title: Implementation of a shared-savings program for surgical supplies decreases inventory cost.
abstract: BACKGROUND
  Management of operating room inventory has substantial cost-saving opportunities if surgeons agree to standardize supplies used to perform procedures; however, there is no incentive for surgeons to participate in these decisions, because the cost-savings are realized only by the hospital, not the practitioner. In an attempt to engage surgeons with the management of the operating room supply chain, a shared-savings programs was instituted that returned 50% of money saved to the surgery divisions.
  
  
  METHODS
  Opportunities for savings in the use of biologic mesh, cranial plating systems, and neurostimulators was identified. Each item was assigned a physician champion responsible for ensuring that there was clinical equipoise between the products being used. Any cost-savings realized during the fiscal year were shared 50-50 between the hospital and the surgery divisions.
  
  
  RESULTS
  The total cost-savings was $893,865 with $446,932 being shared across 15 surgery divisions. Standardization of cranial plating systems ($374,805) generated the greatest amounts of savings followed by neurostimulators ($278,404) and biologic mesh ($240,655).
  
  
  CONCLUSIONS
  Aligning hospital and surgeon incentives led to dramatic cost-savings and standardization of the operative inventory used. Quality of care is not compromised by this approach, and no conflicts of interest are created.
authors.affiliation: Division of Trauma, Critical Care and Burn, Department of Surgery, The Ohio State University, Columbus, OH. Electronic address: Daniel.eiferman@osumc.edu.
authors.forename: Daniel
authors.initials: D
authors.lastname: Eiferman
authors.affiliation: Division of Trauma, Critical Care and Burn, Department of Surgery, The Ohio State University, Columbus, OH.
authors.forename: Ankur
authors.initials: A
authors.lastname: Bhakta
authors.affiliation: Division of Spine Surgery, Department of Orthopedics, The Ohio State University, Columbus, OH.
authors.forename: Safdar
authors.initials: S
authors.lastname: Khan
mesh_terms: D017046:Cost Savings; D017721:Hospital Costs; D006801:Humans; D009820:Ohio; D009873:Operating Rooms / Q000191:economics* / Q000458:organization & administration; D010816:Physician Incentive Plans / Q000191:economics* / Q000458:organization & administration; D016730:Program Development; D015397:Program Evaluation; D066231:Surgeons / Q000191:economics* / Q000458:organization & administration; D013525:Surgical Instruments / Q000191:economics*