Sanford Health Engages GE Healthcare to Deliver $44.6 Million in Operational Savings over 10 Years
New comprehensive service agreement is designed to drive efficient operations and support Sanford’s growth
SIOUX FALLS, S.D.--(BUSINESS WIRE)--Sanford Health, the largest rural, not-for-profit health care system in the United States, and GE Healthcare, a division of General Electric Company (NYSE: GE), today announced a 10-year comprehensive service agreement that will enable Sanford to focus on its expanding healthcare capabilities while GE Healthcare drives efficient, standardized operations across Sanford’s growing network. GE Healthcare will work with Sanford to deliver $44.6 million in operational savings over the full term of the contract by optimizing clinical assets and increasing efficiencies.
“In this challenging environment of consolidation, regulatory changes and emerging patient needs, it’s not business as usual for health systems and providers. At Sanford, our experts in operational excellence and productivity will use the power of software, data and analytics to increase speed and efficiency”
Sanford has more than doubled in size since a 2007 merger with Fargo-based MeritCare, and plans to invest significantly over the next decade to expand care for cancer, heart disease and orthopedics. GE Healthcare and Sanford Health, which includes 39 hospitals and 225 clinic locations, will work together to increase productivity through the integration of multiple biomedical engineering and radiology departments, several fleets of clinical equipment and workflow for all staff, with the goal of achieving a right-sized fleet across the network.
“We believe the best and least expensive way to care for patients is to centralize clinics and hospitals to share equipment and expertise,” said Randy Bury, Sanford’s Chief Administrative Officer. “With the dynamic growth we are experiencing, we know there are opportunities to better integrate our departments, optimize workflow across our locations, standardize operations and ensure we have the right amount of technology for patient care. Through this iconic partnership, we believe GE Healthcare will help us achieve our operational outcome goals and pursue expansion efficiently. We also feel they are the right cultural fit for our organization.”
GE Healthcare will deliver annual operational savings through optimized maintenance, mobile asset optimization and lifecycle planning. GE Healthcare will also help Sanford achieve its quality and safety outcome goals by increasing asset utilization, avoiding unplanned downtime and enhancing the cleanliness and distribution of assets.
“In this challenging environment of consolidation, regulatory changes and emerging patient needs, it’s not business as usual for health systems and providers. At Sanford, our experts in operational excellence and productivity will use the power of software, data and analytics to increase speed and efficiency,” said Richard Neff, Vice President & General Manager of GE Healthcare Services, US & Canada.
About Sanford Health
Sanford Health is an integrated health system headquartered in the Dakotas and is now the largest, rural, not-for-profit health care system in the nation with locations in 126 communities in nine states. In addition, Sanford Health is in the process of developing international clinics in Ghana, Israel, Mexico and China.
Sanford Health includes 39 hospitals, 140 clinic locations and 1,360 physicians in 81 specialty areas of medicine. With more than 26,000 employees, Sanford Health is the largest employer in North and South Dakota. The system is experiencing dynamic growth and development in conjunction with nearly a billion dollars in gifts from philanthropist Denny Sanford. These gifts are making possible the implementation of several initiatives including global children's clinics, multiple research centers and finding cures for type 1 diabetes and breast cancer. For more information, please visit sanfordhealth.org.
About GE Healthcare
GE Healthcare provides transformational medical technologies and services to meet the demand for increased access, enhanced quality and more affordable healthcare around the world. GE (NYSE: GE) works on things that matter - great people and technologies taking on tough challenges. From medical imaging, software & IT, patient monitoring and diagnostics to drug discovery, biopharmaceutical manufacturing technologies and performance improvement solutions, GE Healthcare helps medical professionals deliver great healthcare to their patients. For our latest news, please visit http://newsroom.gehealthcare.com