DUBLIN, Ohio, July 18, 2012 -Cardinal Health today
announced the launch of its new Orthopedic Solutions
offering, an integrated offering that will allow
hospitals and surgery centers to access high quality,
fair priced orthopedic products through the company's
medical distribution platform.
Orthopedics is one of the largest specialties in health
care, but hospitals and providers continue to face cost
pressures as product pricing has increased at an average
rate of 5-15 percent annually without simultaneous
increases in reimbursement.[1]
"Based upon our market and customer research, we believe
that U.S. healthcare providers are ready to support a
simpler, more transparent, fair priced orthopedic
business model," said Lisa Ashby, president, Category
management at Cardinal Health. "Cardinal Health is
committed to bringing innovative product and service
solutions to our customers, and we believe our unique
blend of product and distribution expertise positions us
well to help our orthopedic customers drive
cost-effectiveness and efficiency."
The Cardinal Health Orthopedic Solutions offering
comprises three key components: fair priced products with
supporting supply chain services, and data analytics. In
prime vendor relationships, the model allows Cardinal
Health customers to buy medical devices through Cardinal
Health, enabling customers to reduce both their
ordering costs and their on-hand inventory. Data
analytics tools that will allow hospitals and surgery
centers to have better visibility to their total
orthopedic procedural spend are also included.
To support the Cardinal Health Orthopedic
Solutionsmodel, the company also has created a
specialized version of its ValueLink® Par Optimization
program to help reduce trauma implant inventory inside
hospitals' central processing area. The Cardinal Health
ValueLink® Par Optimization program uses proprietary
calculations with customer supply chain data and clinical
insights to align par levels with demand and drive
inventory right-sizing efforts.
In support of its new Orthopedic Solutions business
model, Cardinal Health also announced its strategic
partnership with Emerge Medical, a provider of high
quality, fair priced trauma products. The companies have
entered into a commercialization solutions agreement
where Emerge trauma products, including cannulated
screws, drill bits and guide wires, will be purchased
through and distributed by Cardinal Health. These
industry standard trauma products will be available at a
30 - 50 percent savings over other currently available
products.
"We're very excited to be entering into an
exclusive distribution partnership with Cardinal Health
so our customers can benefit from Emerge's high quality,
fair priced trauma products and Cardinal Health's
efficient supply chain network," said John Marotta, CEO
Emerge Medical. "Together we will provide a low
cost trauma solution that will drive simplicity and
transparency to this pressured healthcare
environment."
About Cardinal Health
Headquartered in
Dublin, Ohio, Cardinal
Health, Inc. (NYSE: CAH) is a $103 billion
health
care services companythat improves the
cost-effectiveness of health care. As the business
behind health care, Cardinal
Health helps pharmacies,
hospitals
, ambulatory surgery
centersand physician
officesfocus on patient care
while
reducing costs, enhancing efficiency and improving
quality.Cardinal Health is
an essential link in the health care supply chain,
providing
pharmaceuticalsand
medical productsto more than 60,000
locations each day. The company is also a leading
manufacturer of medical and surgical products,
including
gloves,
surgical appareland fluid
managementproducts. In addition, the
company supports the growing diagnostic industry by
supplying medical products to
clinical laboratoriesand operating the
nation's largest network of
radiopharmaciesthat dispense products to
aid in the early diagnosis and treatment of disease.
Ranked #21 on the Fortune 500, Cardinal Health
employs
more than 30,000 peopleworldwide. More
information about the company may be found at
cardinalhealth.com
and @CardinalHealthon
Twitter.
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