The Catalyst … accelerating business growth in healthcare

Quotient Biodiagnostics and EHM

Posted by Jessica Hartman DeVore on Tue, Jan 08, 2013 @08:50 AM

DALLAS – January 08, 2013 – (EHM) a healthcare business consulting firm, was chosen by Quotient Biodiagnostics to help secure contracts with group purchasing organizations, integrated delivery networks, and regional purchasing coalitions across the United States.

EHM is a healthcare business development firm, creating demand for the products and services of leading medical suppliers.   The group combines corporate accounts strategy and operational infrastructure to meet the needs of their clients.  The EHM Team brings over 100 years of healthcare experience to the table and is fully dedicated to changing healthcare for the better.

Quotient Biodiagnostics is a leading blood transfusion products company whose primary focus is to provide top quality blood banking reagents directly to the manual user worldwide. Quotient manufacturers and distributes over 200 products and sells worldwide in over 30 countries.

Tags: Essential Healthcare Management, healthcare, healthcare suppliers, gpos, IDNs, integrated delivery networks, GPO

EHM September 2012 Newsletter

Posted by Jessica Hartman DeVore on Mon, Sep 10, 2012 @07:52 PM

 
Essential Healthcare Management Newsletter September 2012
The EHM Team: Jeff Hayes

Jeff Hayes

Essential Healthcare Management (EHM) is pleased to have industry healthcare veteran Jeff Hayes as a member of the EHM team. Hayes serves as Executive Vice President.

“We are extremely excited to have Jeff associated with our company.  His reputation, knowledge and success in helping companies grow and improve their national accounts presence and revenue will significantly help our clients to achieve their sales goals and expand market share dramatically,” EHM Managing Partner Stan Schroeder commented.

Hayes brings to EHM a combination of sales, sales management, national accounts and clinical experience to his portfolio of skill sets. His clinical training was accomplished at the University of Kansas Medical Center where he completed a course of study in Mobile Intensive Care Technology.  While working as a Mobile Intensive Care Technician he subsequently earned his BS and MBA from Avila University in Kansas City.

Utilizing both clinical and educational skills, he began working in hospital administration for Humana, Inc. This opportunity provided him with a solid grasp of the issues and concerns that surround the healthcare industry.  He later entered the medical sales arena and began his career in sales at Tri-anim Health Services Inc., the nation’s leading supplier of specialty products for respiratory, anesthesia, EMS, and critical care. Within the Tri-anim organization, he held several management positions, which include Regional Sales Manager, Director of Sales, and Director of National Accounts.  Within that position he created and developed their national accounts initiative.

After leaving Tri-anim, Hayes served as Vice President of National Accounts with Innovative Healthcare Corporation (IHC) – an industry leader in the medical and surgical glove market for both the acute care and alternate site arenas. During his tenure with that organization, IHC was awarded the first ever S2S Agreement by Premier, Inc.

Most recently Hayes held the position of Senior Vice President of National Accounts with StatLab Medical Corporation, a leading supplier of laboratory histology consumables in the acute and non-acute care marketplace. He provided leadership in the design and implementation of their National Accounts program, and continues to represent StatLab in his new role with EHM.

As Executive Vice President at EHM, Hayes is responsible for establishing and cultivating national accounts growth for EHM clients. His focus consists of select niche and specialty product suppliers seeking to become contracted with key GPO’s and IDN’s nationally.

Concussions

By: Rob Bahna, Vice President of Sales, Resuscitation International

The end of summer is upon us, and that means high school football season is starting all over the US. Friday nights for the next several months will create memories and experiences on the gridiron that will never be forgotten. 

I was fortunate to play baseball, hockey and football in high school. I was also fortunate to walk away from my playing days with only minor injuries. I never had a concussion until later in college when a cable snapped on a lat pull-down machine in a gym. 

With all of the stories surrounding concussions, including the long-term damages and suicides of some NFL players, I thought it would be interesting to look at concussions statistics in high school. 

I found an interesting website, momsTEAM, The Trusted Source for Sports Parents that listed the following information: 

Concussion rates have doubled in the last decade - and account for 1 of every 10 sports injuries. 

There are between an estimated 1.6 and 3.8 million sports related concussions in the US every year leading the Center for Disease Control to conclude that sports concussions in the US have reached an "epidemic level." 

