Innovation Lifecycle Management: Procurement Myths

Procurement in healthcare refers to the process of acquiring goods, services, and equipment that are necessary for the operation of a healthcare organization. There are several myths surrounding procurement in healthcare, including:

Procurement is only about buying goods and services: Procurement in healthcare is not just about buying goods and services, it also involves identifying the needs of the organization, evaluating potential suppliers, negotiating contracts, and managing relationships with suppliers.

Procurement is only focused on cost: While cost is an important consideration in procurement, it is not the only factor. Quality, safety, and compliance with regulations are also important considerations.

Procurement is a one-time process: Procurement is an ongoing process that involves continuous monitoring and management of supplier relationships, to ensure that the organization is getting the best value for its money.

Procurement is only the responsibility of the procurement department: Procurement is a cross-functional process that involves collaboration and coordination between different departments and stakeholders within the organization, such as finance, clinical staff, and legal teams.

Procurement only covers tangible goods: Procurement also covers services like consulting, temporary staffing, and software development, which can be a significant part of healthcare operations.

Procurement is not important for small healthcare organizations: Regardless of the size of the organization, procurement is an essential function that helps to ensure that the organization has the resources it needs to provide high-quality care to patients.

In summary, Procurement in healthcare is a complex process that involves acquiring goods, services and equipment that are necessary for the operation of a healthcare organization, by identifying the needs of the organization, evaluating potential suppliers, negotiating contracts, and managing relationships with suppliers. It is an ongoing, cross-functional process that involves collaboration and coordination between different departments and stakeholders within the organization. It’s important for both big and small healthcare organizations.