Large employers want New York City to develop its own GPO for hospital supplies

A group that represents some of the largest employers in New York City issued a report urging the city to develop its own group purchasing organization for hospital supplies as a strategy to improve the city’s overall public health system, The Wall Street Journal reported. 

The report comes from the Partnership for New York City and Deloitte Consulting, which represents employers including Bank of America, Goldman Sachs Group and JetBlue Airways. 

The group said New York City should develop its own group purchasing, local-sourcing or manufacturing of hospital supplies. The shortage of personal protective equipment during the COVID-19 pandemic has drawn criticism from unions representing workers in the group, the Journal reported. New York hospitals had to turn to upfront payments, charity donations and deal-making to obtain medical supplies. 

Jeffrey Kraut, executive vice president for strategy and analytics for Northwell Health, based in New Hyde Park, N.Y., told the Journal the city’s healthcare system didn’t provide good insight into communities it was trying to help during the pandemic and a better data system is needed. 

The group is also calling for other public health reforms, such as a system to set health standards for indoor spaces and better integration of healthcare with social and economic initiatives for vulnerable citizens. 

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