As you would expect, football players are the most at risk with at least one player sustaining a mild concussion in nearly every American football game. 

Girls soccer players are the second most at risk for concussions of all other high school sports. 

There are approximately 67,000 diagnosed concussions in high school football players every year. 

According to the New York Times, at least 50 youth football players (high school or younger) from 20 different states have died or sustained serious head injuries on the field since 1997. 

Once an athlete has suffered an initial concussion, his or her chances of a second one are 3 to 6 times greater than an athlete who has never sustained a concussion. 

Athletes keep getting bigger, stronger and faster. When I graduated from high school, it was rare for even an NFL player to be 300 pounds, and now high school lineman weigh that much. Our awareness and ability to detect these injuries much better obviously impacts the increase in numbers.

I am a firm believer that sports play an integral part in shaping lives. The teamwork, dedication, discipline, competition, hard work, time management, handling of pressure, learning to win and lose, self-confidence and relationships developed are skills that can last a lifetime. 

Given the choice between two job candidates if all else were fairly equal, if one were an athlete in college, I know many hiring managers who would choose the athlete because of the experiences that person had. 

We should continue to look for ways to make athletics safer and increase our own knowledge about what can be done to prevent injuries. However, we need to be careful how far we go. 

"Fear defeats more people than any other one thing in the world. "

- Ralph Waldo Emerson  

Client News

New Clients
Essential Healthcare Management recently joined forced with eDocument Solutions, LLC (eDocs4MDs). Please check out eDocs4MDs website to learn more.  

MedAssets Technology Forum
Genadyne Biotechnologies, SunClean, and Cayenne Medical have been selected to participate in the MedAssets Technology & Innovation ForumSuppliers must be selected by MedAssets to receive an invitation based on quality and caliber of products and services, innovativeness of the product or service in the healthcare market, customer suggestions and other selection criteria

Please check out our clients' websites for more information on their product lines.

The Optime Group
Ed Hisscock, President of The Optime Group, moderates "How Supply Chain Impacts Patient Experience" at the Fall 2012 IDN Summit.

EHM News

Essential Healthcare Management Official Fall 2012 IDN Summit Sponsor!

EHM embraces the great privilege of participating in the upcoming Fall 2012 IDN Summit in Scottsdale, AZ as a Silver Sponsor. We feel motivated, energetic, and enthusiastic about the endless possibilities that lie ahead.  Please look for us and the following 22 of our client companies in Scottsdale!

Upcoming Conference Schedule

We hope to see you soon!

You can always find us at www.essentialhm.net

Essential Healthcare Management
Dallas, TX
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Tags: Essential Healthcare Management, Schroeder, Essential Healthcare, integrated delivery networks, Frank Ripullo, business growth, strategic thinking, business development

ACA’s 2013 medical device tax has already killed jobs & expansion plans

Posted by Jessica Hartman DeVore on Thu, Apr 19, 2012 @10:02 AM

The Patient Protection and Affordable Care Act (ACA) includes a new 2.3% tax on the U.S. sale of medical devices beginning in 2013. The tax was included to raise $20 billion in revenue to partially offset the cost of the new, $1 trillion health program. The 2.3 percent tax is imposed on revenue, not profits, so that the tax applies to devices regardless if they are sold at a loss.
This particular financing measure is now the target for repeal by a growing number of Members in Congress because of its impact on patient access to life-saving therapies, American jobs, and medical innovation in the United States.

Regardless of how the Supreme Court rules on the ACA, there are many claims about the tax that are inaccurate and do not reflect existing realities about its impact.

Jobs and investment will suffer
 
Claim: The new tax will not shift employment offshore because the tax does not create an incentive to move production overseas.
Reality: Even without going into effect until 2013, the device excise tax has already caused companies to lay-off workers, grow device manufacturing jobs outside the U.S., reduce investment in research and development, and eliminate capital investment in new U.S. facilities. The device excise tax applies to the sale of medical devices in the U.S.

This is on top of our federal tax rate at 35 percent and state and local taxes. Combining these U.S. taxes with a slow and cumbersome approval process, the excise tax adds tremendous disincentive to companies wanting to stay in the U.S. and compete in the global marketplace. Compare Ireland’s tax of 12.5 percent of profit and Canada’s national tax of about 15 percent of profit for most companies to the existing U.S. tax rate of 35 percent that many companies face.
 
