pharmacy departments are not immune to cost reduction pressures, VHA Inc., the national health care network, is introducing VHA PharmaLYNX™, a new service that enables hospitals to aggressively pursue and implement cost containment strategies for pharmaceuticals. Built on the industry-leading analytical and business intelligence platform VHA LYNX™, the new pharmacy price benchmarking and performance improvement service is expected to help hospitals nationwide achieve meaningful bottom-line savings.

This new automated and pre-populated web-based interface provides users with instant access to valuable pharmacy information via intuitive, easy-to-use graphs and dashboards. In addition to the web-based application, a subscription to VHA PharmaLYNX includes access to a dedicated advisor who will work closely with hospital pharmacy staff to identify cost reduction opportunities and develop implementation plans.

VHA PharmaLYNX provides access to information for both contract and non-contract pharmaceutical products through pharmacy-centric reporting and metrics that allow users to review both current market conditions as well as historical trends to gain a comprehensive perspective and industry intelligence. The subscription model is similar to one of the industry's most successful and tenured price benchmarking services to date, VHA PriceLYNX™.

"We've been applying an analytical approach to our purchasing activity for some time," said Perry Flowers, system executive for Pharmacy at Memorial Hermann Healthcare System. "But VHA PharmaLYNX has provided powerful insight into the performance of our pharmaceuticals. It is extremely valuable in our organization's cost reduction efforts." In a short period of time, according to Flowers, "we've worked closely with our VHA LYNX advisor to identify cost reduction opportunities through VHA PharmaLYNX, and are in the process of implementing them, which will more than cover our initial investment in the service."

Developed in conjunction with Novation, VHA's supply contracting company, VHA PharmaLYNX uses the most accurate health care data available to provide immediate insight to actionable cost reduction opportunities. The service is designed to efficiently manage hospital and health system pharmacy budgets.

According to Nik Fincher, vice president of analytics at VHA, "Previously, these efforts have been manual and have relied on inefficient sources of data. This often leads to false opportunities and incorrect assumptions about where cost reduction efforts should focus.

"VHA PharmaLYNX represents the start of something big. The new business intelligence approach will have a significant impact on members' pharmaceutical spend by identifying cost reduction opportunities. Never before have members had access to dashboards that provide pharmaceutical cost reduction roadmaps."

VHA PharmaLYNX is just one component of VHA LYNX, an enhanced version of VHA's robust suite of analytical solutions that help hospitals cut costs and improve supply chain management. This powerful array of products and services also includes: VHA DataLYNX™, VHA PriceLYNX, VHA Physician PreferenceLYNX™, a contract catalog and supplemental services such as spend analysis, services analysis and pharmacy analysis 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.

Contact Information