Global Healthcare Exchange Introduces the WebDirect Order Processing Tool for Smaller and Niche Healthcare Suppliers

Global Healthcare Exchange Introduces the WebDirect Order Processing Tool for Smaller and Niche Healthcare Suppliers

New Web-based Offering Gives Suppliers E-Commerce Capabilities Without a Major IT Investment; Enables Healthcare Providers to Increase the Number of Vendors They Can Conduct Business With Electronically

WESTMINSTER, Colo., Dec. 1 /PRNewswire-FirstCall/ -- Global Healthcare Exchange (GHX) has introduced WebDirect, a Web-based order processing tool that gives smaller, niche healthcare suppliers many of the e-commerce capabilities previously only available to larger suppliers with more sophisticated information technology (IT) systems. Using WebDirect, suppliers can transact business electronically with their customers through a single connection, without having to make a significant investment in an EDI infrastructure or additional IT resources. The Internet-based system enables them to receive electronic purchase orders and transmit purchase order acknowledgements, as well as electronic invoices in the near future, in an EDI format.

"The invoicing capability is a huge advantage for us because many of the larger, more technologically-sophisticated suppliers don't even have that capability yet," says Brad Elmore, Vice President of Sales, MedFilters. "WebDirect really levels the playing field and makes it easer for smaller suppliers to compete." MedFilters specializes in air and water filtration in the healthcare environment.

Providers, too, will benefit from WebDirect and the invoicing functionality. "We currently conduct e-commerce with most of our larger vendors through GHX, but now with WebDirect, we can ask our smaller manufacturers and niche players to transact business with us electronically," says Nancy LeMaster, Vice President, Material Services, BJC HealthCare. "Increasing the percentage of purchasing done electronically will help our buyers work more efficiently, and the electronic invoice will save considerable time for our Accounts Payable staff." At many hospitals, as much as 75 percent of an Accounts Payable clerk's time can be spent rekeying invoices, which can also result in data entry errors and more invoice exceptions.

In addition to better serving their customer needs, WebDirect helps suppliers manage and fulfill orders. Conveniently accessed from any computer with a standard Web browser, WebDirect enables suppliers to review new and acknowledged orders on screen, respond to orders, check and update order status, and receive discrepancy alerts. Reports can be searched and sorted according to criteria including customer name, purchase order number, line status, dates for order receipt and response.

"Until now, the high cost of an EDI infrastructure kept many smaller suppliers from realizing the full potential of e-commerce," says Tina Vatanka, GHX Director of Supplier Membership. "The availability of WebDirect will enable these suppliers to enjoy many of the benefits realized by larger suppliers." Larger suppliers participating in GHX say they can process more orders without a corresponding increase in customer service staff, while better order accuracy and electronic invoicing have contributed to as much as a 20 percent reduction in Days Sales Outstanding.

Currently in North America, more than 1765 integrated acute care hospitals and 780 alternate site healthcare providers utilize GHX to conduct business with more than 173 supplier divisions. Nine new suppliers joined GHX in the third quarter of 2004, more than any other quarter in the company's history, with more expected to join with the introduction of WebDirect.

About Global Healthcare Exchange

Global Healthcare Exchange, LLC (GHX) provides an open and neutral electronic trading exchange, along with complementary products and services, through which buyers and sellers can collaborate to improve efficiencies in the healthcare supply chain. GHX's catalog and content services improve the accuracy of purchasing transactions, reducing many of the most common and costly problems in healthcare procurement, while the privately held company's revenue neutral business model is designed to lower costs for all involved. GHX's owners, strategic partners, and trading exchange participants are representative of the entire healthcare supply chain, including manufacturer and distributors, integrated delivery networks (IDNs), hospitals and ancillary healthcare facilities, group purchasing organizations and their proprietary healthcare trading exchanges, and supply chain technology companies. Equity owners of GHX include Johnson & Johnson Health Care Systems Inc.; GE Medical Systems; Baxter Healthcare Corp.; Medtronic USA, Inc.; Abbott Exchange, Inc.; Siemens; Becton, Dickinson & Co.; Boston Scientific Corp.; Tyco Healthcare Group, LP; Guidant Corp.; C.R. Bard, Inc.; AmerisourceBergen Corp.; Cardinal Health, Inc.; Fisher Scientific International, Inc.; McKesson Corp.; B Braun Medical Inc.; Premier, Inc. and HCA. For more information visit www.ghx.com.


Source: Global Healthcare Exchange, LLC

CONTACT: Karen Conway of Global Healthcare Exchange, +1-719-488-0359,
+1-303-564-2147, kconway@ghx.com

Web site: http://www.ghx.com/


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