Tack on the new federal tax of 2.3 percent of sales, which equals about a tax of 15 percent on profit for most companies, and U.S. manufacturers in 2013 will pay a tax of about 50 percent for every dollar earned. Companies operating outside the United States will be at a distinct competitive advantage as those taxes start from a significantly lower base.
 
It’s disingenuous to say that that level of taxation will not lead companies to locate new factories and research and development arms outside of the U.S. Foreign manufactures have a clear price advantage by paying a tax bill that can be half what a comparable U.S. firm will pay. Academic claims that the tax will not have an impact on U.S. jobs is naive and does not match reality. Medical device companies have signaled a warning for several months now.
 
Here are just a few examples:
-Stryker Corporation announced a layoff of 1,000 workers due to the tax
-Boston Scientific built a $35+ million research and development center in Ireland instead of North America
-Boston-Scientific is also girding for a $100+ million charge to earnings in 2013
-Zimmer plans to lay off 450 and take a $50 million charge against earnings
-Cook Medical has shelved plans to build a medical device factory annually in the U.S.
 
No windfall for the device industry
 
Claim: The ACA will insure millions of people and therefore device companies will benefit from new business through the sale of more devices.
Reality: Reducing the number of uninsured will not increase the number of patients seeking medical devices. Most of our medical technologies are either used today by patients in emergency situations or by elderly patients who are already insured by Medicare. There will be no windfall for our industry just because more, non-elderly patients have access to insurance.

 
Here’s why: In the emergency room today, patients receive our technologies regardless of whether they have health insurance or not. These devices that are used in this setting include drainage catheters, tracheostomy tubes, intubation devices and myriad of other devices to maintain life. Federal law requires that all patients in need of emergency services be treated regardless of their ability to pay or whether they have health coverage. The ACA does not change this paradigm.
 
Further, the administration has stated that the demographic group that will most benefit under the ACA are the non-elderly. Young people tend not to be in need of stenting or other vascular or organ repairs for aging related conditions. Most of the patients that use our products are elderly and today they are either treated in the emergency room without regard to health insurance or covered by Medicare that already reimburses hospitals for medical devices.
 
This analysis is borne out in Massachusetts, which has a similar universal health care approach. Internal analysis shows that medical device sales did not increase beyond the increase expected prior to enactment of the Massachusetts new health law.
 
Devastating impact on medical innovation

Claim: Tax will have little effect on medical innovation.
Reality: The device excise tax will have a real and serious impact on medical innovation in the United States as research, development and manufacturing move overseas as a result of the existing tax and regulatory systems in this country. While the medical technology industry has helped to fuel the U.S. economy in recent years, its position as a global leader may erode over the next decade.
 
This will no doubt affect: 1) the ability of Americans to access future break-through medical advancements; and, 2) the growth of U.S. jobs. In the future, China, India and Brazil will experience the strongest gains in developing next-generation products. Without changes to U.S. policies, gains may lead to an exodus of capital, jobs and research away from the U.S. toward these growing markets. (Source: ’Medical Technology Innovation Scorecard: The Race for Global Leadership,’ PwC, January 2011.)
 
The economics of this highly competitive sector are not static and several policies have driven American medical device companies to seek clinical data and launch new products outside of the United States. The new, 2.3 percent excise tax on the selling price of a device will leave companies no choice but to reduce research and development and capital investment in the U.S. It will lead companies to migrate to lower cost tax jurisdictions and tax start-up companies, whether those firms have profits or not.
 
The new tax will force companies to limit research budgets to test new products and ideas – the lifeblood of growing device companies. When these resources are curtailed, patients pay the price with more limited medical treatment and a reduced chance of survival.
 
In addition, the tax will limit capital investment in new facilities. Boston-Scientific projects a $100+ million annual hit to earnings from the tax. Cook estimates it will cost $20 million a year ’ about what we had planned to invest annually in new factories across the Midwest, factories such as the plant that opened 1n 2010 in Canton, Ill., or the expanded plants opened in 2009 in Spencer, IN.
 
