The Plano-based provider consortium TPC announced Monday that it was linking up with St. Louis supply chain company ROi that will create a regional purchasing coalition across Texas, Missouri, and Arkansas.
TPC’s network of 20 acute care hospitals controls about $1 billion in purchasing volume. ROi, meanwhile, is a supply chain management company that technology research firm Gartner has declared as one of the nation’s 10 best. The two agreed to a multi-year deal that will put ROi in charge of strategic contracting and sourcing; utilization management; service line management; clinical and operational consulting; data analytics; and private label products. It will be the “preferred” group purchasing organization for TPC’s hospitals.
TPC includes Christus Trinity Mother Frances—which is based in Irving but operates a network of hospitals and clinics in East Texas—and 10 other independent hospitals and systems in small Texas towns, like Abilene and Midland and Mission.
“From day one, TPC’s mission has been to provide independent, community-based health systems with an efficient framework to collaborate as one large system to optimize pricing, utilization and standardization strategies to maximize performance and tangible value,” read a statement from Tim Lancaster, board chairman of TPC. “As we reassessed the GPO market, we concluded that ROi is best aligned with TPC’s forward-facing strategy and best positioned as its partner for the future.”
The deal officially begins on December 1.