Lower Costs Without Lower Care: A Strategic Approach to Non-Clinical Spending

By Colin Gilmore | Media Coverage

Ongoing revenue pressure, the drive for innovation and increased market pressures and complexity have magnified the need for bottom-line cost management and profit improvement across the healthcare industry. Improved patient access and care is a key priority, with teams of dedicated resources focused on lowering costs and enhancing services. Strategic initiatives, such as vertical integration and shifts to new models (e.g. telemedicine), present opportunities for greater long-term efficiencies but new approaches to fund these changes must be identified. 

Non-clinical spend represents an untapped source of funds, but healthcare systems are often poorly positioned or resourced to extract the value. Optimizing spend in diverse categories like Professional Services, IT and Facilities requires expertise and scale leverage not available to most systems. GPOs effectively offer expertise and scale for clinical spend, but cannot provide the national, regional and local expertise required for similar optimization on the non-clinical side. Broad national GPO contracts with limited suppliers frequently aren’t in-line with the unique regional/local needs of our nation’s healthcare ecosystem. Net, there is money being left on the table that can be better deployed to improve patient experiences. 

At the Modern Healthcare Supply Chain and Revenue Cycle Virtual Briefing, WellSpan Health CAO, Keith Noll and Former President of Bon Secours Mercy Health and LifeBridge Health, Brian White, were joined by LogicSource’s David Pennino and Chris Maher to explore how new approaches to non-clinical procurement can stretch dollars further and enable investment in innovation and enhancing patient outcomes. 

If you didn’t get a chance to attend the panel live, check out the full recording below:

Keith Noll, Chief Administrative Officer, WellSpan Health
Brian White, Former President of Bon Secours Mercy Health and LifeBridge Health

Chris Maher, Managing Partner, LogicSource
David Pennino, Chief Executive Officer, LogicSource

About LogicSource:
The innovative leader in procurement services and technology, LogicSource is purpose-built to drive profit improvement, mitigate risk, and ensure supply chain continuity through better buying. LogicSource focuses exclusively on the sourcing and procurement of indirect goods and services, which typically represent 20% of an organization’s revenue and the area of greatest spending inefficiency. These include complex categories like marketing, packaging, corporate services, facilities, information technology, distribution and logistics and more, for which organizations often lack the capacity, focus and scale to achieve best-in-class buying. Unlike traditional advice-based consultants, LogicSource is a purpose-built buying utility with assets that are configurable to their clients’ needs and ready to deploy. By combining decades of sourcing and procurement expertise, superior market intelligence, cross-portfolio spending leverage, and their OneMarket® Source-to-Pay technology, LogicSource executes customized solutions that deliver immediate savings and sustainable value. For more information visit