Bon Secours Health System Achieves $3 Million in Pharmacy Savings, On Its Way to $8 Million in Partnership with Premier.

MARRIOTTSVILLE, Md. -- Bon Secours Health System Inc., through drug utilization and standardization efforts in partnership with Premier, Inc., has achieved a documented $3 million in pharmacy savings since mid-2004 alone, the not-for-profit Catholic system announced today. E[acute accent]In all, Bon Secours and Premier, a leading strategic alliance in U.S. health care, have identified $8 million in potential savings. E[acute accent]How did they do it? By looking at pharmacy performance through a critical combination of cost and quality indicators. E[acute accent]In short, Bon Secours has used professional expertise and quality data to drive more pharmacy purchases though lower cost Premier contracts, and improve efficiency by maximizing and standardizing its drug utilization. E[acute accent]"It was this holistic approach that made the difference," said David McCombs, Vice President of Bon Secours supply chain management. "Premier approached this project from both a supply chain and a clinical standpoint. That's what made the difference." E[acute accent]From Premier's perspective, it was Bon Secours' openness to change that made the difference. E[acute accent]"We started by conducting a diagnostic assessment of the current structure," said Marv Feldman, managing principal of Premier's pharmacy consulting group. "We looked at Bon Secours' purchase data and applied our own unique methodology to evaluate their Pharmacy and Therapeutics teams, their formulary and their structure. We had a good idea of what we were looking for but we still turned over every stone. The Bon Secours team had prepared its leadership for the project well and that made everything work smoothly." E[acute accent]Premier identified more than 75 areas of potential savings, many of which were common to more than one of the 17 hospitals in the study. Where there was consistency in clinical or business practice, Premier developed initiatives that were deployed in each hospital. E[acute accent]"We recognized that the cultural differences in the hospitals would preclude a uniform solution," Feldman said. "Whenever possible, however, we established a comparative database so everyone could see the differences and similarities." E[acute accent]The Premier team looked at the differences in drug utilization, criteria for use, and outcomes among the 17 hospitals. E[acute accent]"The Premier team was able to make its recommendations heard because of the way they approached the project," McCombs said. "The entire mission was driven by clinicians; it was evidence based and they had the literature necessary to gain consensus of our medical staff of the needed changes."

E[acute accent]That doesn't mean it was easy, however.

E[acute accent]"We recognized that breaking longstanding clinical standards and preferences was going to be very difficult," McCombs conceded. "Inertia is a powerful thing. We used Premier's expertise and drove the change through our own Pharmacy and Therapeutics, and clinical model. That helped us own the project and achieve the physician buy-in." E[acute accent]But the work doesn't end there, because sharing the information that has led to success and continuing to generate valuable data are crucial to ongoing success. E[acute accent]"There are pearls of knowledge that hadn't been shared in the past," Feldman said. "We've set up a number of ways to share that information. We have webcasts, the web site itself, buyers' and clinical pharmacist collaborative meetings, and meetings with directors. We helped bring clinicians and administrators to the table together to understand the common goals." E[acute accent]Using validated comparative data, an evidence-based approach and ongoing knowledge sharing, Bon Secours is confident it will achieve at least the $8.2 million in cost reduction identified in this project. E[acute accent]"I have no doubt we will succeed," noted McCombs. "We're already well on our way."

E[acute accent]About Bon Secours

E[acute accent]Bon Secours Health System, Inc. based in Marriottsville, Maryland, is a $2.25 billion dollar not-for-profit Catholic health system that owns, manages or joint ventures 20 acute care, 8 long term care, 8 assisted living and independent living and other facilities, primarily on the East Coast. Bon Secours Health System, consists of more than 25,000 caregivers helping people in 13 communities in nine states. Its vision is to be a leader in Catholic health ministry reaching beyond tradition to liberate people's potential and improve the communities it serves.

E[acute accent]About Premier

E[acute accent]Premier, Inc. is a strategic alliance in U.S. healthcare, entirely owned by 200 of the nation's leading hospital and health care systems. These systems operate or are affiliated with approximately 1,500 hospital facilities in 50 states and hundreds of other care sites. Premier provides an array of resources supporting health services delivery in the key areas of supply chain improvement and group purchasing, comparative data and benchmarking, and insurance. Premier adopted its EPP program in 2000 and was the first Group Purchasing Organization to win the H2E Champions for Change award. Premier won the H2E award again in 2004. Premier is headquartered in San Diego, Calif., with offices in Chicago and Charlotte, N.C. Advocacy and policy offices are located in Washington, D.C. For more information, visit www.premierinc.com.