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Harrington joins new regional company

Goal to lower costs through shared purchasing

April 21, 2011
SOUTHBRIDGE — Harrington Hospital has joined 27 other health care systems from all six New England states to form a new company, the Northeast Purchasing Coalition LLC.

This company, which consists of more than 100 hospitals, has a combined number of nearly 17,000 hospital beds, 5,000 doctors and more than $2 billion in combined non-salary annual expenses.

The goal of the company will be to work together to help "lower costs through aggregating purchasing volume on contracts, decreasing product utilization and incorporating clinical subcommittee recommendations into their purchasing decisions."

"This is a group purchasing organization and a sub-group of different hospitals throughout New England who are all members of a larger group purchasing organization called Novation," said Doug Crapser, chief operating officer and executive vice president at Harrington Hospital. "Novation is part of a organization called Voluntary Hospitals of America, [VHA] which all of the hospitals are also members of. This allows us to achieve greater cost savings for some of our purchases by having a more focused purchasing approach which included many of the larger healthcare hospitals in New England."

For more on this story, please see tomorrow's Southbridge Evening News.

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