A GPO, or group purchasing organization, can provide your business with substantial savings thanks to discounts on a wide range of products and services. When you partner with a GPO, your organization benefits from procurement insights and the assistance of a team of professionals who can help bolster your supply chain through services like business reviews and procurement analysis. There are a number of GPOs to choose from and finding the right fit can shape your GPO experience.
CNECT is here to help you choose the right GPO for your business. In this blog post, we’ll delve into the five distinct things to look for in a GPO partner so that you can make the most out of your GPO experience.
Choose the Right Type of GPO
When choosing a GPO to partner with your business, you should ensure you’re signing up for the right type of organization. There are a number of nuances that divide GPOs, however, they tend to fall within one of two categories, Vertical GPOs, and Horizontal GPOs. Vertical GPOs are focused on serving a niche segment or specific industry, usually within the medical and healthcare space. Alternatively for a broader range of products and expertise, many businesses opt for Horizontal GPOs which are more diverse serving a variety of industries. Horizontal GPOs, like CNECT, give businesses access to reduced pricing on a wide breadth of products and services that they use every single day. For most businesses, horizontal GPOs tend to be the preferred option as they provide their members with a wide variety of suppliers and products.
Check for Experience
Experience plays a significant role in finding the best purchasing fit for your business. By opting for a more experienced GPO, you can purchase with confidence knowing that you have a team by your side that has spent years honing the process. Not only that, but a more experienced GPO is more likely to have an advanced contract roster. Additionally, a GPO with greater experience will usually have a larger member base which in turn adds to their overall purchasing power, and ultimately more savings for your business. For instance, CNECT has over 40-years of purchasing experience, assisting members in uncovering new savings opportunities and optimizing their procurement methods through our contract portfolio of over 2.7 million products and services.
Make Sure they Have the Right Products and Services On Contract
Each GPO has a unique contract list, providing different types of products and services to their members. Meeting with a representative to discuss your unique needs can help to determine if the GPO has the products and solutions your business requires. Top tier GPOs, like CNECT for instance, put their suppliers through a competitive bid process, ensuring that members get the lowest price possible while maintaining supplier transparency, so that members can feel confident that their GPO has their best interest in mind.
Seek a GPO with Adequate Procurement Assistance
When choosing a GPO, look for one that offers support beyond contract connections. A number of GPOs offer additional services that your organization can take advantage of in order to enhance your existing supply chain and procurement methods. At CNECT, we deliver a wide variety of value added services to better our members’ experience. Customized business reviews, for example, provide a thorough review of your current GPO utilization and identify new cost-saving potential. In addition, CNECT members can benefit from business analytics, wherein our industry experts provide price comparisons, and accounts payable analyses to uncover areas of opportunity so that our members can make the most educated decision when reinforcing their supply chains.
Find a GPO that Shares Their Expertise
To take your GPO experience to the next level, partner with a GPO that provides more than just cost savings, but also shares valuable market insights and best practices. Whether through educational content or through procurement strategy recommendations, these additional services add value to your GPO experience. For example, CNECT provides members access to educational content from industry experts such as webinars, policy updates, blog articles, and newsletters to keep our members informed, and equipped to tackle their business challenges with confidence.
The CNECT Difference
CNECT is a horizontal group purchasing organization that specializes in providing supplies and services for a wide breadth of industries. We’re an affiliate of Premier Inc., a healthcare improvement company. Through this partnership, CNECT members can take advantage of over $67 billion in purchasing power. When you become a member of CNECT you’ll gain the guidance and expertise of a team of nationwide representatives dedicated to supporting your organization and providing custom savings. Click here to learn more about what makes CNECT GPO the right choice for your organization.