Many ASCs are encountering difficulties in obtaining IV fluids following the flooding caused by Hurricane Helene, which damaged a Baxter International facility in Marion, N.C., responsible for producing 60% of the country's IV fluid supply. Yet they are often finding ways to obtain and use IV fluids in ways hospitals may fall short.
Ken Schaff, regional ASC administrator at HCA Surgery Ventures, joined Becker's to discuss how working at an ASC has made it easier to navigate the shortage.
"It's easier with an ASC," Mr. Schaff told Becker's. "It's smaller and more nimble than hospitals. We communicate directly with our clinical staff. We keep supplies in a single location for better control."
Every day, staff retrieve their daily work and log any IV solution, allowing the team to maintain a daily inventory and stay ahead of their usage, Mr. Schaff said.
Having to track supplies closely is critical, he said, because they're working with allocations amid the shortage.
Many ASCs learned the importance of being nimble and streamlining communications when dealing with supply shortages brought on by the early days of the COVID-19 pandemic.
"Supply allocations have also been added to the mix of the pandemic pain. We have increased our budget reserve for essential supplies instead of buying when needed," Catherine Llavanes, CEO of Sante Health Partners in Los Angeles, told Becker's in 2022. "This will help ensure that there will be minimal disruption if there is a supply shortage. We try to be prepared and stay in tune with the daily changes in emergency management in each state we operate."
Operating as a smaller facility can also present unique challenges for many ASCs. It's typically difficult to gain leverage in competitive markets, particularly when facing larger hospital systems.
Hospitals often have more influence, resources and the ability to offer a wider range of services, including emergency procedures, which ASCs generally do not provide. This disparity can make it harder for ASCs to compete for patients and secure favorable contracts with payers.
"Years ago, we faced shortages and relied on our hospital partner to source supplies when we couldn't," Mr. Schaff said. "Their scale allowed them to stock pallets, while we have just one shelf. We're all trying to be good stewards of our resources, especially during shortages."
Now, since the ASC is affiliated with Nashville, Tenn.-based HCA Healthcare, he has more leverage in securing contracts and supplies.
Maintaining a solid supply strategy is necessary amid the rise of practice costs and decline in ASC reimbursements. Supply costs make up a median 28 percent of an ASC's revenue, according to Avanza's 2022 "Key ASC Benchmarks and Industry Figures" report, and the average ASC spends about $2.9 million on drugs and other medical supplies.
"The biggest lesson from this situation is the need for redundancy in vendors," Mr. Schaff said. "Relying solely on one vendor, like Baxter, can be risky, especially if a natural disaster affects their supply. We need to diversify our supply sources to prevent crises from crippling our operations."