Many don’t realize, but there’s enormous savings opportunity in consultant rates.
Today’s post is by Dave Wenig, Senior Vice President of Sales and Services at SafeSourcing.
Of all the different categories we source across the different industries we support, there are a few that stand out as consistently delivering savings well above the 24.8% average we regularly talk about. One such category is consultants in the healthcare industry.
To illustrate that point, I’ll highlight an example where we worked with one of our healthcare customers to source their Pharmacy Benefits Manager (PBM) Consultant services using a two phase process. In the first phase, we began with an RFP and in the second phase we finished with an RFQ.
During the RFP, we ensured that all of the participating vendors were well qualified to provide the financial audit of their claims, assessing current PBM practices and claims data to ensure that proper and accurate management of the prescription plan is occurring. We also made certain that the vendors were well qualified in other ways such as meeting the criteria outlined by the business for partners. Once we had that initial starting point, we were able to proceed to the RFQ.
In the RFQ portion, we saw amazing opportunity for savings. How high was the savings? 70.37%. Over the course of 38 minutes we hosted an RFQ in which 7 of the finalist vendors from the RFP participated and competed to earn the business of our customer.
While this example is really interesting, it actually isn’t unique. RFQs for consultant services in the healthcare industry typically yield impressive results well in excess of our 24.8% average.
How would you like to enhance the negotiations with your contractors before you engage them for their next audit? Reach out and we’ll be happy to share our thoughts and experience.
If you would like more information on how SafeSourcing can help your procurement efforts, or on our Risk Free trial program, please contact a SafeSourcing Customer Service Representative. We have an entire team ready to assist you today.