Lowering the Cost of Healthcare by Listening First
Rather than replicate an existing solution, in 2008, The Resource Group dismantled the traditional approach to healthcare resource and supply management and developed its User-Directed Strategic Sourcing process, which starts by listening to the caregiver to determine the necessary attributes of a product or service, contracting to meet these attributes with the best value, and continuously implementing to achieve and sustain value. The Resource Group’s customers, known as “Participants” achieve maximum savings as all decisions are made based upon listening to and respecting the voice of the caregiver. This approach has resulted in a contract portfolio that covers 90% of our Participants’ supply, IT, construction, capital, and purchased service needs.
Service-Based Resource and Supply Management
Although The Resource Group is a change management organization specializing in operations and logistics, sourcing and contracting, and implementation and analytics, at its heart, it is focused on hospitality and caregiver satisfaction. We believe that resource and supply management should be silenced and that the typical “noise” present in the resource and supply management function should be eliminated through a tightly-coordinated and highly-efficient virtual operations and logistics model which allows our Participants to focus on what they do best - providing patient care. Additionally, this low-cost model eliminates unnecessary expenses associated with operating capital-intense warehouses and expensive, low-unit-of-measure distribution models while also improving inventory turns and fill rates. Since 2011, The Resource Group’s Participants have increased inventory turns 45 percent, resulting in an additional $116M in cash available through inventory reduction.
Integrated Change Management Model
Our User-Directed Strategic Sourcing process coupled with our approach to change management and unique operations and logistics model is known as the Integrated Change Management Model. Through this model, The Resource Group has delivered more than $1 billion in annual expense reduction, in supplies, purchased services and non-supply areas, to its Participants.
The Resource Group manages the end-to-end resource and supply function for over 2,500 locations across 24 states and Washington D.C. with a contract portfolio valued at $7.7 billion in annual supply, purchased services, pharmacy, construction materials, capital, and IT spend.
We designed our solutions to provide maximum value to our Participants. Learn how they could work for your organization.
The Resource Group does not make product decisions for the end-user; instead, it operates a process by which decisions are made. User-Directed Strategic Sourcing empowers end-users by focusing on the attributes of a product or service with complete assurance that the highest level of acceptability will be met. This revolutionary approach has been a critical component of our ability to design, negotiate, and implement contracts for products and services that meet the needs of those we serve, evidenced by our Participant’s 99.8% implementation rate of new contracts."
The Resource Group's Purpose
The Resource Group’s goal is to lower the cost of providing quality healthcare by continually innovating resource and supply management and committing to service excellence. We carry out this commitment through our Service Excellence Promise.
We are rooted in the ideals of hospitality and the belief that success is measured by the satisfaction of the customer.
We promise to deliver the highest level of service to our patients, associates, caregivers, and physicians. Our dedication enables us to optimize the total value of the products and services we source and deliver. We inspire and empower each other in an environment of belonging and purpose. We are supportive and contributing members of our communities and those we serve and perform with uncompromising honor and integrity. Each Associate at The Resource Group proudly carries this promise each day as a reminder of our promise to those we serve.
Learn more about the Service Excellence promise here.
- We embrace the Service Excellence Promise, which reflects the purpose of our work.
- We help each other effectively provide service to our patients, associates, caregivers, and physicians.
- We identify and immediately correct known defects before they affect a patient, associate, caregiver, or physician.
- We ensure our work areas are clean and organized and take pride in being attentive to the work areas of those we serve.
- We know our role in an emergency situation and in protecting those we serve, including associates, patients, and assets. Safety and security are everyone’s responsibility.
- We report unsafe conditions and security concerns immediately, responding according to the policies of those we serve.
- We are attentive, responsive, caring, and timely in providing service to patients, associates, caregivers, and physicians, while respecting personal time and privacy.
- We appropriately and professionally represent The Resource Group in our appearance, grooming, and attitude.
- We proactively fulfill the needs of our patients, associates, caregivers, and physicians.
- We protect sensitive information (inclusive of vendor information, product pricing, etc.) from those who do not need to know such information.
- We are positive both inside and outside the workplace. It is our responsibility to create a great environment and reputation for our facilities and for each other.
- We reflect our image in all forms of communication (e.g. signage, letters, email, handwritten notes, etc.). To avoid misinterpretation and add a personal touch, verbal communication is preferred.
- We are always gracious and treat others with respect and dignity.
- We ensure that our Mission, Vision, and Values are reflected in our actions.
As a subsidiary of Ascension, The Resource Group shares Ascension’s mission, vision, and values. If you would like to learn more about Ascension’s mission, vision, and values, please find them here.
Ascension is a faith-based healthcare organization dedicated to transformation through innovation across the continuum of care. As the largest non-profit health system in the U.S. and the world’s largest Catholic health system, Ascension is committed to delivering compassionate, personalized care to all, with special attention to persons living in poverty and those most vulnerable. In FY2017, Ascension provided more than $1.8 billion in care of persons living in poverty and other community benefit programs. Ascension includes approximately 165,000 associates and 34,000 aligned providers. Ascension’s Healthcare Division operates more than 2,600 sites of care – including 153 hospitals and more than 50 senior living facilities – in 22 states and the District of Columbia, while its Solutions Division provides a variety of services and solutions including physician practice management, venture capital investing, investment management, biomedical engineering, facilities management, clinical care management, information services, risk management, and contracting through Ascension’s own group purchasing organization.