The Rep-less pricing model allows surgeons to provide the best care to their patients at greatly reduced costs, publishes royaloakmed.com
Rochester Hills, MI -- (SBWIRE) -- 03/25/2015 -- Citing an example of how its rep-less model helps hospitals with the bottom line, Michigan-based medical device manufacturing company, Royal Oak Medical Devices (ROMD), has announced that hospitals employing the ROMD system are saving tens of thousands and, in some cases, more than $100,000 in less than one year of use. The company recently announced that its uniquely rep-less and cost-saving model for directly providing high quality, US made surgical tools and devices is now available nationally.
Company President Chris Lievois stated, "The current state of health care in the US requires a change. Health care providers are tasked with providing excellent care while reducing costs. The coming changes could see a reduction in reimbursements to the hospitals of 20 - 40 percent. This, coupled with already thin margins, requires hard choices to not only remain viable but also to compete in this new era. Royal Oak Medical Devices (ROMD) believes we have a simple solution that addresses one of the core drivers of cost to an institution: medical implant cost."
Giving the system a try, one surgeon in Illinois, for example, has adapted the concept and is already reaping the fiscal benefits for his hospital, saving approximately $88,000 in the first six months alone. Among the greatest concerns in the orthopedic specialty today is the issue of balancing costs and reimbursements. Based on recent industry studies, there is a keen desire among the majority of practicing orthopedic surgeons to find a cost-saving alternative that allows access to state-of-the-art products and Medical Instruments without suffering premium costs.
ROMD specifically addresses the evolving cost-, quality-, and accessibility-related needs of surgeons, hospitals and clinical surgery centers today. Its innovative business model is designed to create a genuine partnership with every hospital and surgical center with which it works, resulting in the best possible patient care at greatly reduced costs. Additionally, removing an unnecessary person from the operating room can reduce the chances of infection as well as removing other liability issues for the hospital.
Concluded Williams, "Our high quality, US made and 510k cleared products are priced based on the cost of the implant and not the traditional rep-surgeon relationship. By utilizing our products in a percentage of your cases, you can take the pressure off the margins, allow surgeons to maintain their contribution margin and still have the flexibility to offer the newer technology and higher cost products for those patients it truly benefits."
Additionally, the company's implants are 2D etched for tracking purposes and their high volume/low complication surgery-focused implants are user-friendly with familiar instrumentation. Their pricing is straightforward and transparent with consignment and purchase options available.
About Royal Oak Medical Devices
ROMD manufactures and distributes high quality, made in the US Orthopedic Spinal Implants and instruments at prices 40 - 70 percent less than what have previously been considered the lowest nationally contracted price points. This is possible due do the company's vertical integration with its parent manufacturing company, building upon 30 years of high quality precision manufacturing experience. All implants are made on-site in ROMD's Michigan facilities, known for their track record of excellence for precision and safety and an emphasis on precision quality and home-grown cost savings. Royal Oak works directly with its customers, cutting out the need for sales reps and associated fees.