Case Study

Improving ASC Profitability

through

Surgeon Engagement & Preference Card Optimization

OVERVIEW

Orthopedic Specialization
6 Surgery Suites
Twin Cities Orthopedics Partner

CHALLENGES

Decrease supply costs
Reduce clinical variation
Improve operational efficiency

The Eagan Orthopedic Surgery Center is a physician-owned, state-of-the-art facility in partnership with Twin Cities Orthopedics that prides itself on being an innovative, nimble organization delivering exceptional care and industry-leading patient experience. DOCSI executed a facility-wide implementation of its Mobile Physician Dashboard™ tool to target cost reduction through surgeon engagement and preference card optimization.

EXECUTIVE SUMMARY

SURGERIES

The driver of financial sustainability for ASC's
Surgical preferences & supply utilization patterns contribute or detract from profitability
Preference cards are often inaccurate, and are often left unmanaged

OPPORTUNITY

INDUSTRY CHALLENGES

EACH YEAR

Despite these favorable industry tailwinds, ASC's face increasing margin compression from reimbursement rates that fail to keep pace with inflation and operating costs that outpace inflation. This duel threat makes efficient operational management more critical than ever to ASC growth and viability. Strategic, consistent oversight of non-labor spend plays a crucial role in maintaining margins.

65%

Of surgical cases in the U.S.

take place in ASC's

Roughly 37 million cases

The Eagan Orthopedic Surgery Center sought an effective strategy to engage surgeons on key efficiency initiatives including:

Reducing surgical supply waste
Increasing usage of lower cost, functionally equivalent supplies
Reducing clinical variation of material usage

Digital, intuitive, scalable solution engaging surgeons in reproducible campaigns to reduce variation in surgical supply utilization.

DOCSI's design pillars of convenience, curation and actionability provided opportunity to approach complex relationships between surgeons and preference items in a highly efficient and productive manner.

RESULTS

*Savings projection represents a conservative calculation not factoring labor-based and other indirect expense reduction

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Leadership Feedback

"Accurately capturing the preferences of surgeons is extremely time-consuming for staff and
administrators. Layering in cost savings opportunities in addition to this can strain surgeon
relationships and take months or years to optimize. DOCSI puts these tools into the hands of the
surgeons, turning reams of paper and hours of meetings into a few minutes of review via
mobile app. It's common practice to add more and more items to preference cards, but staff lack
the data and perspective to know when items can be removed and needed cleanup can be ignored for years. DOCSI targets this directly and makes an immediate impact to supply chain operations and inventory levels."

Alex Grant, Administrator, Eagan Orthopedic Surgery Center

KEY TAKEAWAYS

Surgeon preferences represent the fundamental driver of non-labor spend in ASC's.

Building and maintaining a culture of physician awareness and actionable self-management around non-labor spend is an essential element of sustainable non-labor spend management.

Most preference card optimization initiatives lack scalability and sustainability. DOCSI functions as a force multiplier, offering a scalable, sustainable solution to facilitate maximal expense reduction, maintenance of cost containment and iteration upon additional expense reduction opportunities.