Wages from those jobs ripple through and strengthen the local community. This new device excise tax will deny patients access to life-saving medical technologies because companies will be forced to move jobs and research facilities overseas. It is fool-hardy to believe that U.S. companies will be able to compete globally when their competitors do not face the tax and regulatory burdens here in the United States. We are already seeing the impact of the medical device tax and this is just the beginning if this tax is not repealed. Americans deserve access to these break-through technologies.

MEDCITY – Devices
April 16, 2012
By Kem Hawkins (President and CEO of Cook, Inc.)

Tags: hospitals, healthcare suppliers, IDNs, integrated delivery networks, medical devices, market research, Center for Medicare and Medicaid Services, Affordable Care Act, ACA, market forecasting, sales

EHM continues extensive growth this summer

Posted by Frank Ripullo on Mon, Jul 25, 2011 @03:36 PM

Since 2007, EHM has served the marketing and sales support needs of clients, combining corporate account strategy and operational infrastructure. As new federal regulations continue to change the healthcare industry, EHM is growing into a thought leader and educating clients on how these changes affect their business development prospects. EHM guides clients through the contracting/sourcing process and helps companies position and present their offerings to key decision-makers and target audiences.

EHM has recently added many new clients, including Customed USA. Customed is the mainland U.S. division of Puerto Rico Hospital Supply Inc., producing medical kits and trays for virtually all hospital procedures and forms of treatment. To help healthcare providers avoid purchasing unnecessary supplies, the medical kits are customized to fit the needs of each ward or department. EHM will help Customed secure contracts with integrated delivery networks and group purchasing organizations across the United States.

This summer, EHM has added a Senior Sales VP, three Executive Directors, a new Director of Business Development and 56 trained and qualified sales professionals ready to help medical suppliers connect with key-decision makers and drive new business. The firm has the expertise to handle contracts within integrated delivery networks and group purchasing organizations. For more on how EHM is helping Customed, please read our announcement.

Tags: Essential Healthcare Management, Essential Healthcare, marketing, EHM, healthcare, healthcare suppliers, gpos, IDNs, integrated delivery networks, medical devices, Healthcare Service Provider, GPO, Customed USA, Puerto Rico Hospital Supply Inc, PRHS, medical kits, customized medical kits, sales, business growth, business development

EHM leading Uresil in corporate accounts strategy efforts

Posted by Frank Ripullo on Tue, Jul 12, 2011 @04:34 PM

Recently, EHM was tapped by Uresil, LLC to lead the company's national corporate accounts strategy.  Uresil is a medical supplier developing, manufacturing and distributing products that serve the needs of physicians who perform minimally invasive procedures.  Since 1986, the company has produced high-quality, unique, medical products for use in interventional radiology and vascular procedures.

“As healthcare treatments continue to trend toward cost efficiency, Uresil will continue to lead competitors with breakthrough products and a centralized production model,” said EHM founder and managing partner Frank Ripullo.  “At EHM, we share the same innovative spirit that drives Uresil. We look forward to continuing to work with Uresil on their national accounts strategy.”

With new federal regulations changing the healthcare landscape, EHM is growing into a thought leader and educating clients on how the changes affect their business development prospects. EHM guides clients through the procurement process and helps companies present their offerings to key decision-makers and target audiences.

For more information on how EHM is helping Uresil, please read our press release.

Tags: Essential Healthcare Management, Ripullo, Essential Healthcare, EHM, healthcare, healthcare suppliers, gpos, IDNs, integrated delivery networks, medical devices, GPO, sales, business growth, strategic thinking, business development

New Executive Directors expand EHM expertise

Posted by Frank Ripullo on Thu, Jul 07, 2011 @05:55 PM

The medical supply industry is growing and a wave of companies are acting quickly to claim a share of the market.  The most successful suppliers are aligning with seasoned professionals who can spur demand for their products and services with key healthcare decision makers.  We know working within integrated delivery networks and group purchasing organizations is a delicate process.  At EHM, we use our expertise in business development and marketing to help our clients maneuver through the healthcare maze.

We have recently expanded our diverse business development expertise by adding two highly experienced, results-driven executive directors to our leadership team.  Espen Kateraas brings 16 years of experience in the global medical supply industry.  He has developed, launched, and marketed medical devices in markets around the world, including Europe, South America, and the Middle East.

