How Northside Hospital Reduced Supply Spend: A Genesis Data Case Study

The Challenge

Supporting an extended period of rapid growth put tremendous pressure on Northside's supply chain to meet increasing demand for a wider array of products at optimal pricing. Initially, there was poor visibility into overall spend and little consistency in procurement processes across the system. The item master contained hundreds of duplicates created by both stock and non-stock ordering, and there was no reliable mechanism to enforce contract compliance at the point of purchase.

The Solution

Northside chose to work with Genesis because its strategic sourcing approach provided instant visibility into supply purchasing and contract activity, and immediately identified areas for improvement and savings. The platform provided a roadmap to better data, greater standardisation, and more unified purchasing across their facilities.

"Because we have multiple acute-care hospitals and hundreds of outpatient locations, we need to maintain standardisation across the network in how and what we purchase — but we also need to remain agile, to accommodate the custom needs of our 3,500 physicians and diverse specialty service lines, while keeping the clinical needs of patients at the forefront. Genesis enables us to handle that balance and provided a path to ongoing savings."
— Carl Waller, Vice President of Supply Chain Management, Northside Hospital

The Results

• 40% reduction in supply chain expenses as a percentage of revenue over seven years
• 91% reduction in contract overpayments
• Price deviation leakage reduced from $5.7M to under $250K
• Contract compliance improved from under 2% spend association to a 65% improvement in compliance
• 132.95% improvement in price variance
• Overpayments reduced to less than 1%

How Genesis Data Made It Possible

Genesis Data's Content Management module normalised and attributed the item master across all Northside facilities, establishing a clean, single source of truth for product data. Formulary-driven procurement workflows ensured buyers were guided to the right product, on the right contract, at the right price — before the purchase order was submitted. Nightly FDA recall feeds were linked to the item master so recalled items were identified before they could be ordered.

Genesis Sourcing consolidated all GPO and local contracts into one continuously updated repository, with AI-based contract matching linking every contract line to the corresponding catalogue item. Rebate Management automated eligibility validation and captured earned rebates that had previously gone unclaimed.

The result was a supply chain that continuously enforces the terms hospitals negotiate — without requiring manual oversight at every transaction.

To learn how Genesis Data and Genesis Sourcing can deliver similar results for your organisation, talk to a Genesis expert or request a free Data Analysis.