The Resource Group has silenced the supply chain in order to transform logistics and operations into a hospitality organization. Through execution of process and controls and investment in talent, The Resource Group has developed a model that drives out cost with minimal disruption so that healthcare organizations can focus on providing quality patient care.

Griffin Hospital

Griffin Hospital - Derby, CT

Henry County Medical Center

 Henry County Medical Center - Paris, TN

The Resource Group's Journey

Image of doctors talkingBetween 2009 and 2010, The Resource Group began dismantling the traditional healthcare supply chain function, characterized by fragmented contract category management and limited oversight of the total supply chain, with the goal of transforming it into a strategic sourcing organization that manages all contracting, logistics, operations, and integrated change management. 

This transformation was accomplished by implementing a unique, comprehensive approach that involved significant collaboration with Ascension leadership to specifically identify the drivers of supply chain waste and inefficiency: preference, supplier influence, and utilization. The Resource Group recognized that the solution to these long-standing complex issues was as simple as listening to physicians, clinicians, and end-users and translating their needs into the attributes of a clinically acceptable product or service. This solution, now known as the User-Directed Strategic Sourcing process, begins with utilizing Decision Teams™ and Affinity Groups™ to gather the necessary attributes (i.e., specifications) of an acceptable product or service. The Resource Group was able to eliminate variation, improve end-user satisfaction and prepare to launch the first of its kind, wholly-owned GPO after the OIG delivered a positive opinion in June 2012.

Since June 2012, The Resource Group has developed into a business transformation services organization that specializes in the area of non-payroll spend and the processes that sustain the value realized. Through its promise to “Listen, Innovate, and Implement™”, The Resource Group delivers solutions that accelerate financial performance for its customers. Specifically, The Resource Group grew its User-Directed Strategic Sourcing concept into a series of financial improvement solutions inclusive of contracting services, logistics and operations services, integrated change management, and implementation services. User-Directed Strategic Sourcing is operationalized by permanently embedding functional experts and local implementation teams within Participants, which acknowledges the importance of customer engagement. Participants collaborate to implement The Resource Group's solutions to sustain expense reduction. Since 2008, The Resource Group’s Participants have realized an annualized 6-18% non-payroll expense reduction, representing $888M annualized savings across the categories of supplies, purchased services, capital, information technology, and construction/facilities supplies.

As of June 2016, The Resource Group serves over 140 Participants, employs 480 associates, and directly manages over 1,400 additional associates embedded within its Participants across 24 states and Washington, DC.