Joining Kateraas is George M. Mathew Jr., a marketing expert in the medical supply industry.  Before joining EHM, Mathew was a product manager, responsible for the launch and growth of several major branded and generic drugs, diagnostic tests, and medical devices.  Mathew brings valuable experience in a variety of functions including brand management, strategic marketing, operations, sales, business development, market research and forecasting.

We are excited to introduce Kateraas and Mathew to the EHM leadership team.  Please read our press announcement to learn more about our new executive directors.  Vistit: www.essentialhm.net/media/ehm-news/

Tags: Essential Healthcare Management, marketing, EHM, healthcare, healthcare suppliers, gpos, IDNs, integrated delivery networks, medical devices, brand management, market research, GPO, Espen Kateraas, generic drugs, branded drugs, diagnostic tests, market forecasting, George M Mathew Jr, kateraas, sales, business growth, Management, strategic thinking, business development

NuBone Growing Stronger with EHM

Posted by Frank Ripullo on Thu, Jun 30, 2011 @08:31 AM

Recently, EHM was selected by medical supplier, NuBone, to launch a national contract with Premier, Inc., a prominent group purchasing organization based in Charlotte, N.C.  NuBone manufactures the groundbreaking Stemvie product line, including an innovative bone graft solution that costs only a fraction of the most popular alternatives on the market.  Stemvie products offer healthcare providers dramatic savings, without the clinical contraindications of other bone graft options.

NuBone will be offering its groundbreaking products and services to nearly 2,500 Premier acute care facilities in a competitive $1B market segment.  EHM is creating and implementing a sales infrastructure for Nubone, customized to support Premier members. The consulting firm will continue to manage corporate accounts and negotiate agreements with integrated delivery networks.  Additionally, EHM plans to schedule regular meetings and webinars with Premier members.

As new healthcare reform policies are phased in, EHM is committed to educating clients on how the new changes affect their business development prospects.  The firm is helping NuBone reach the right decision makers through unique industry insight and a strong sales infrastructure, including the addition of 56 trained and qualified sales professions.  Since the launch of the Premier agreement four months ago, EHM has used its sales expertise to negotiate several IDN agreements within Premier.

Tags: Essential Healthcare, EHM, healthcare, healthcare suppliers, IDNs, integrated delivery networks, Healthcare Service Provider, GPO, Quality, NuBone, NuBone, NuBone, Premier, Premier Inc, acute care facilities, Stemvie, Management

The Virtues of the Outsourcing Model, Part 4: Examining Culture

Posted by Stan Schroeder on Wed, May 11, 2011 @10:11 AM

In our final installment on the virtues of the outsourcing model, we examine the third factor you should consider when evaluating whether outsourcing could improve the productivity and financial climate of your company. Robert Ryan’s position paper on the topic of outsourcing posited that restructuring how companies utilize their human capital, or, in other words, their workforce in-house and elsewhere, will affect how profitable they will be in the future. Ryan suggests that by increasing a company’s agility, or the speed at which they are able to adapt, it will be more likely to weather the many changes to come in the business world.

We have already examined how capacity and capability can affect a company’s decision to outsource. Culture ranks as the third factor that should be considered before making the leap to outsourcing. As Ryan asks, “Do the current organizational norms and values support the development and implementation of the strategy?”

While culture can also refer to the acceptability of this practice in a certain office, it also relates to the acceptability of outsourcing in a particular industry. Ryan points to technology as an industry particularly well-suited to outsourcing. “Competition for specialized technological expertise is found on the world market,” he writes. “With the rise of efficient collaboration capabilities, services can be found in many emerging countries of the world…. Because of technology improvements, work groups can all be brought into our living rooms.”

The health care industry also offers a culture that allows for ad hoc collaboration to fill any gaps in capacity and capability that may exist in one company. Here at EHM we not only serve as the link to connecting health care suppliers with the group purchasing organizations (GPOs), accountable care organizations (ACOs) and integrated delivery networks (IDNs), but we can also handle all of your marketing, advertising and selling needs for you. If you need help determining if these options are right for you, contact us, and we can talk you through the entire process and answer any questions that you have.

