Premier performance improvement technology and services to support hospital system in enhancing operational efficiencies systemwide
CHARLOTTE, N.C. — Virginia Mason Health System, a leading non-profit regional healthcare system serving the Pacific Northwest, and Premier Inc. (NASDAQ: PINC), a healthcare improvement company, have partnered to support Virginia Mason’s ongoing commitment to effective and efficient supply chain and expense management.
As a new member of Premier, Virginia Mason joins a powerful alliance of health systems and will receive access to industry-leading resources and technology solutions that have been proven to enable operational financial excellence and supply chain effectiveness. Premier will also work with Virginia Mason to design and implement an innovative financial strategy and roadmap focused on advancing cost management, savings and overall growth.
“After an intensive due diligence process using neutral, third-party evidence to assess opportunities for expense reduction as well as technology solutions for accuracy in purchasing, item master management, revenue enhancement and clinical performance, Premier quickly emerged as the clear choice capable of taking Virginia Mason to the next level,” said Sean Farley, Senior Director, Supply Chain. “This aligned partnership between our two organizations will not only enhance our overall efficiency but will also help prime Virginia Mason for growth and strong financial health. Because of Premier’s extensive breadth of contracts, cross continuum focus and superior negotiated pricing, we expect to save millions in our first year alone.”
Virginia Mason will access Premier’s supply chain services, including its group purchasing organization and advanced cost management analytics, to aggregate and standardize spend and utilization data systemwide to pinpoint cost savings opportunities. A focused team of Premier experts will also be dedicated to Virginia Mason to strengthen and accelerate the execution of an evidence-based, clinically-integrated supply chain.
“Virginia Mason and Premier share a vision for highly efficient, cost-effective healthcare, and we a thrilled to welcome them to our growing membership,” said Michael J. Alkire, President of Premier. “We understand the required organizational change to realize this vision can be difficult to navigate without the right strategic partners. We’re looking forward to our partnership with Virginia Mason and the direct impact this partnership will have on their financial health.”
The financial impact of the agreement with Virginia Mason was not disclosed.
Matters discussed in this release that are not statements of historical or current facts, such as Virginia Mason’s anticipated use of Premier’s performance and supply chain services at expected levels, as discussed herein, are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Premier to be materially different from historical results or from any future results or projections expressed or implied by such forward-looking statements. Accordingly, readers should not place undue reliance on any forward-looking statements. In addition to statements that explicitly describe such risks and uncertainties, readers are urged to consider statements in the conditional or future tenses or that include terms such as “believes,” “belief,” “expects,” “estimates,” “intends,” “anticipates” or “plans” to be uncertain and forward-looking. Forward-looking statements may include comments as to Premier’s beliefs and expectations as to future events and trends affecting its business and are necessarily subject to uncertainties, many of which are outside Premier’s control. More information on potential factors that could affect Premier’s financial results is included from time to time in the “Forward-Looking Statements,” “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of Premier’s periodic and current filings with the SEC and available on Premier’s website at investors.premierinc.com. Forward-looking statements speak only as of the date they are made. Premier undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise that occur after that date.
About Virginia Mason Health System
Virginia Mason, founded in 1920, is a nonprofit regional health care system based in Seattle that serves the Pacific Northwest. In the Puget Sound region, the system includes 336-bed Virginia Mason Hospital; a primary and specialty care group practice of more than 500 physicians; outpatient medical facilities and services in Seattle, Bainbridge Island, Bellevue, Edmonds, Federal Way, Kirkland, Issaquah and Lynnwood; Bailey-Boushay House, the first skilled-nursing and outpatient chronic care management program in the United States designed specifically to meet the needs of people with HIV/AIDS; Benaroya Research Institute, which is internationally recognized for autoimmune disease research; Virginia Mason Foundation; and Virginia Mason Institute, which trains health care professionals and others around the world in the Virginia Mason Production System, an innovative management method for improving quality and safety.
Virginia Mason Health System also includes Virginia Mason Memorial, a 226-bed hospital serving Yakima Valley in central Washington since 1950. Virginia Mason Memorial includes primary care practices and specialty care services, including high-quality cardiac care; cancer care through North Star Lodge; breast health at `Ohana Mammography Center; acute hospice and respite care at Cottage in the Meadow; pain management at Water’s Edge; an advanced NICU unit that offers specialty care for at-risk infants; advanced services for children with special health care needs at Children’s Village; and The Memorial Foundation.