Thomas Jefferson University Hospital’s ongoing initiative to reduce non-labour expenses

Abstract: For health systems to survive or hoping to grow in the new healthcare era, a centralised strategic sourcing function is essential to maintaining and enhancing margin and ensuring the right new technologies are in the hands of clinicians. Sourcing cannot just be about price containment and contracting, it must focus on helping health systems grow through margin enhancement, pioneering the use of new technology and championing the advancement of care. Success is based on the ability to implement a strong core of sourcing professionals who are empowered to identify, explore and lead product review and selection opportunities, and who follow a rigorous, comprehensive sourcing process that is focused on strategic business alignment, sourcing strategy development and execution and objective decision-making, all of which this paper will explore.

Keywords: healthcare strategic sourcing, change management, programme management, procurement

Kelli McRory-Thomas is the Assistant Director for Clinical Strategic Sourcing for Thomas Jefferson University Hospitals in Philadelphia. She oversees for US$125m in spend with clinical supplies for the health system.

Christopher Fontana is the Director of Strategic Sourcing and Procurement Operations at Thomas Jefferson University and Hospitals, where he leads the procurement, contracting and purchasing functions across a clinical enterprise that includes three hospitals, three urgent care centres and an expansive physician practice network. 

Bob Burkholder is the Vice President of Supply Chain Management for Thomas Jefferson University and Hospitals.