Tags: Essential Healthcare Management, Schroeder, Ripullo, marketing, EHM, healthcare, hospitals, ACO, Accountable Care Organizations, healthcare suppliers, HHS, Regulations on ACOs, ACO Regulations, ACOs and suppliers, HHS Regulations, gpos, outsourcing model, IDNs, integrated delivery networks, patient satisfaction

The Virtues of the Outsourcing Model, Part 3: Examining Capability

Posted by Stan Schroeder on Thu, May 05, 2011 @09:59 AM

Over the past two weeks, we have begun to examine the outsourcing model and how to determine if it is right for your company. Over the past decade, outsourcing has become more of a reality than ever before thanks to technological advances that allow people to work together no matter where their office is.

Last week, diminished staff capacity in light of the economic downturn was discussed. Capability serves as the counterpart to capacity. Without the optimal staff capacity a company has become accustomed to, its capability surely will be diminished as well. And from there, performance may begin to decline as a result. This is what all companies hope to avoid in the face of layoffs. As fewer employees take on more work, quality begins to suffer, and previously handled tasks begin to fall down the cracks.

The leading causes of a decline in capability will be the loss of institutional experience, knowledge, special skills and historical competencies. In addition to layoffs because of economic constraints, the generational shift in the workforce likely will also contribute to diminished capability. Because younger workers are likely to work at five to six times as many companies as their older counterparts, their own general business acumen is likely to suffer as well. Instead, these workers will only have the time to learn the one aspect of the company they are involved in as opposed to receiving the institutional, years-long education of how an organization runs that their parents did. As Robert Ryan states in his position paper on outsourcing, “The generational trend is toward specialization, further diluting the general business cognition.”

With layoffs and the generational shift of the workforce, companies will begin to see gaps in their capabilities. That is where outsourcing comes in. How have you used outsourcing to fill capability gaps?

 


Tags: Essential Healthcare Management, Schroeder, Ripullo, EHM, healthcare, ACO, Accountable Care Organizations, healthcare suppliers, HHS, ACO Regulations, ACOs and suppliers, HHS Regulations, gpos, outsourcing model, integrated delivery networks

The Virtues of the Outsourcing Model, Part 2: Examining Capacity

Posted by Stan Schroeder on Wed, Apr 27, 2011 @10:13 AM

As discussed in last week’s post, economic difficulties and technological advances have combined to make outsourcing more of a compelling and intriguing option for companies than ever before. By allowing companies to maximize limited financial resources, the outsourcing model may be exactly what your company needs.

In Robert Ryan’s recent position paper on the topic, he repeatedly refers to a need to make companies agile, which better allows for course corrections in times of rapid change, like now. When it comes to agility, size will always be a factor, no matter if it is comparing the way a sports car whips around corners in comparison to the much larger minivan or in seeing how small companies can make changes much more simply than larger ones. In fact, the workforce itself is becoming more agile, with the average Baby Boomer expected to work for only two to three companies throughout his or her career, while members of generations X and millennium will likely average 15-18 tenures at different companies.

When capacity shrinks, a company may no longer have the size of the workforce necessary to handle all tasks and strategies. With a smaller capacity, organizations begin to struggle with completing the functions they completed prior to the downsizing, much less be able to actually keep up with technological advances and changes in the industry. Once a company reaches a point where it can no longer keep pace with its competitors, then it is no longer agile.

Also, as the number of employees of many businesses has dwindled down to a core staff as a result of the economic downswing, many people are now doing multiple jobs, and with more people changing jobs at different companies than ever before, it makes sense that workers are no longer perfectly suited and trained for every aspect of their positions. Rather than allow quality and service to deteriorate in the wake of this situation, it makes more and more sense for companies to carefully examine the capacity of their workforce in terms of not only numbers but also capabilities, which we will discuss in more depth next week.

As Ryan states, “Too expensive to hire and train, most organizations acquire expertise episodically for strategic initiatives. This includes increasing capability and capacity over a short, definable period of business or technical transition.” How have you seen capacity make a difference when a company is considering outsourcing? How do you determine which functions your team can handle in-house and which can be outsourced? How do you determine when a company should take on added capacity to achieve a goal?

Tags: Essential Healthcare Management, Schroeder, Ripullo, EHM, healthcare, medical, hospitals, ACO, Accountable Care Organizations, healthcare suppliers, HHS, Regulations on ACOs, ACO Regulations, ACOs and suppliers, HHS Regulations, gpos, outsourcing model, IDNs, integrated delivery networks