AristoMed Inc. Secures Exclusive Multi-Year Contract With Mercy Resource Management Inc.Health/Medical Writers SALT LAKE CITY--(BW HealthWire)--April 24, 2000 AristoMed(TM) Inc. based in Salt Lake City Monday Monday: see week. announced an exclusive three-year contract with Mercy Resource Management Inc. (MRMI MRMI Managed Risk Medical Insurance ) to consolidate non-contracted specialty products. It is estimated that MRMI's 240 member facilities purchase between $300 and $400 million in non-contracted products each year. Under this agreement, AristoMed will perform the function of streamlining the inefficient and non-automated processes of dealing with hundreds of specialty manufacturers and distributors. The reduction in purchase orders alone is expected to result in $4.5 million in annual recurrent recurrent /re·cur·rent/ (re-kur´ent) [L. recurrens returning] 1. running back, or toward the source. 2. returning after remissions. re·cur·rent adj. 1. savings. The consolidation process is facilitated through AristoMed's proprietary data mining software, AristoSource(TM). "We know there are significant supply chain savings to be realized by just consolidating our non-contracted specialty products. This relationship with AristoMed offers the process and visibility to traditionally overlooked product areas, allowing for operational streamlining and a better vision of contracting needs. "We've just scratched the surface of other opportunities for process improvement in both clinical and purchasing areas," said Michael D. Gray, president and chief executive officer of MRMI. AristoMed and MRMI partnered to beta test A test of new or revised hardware or software that is performed by users at their facilities under normal operating conditions. Beta testing follows alpha testing. Vendors of packaged software often offer their customers the opportunity of beta testing new releases or versions, and the software and supply capabilities during the first quarter of this year. The beta test illustrated the importance of addressing all the issues that complicate com·pli·cate tr. & intr.v. com·pli·cat·ed, com·pli·cat·ing, com·pli·cates 1. To make or become complex or perplexing. 2. To twist or become twisted together. adj. 1. and fragment (1) In networking, one piece of a data packet that has been broken into smaller pieces in order to accommodate the maximum transmission unit (MTU) size of a network. See IP fragmentation. the purchasing process Purchasing Purchasing is the formal process of buying goods and services. The Purchasing Process can vary from one organization to another but there are some key elements that are common throughout The process usually starts with a 'Demand' or requirements . Gray added, "Unique to AristoMed is the ability to combine relevant purchasing and clinical information, delivering a blueprint blueprint, white-on-blue photographic print, commonly of a working drawing used during building or manufacturing. The plan is first drawn to scale on a special paper or tracing cloth through which light can penetrate. for real process improvement." "Consolidation is the first step of many necessary to truly improve the purchasing process," said Scott Minniear, AristoMed's president and chief executive officer. "MRMI recognizes this huge cost savings opportunity and is the perfect partner for our unique approach. "While other companies have focused on treating the symptoms, AristoMed's healthcare professionals have the expertise and technology to deliver comprehensive solutions to complex problems." About AristoMed Inc. AristoMed is a provider of cost saving solutions for healthcare organizations from the point of product purchase through its eventual patient care application. AristoMed's proprietary data mining software (AristoSource(TM)) addresses the complexities of healthcare purchasing with specific process improvement tools. AristoMed brings the interests of clinicians, administrators and purchasing professionals together to deliver new cost saving solutions. For more information about AristoMed Inc., see the website at www.aristomed.com About Mercy Resource Management Inc. Mercy Resource Management Inc., formerly known as Mercy National Purchasing Inc., began in 1967 as one of the nation's first hospital group purchasing organizations A group purchasing organization is an entity that leverages the purchasing power of a group of businesses to obtain discounts from vendors based on the collective buying power of the GPO members. Many GPOs are funded by administrative fees that are actually paid by the vendors. . Mercy's headquarters are in Naperville, Ill., and its membership includes 240 healthcare facilities in 28 states. Members purchase over $1 billion of med/surg, pharmaceutical, IV solution, imaging, laboratory, administrative, office, and food service supplies and capital equipment annually. |
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