Distributors have a lot to offer, and they should let others know
Distributors have much to be proud of. They offer valuable services to their customers and manufacturer partners, and it’s time to proclaim their value. That’s a message Mark Zacur wants to convey to the industry this year as he serves as chairman of the Health Industry Distributors Association.
“We should stand up straight, be proud, and proclaim our value,” said Zacur, who spoke with Repertoire Publisher Scott Adams at the recent HIDA Executive Conference in Bonita Springs, Fla. “We can walk in to providers’ offices with the bold message, ‘We can help you drive your initiatives.’”
Zacur is vice president and general manager for Fisher HealthCare, part of Thermo Fisher Scientific, a supplier of clinical diagnostics products to hospitals, reference laboratories, and physicians’ offices. He joined Thermo Fisher Scientific in 2004 as vice president of marketing and product management for Fisher Safety. Prior to that, he worked for Raytheon Company, Monsanto, and Bayer.
Beyond buy/sell
In order to demonstrate their value, distributors need to move beyond the traditional buy/sell mentality, says Zacur. “We can help reduce hospital-acquired infections, achieve shorter stays through proper diagnostics,” among other things, he says. “These are issues that resonate in every single hospital board room throughout the country.”
Zacur knows something about hospital board rooms, as he joined the board of directors of Pittsburgh, Pa.-based St. Clair Hospital in December 2014.
Key competencies
Distribution used to be all about logistics. And it still is. But distributors have much more to offer customers – and manufacturers – today, says Zacur.
For example, they have deep exposure to a wide set of products, and they know which ones are most effective in certain situations. Lab distribution – with which he is so familiar – is an example. “Our reps are highly trained. We can go to the customer and say, ‘If you use Test B instead of Test A, you could increase accuracy, you will have fewer moms calling to say, ‘My kid is still sick; what happened?’ You’ll have better diagnoses, your patients will get in and out, and they won’t come back for the same condition.”
Distributors hold another key competency that they can share with their provider customers. “By the nature of the business, we are incredibly lean,” he says. “We are lean on processes, and we know how to function in that environment. I think we can share that mentality with our customers. We can focus on what we’re good at.”
Distributors have much to offer providers who are busy consolidating different care sites, he continues. In fact, consolidation – for example, hospital systems acquiring physician practices – is not a challenge for distributors so much as an opportunity.
“It’s an opportunity to drive standardization across the continuum,” he says. “We have relationships at the IDN level; we can go in and have a discussion with one person and drive product usage across hundreds and sometimes thousands of users in that network.
“It’s about helping our customers manage their expenses,” he adds. “It’s about driving standardized processes – same tests, same results, same degree of confidence.” And for the patient, standardization means having a similar experience regardless of which IDN facility he or she visits.
But it also calls for a new way of selling. In the traditional approach, the rep (whom everybody knows by name) goes in; customers tell him or her what they need; and the rep makes sure they get it.
But today, “It takes a community to drive a sale,” he says. That community includes the supply chain executive, finance, and other departments. Using lab as an example, Zacur says the Fisher rep may begin his or her call in the lab, but then may visit the ER, infection control, or the pharmacy. And the same holds true for reps representing other product categories.
The hospital board room
Serving on a hospital board has helped Zacur gain valuable insight into his customers.
“First and foremost, [serving on the board is] an opportunity for me to give back to my community,” he says. But it also gives him an opportunity to learn firsthand what’s on his customers’ minds, and how distributors can help. “It’s about walking a mile in their shoes and understanding how you can help them.
“Every single conversation the board has circles back to the patient,” he says. Exemplary clinical outcomes, patient satisfaction, etc., are uppermost in the minds of hospital administrators. The hospital on whose board he sits – St. Clair Hospital – has responded a number of ways, including implementing lean principles in its emergency department. There’s no waiting area; instead, patients are escorted into a treatment area immediately upon arrival. And St. Clair closely monitors how long they wait before receiving treatment.
“St. Clair is a nonprofit, independent – which isn’t easy these days,” he says. “They’re successful because it’s about the patient.” But St. Clair Hospital – like all hospitals – is a business too, he adds.
“It’s important for a nonprofit to make money so they can reinvest. Making money isn’t a bad thing for them, because it allows them to do that. As a member of the board, I’m a steward of the community; I help make sure they do the right things to represent the community.
“One of the huge takeaways I’ve had is that there are so many ways in which distributors and manufacturers can help. When you have the ability to hear what your customers deal with day in and day out, you get that true understanding.”
HIDA announces new Streamlining Healthcare Conference Innovation Pavilions
This year, HIDA is launching three strategic Innovation Pavilions in Skin and Wound Care, Infection Prevention, and Home Care Solutions at its Streamlining Healthcare Conference in Dallas, Texas, Sept. 8-10, 2015. The pavilions will provide attendees unique product solutions and education surrounding these distinct supply chain issues and markets in a conference setting, according to HIDA.
“Infection prevention and home healthcare are two areas in which our members are well versed and craving more information on developing trends,” says Ian Fardy, HIDA executive vice president. “Skin and wound care is a natural addition to our education offerings, as it’s a topic that spans the entire continuum of care – from hospitals and rehab facilities to nursing homes and home care.”
“Last year, our conference featured two new education summits on Patient Experience and Value Analysis in Infection Control,” Fardy continues. “We are pleased to build upon the positive reception these sessions elicited from our members, who specifically asked us to develop and grow this format with new content and topics.”