The Role of the GPO in Healthcare
Posted Friday, January 31, 2020Did You Know? GPOs reduce supply-related purchasing costs to hospitals and nursing homes by 13.1% compared to providers who do not use GPO services
Matrix GPO is a Group Purchasing Organization for Community-Based Physicians
Rising drug prices make it essential to align with a GPO that can negotiate cost-effective contracts
01 | Group Purchasing Organization – What is it?
A Group Purchasing Organization, or GPO, is an entity that helps healthcare providers realize savings and efficiencies by aggregating purchasing volume and using that leverage to negotiate discounts with manufacturers, distributors and other vendors. GPOs help source and negotiate prices for drugs, medical devices and other products and services on behalf of healthcare providers. According to the Healthcare Supply Chain Association (HSCA), healthcare providers realize cost savings of 10-18% by using GPOs.
02 | Benefits of a GPO
In particular, GPO contract acquisition pricing for branded and generic drugs offers members savings opportunities through the Matrix GPO network of pharmaceutical manufacturer relationships. Note some benefits of utilizing a GPO:
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GPOs source and negotiate prices for products and services
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GPOs save money for healthcare providers and patients
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GPOs operate in a vigorously competitive procurement market
03 | Matrix GPO – Structured to Your Needs
Matrix GPO is uniquely positioned to partner with other national group purchasing organizations. When desired, Matrix GPO can supplement the existing product portfolio of a national GPO and strengthen the overall product offering for its membership.
Matrix GPO harnesses the purchasing strength of its members collectively, to offer products and services that support the independent physicians and practices that serve patients at the local and regional level.
03 | Service Spotlight
Matrix GPO offers a diverse portfolio of service providers over a broad range of service types. Programs can be customized to fit the direct needs of an office. Some of the services available through Matrix GPO include:
- Inventory Management
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Prior-Authorization Management
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Marketing Services
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Compliance and Regulatory Training
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Reporting Services
Learn More
Matrix GPO is bringing physicians to the forefront of growing services. Contact us today to learn more about all of our available services and to learn more about Matrix GPO member benefits. Click here to visit the Matrix GPO website and fill out an enrollment form.
References
https://matrixgpo.com/Content/preferred-portfolio-member
2026