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E-Book: Physician Preference Items (PPI)

Want to save millions of dollars? Look at PPI.

Physician Preference Items (PPI) account for up to 40-60 percent of a hospital’s supply costs1 and are often the result of: familiarity from the physician for an implant or supply they trained with; products that have demonstrated strong patient outcomes in the physician’s practice; a relationship with the supplier; or a combination of these factors.

Supply chain leaders must be empowered with data that identify cost and utilization variances, as well as cross-reference benchmarks. But market expertise and physician engagement are just as important as access to robust data and benchmarking. Common challenges arise in balancing these factors, but knowing supply chain’s exposed areas – and how to overcome them – are key factors to success.

1Definitive Healthcare. Reining In Hospital Supply Costs and Physician Preference Item Spending. (2017, March 28). Retrieved from


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