Keeping a hospital profitable can be difficult as you try to hit that balance between keeping the expenses low and saving lives. If you’re in charge of managing hospital operations, then here are some overhead expense tips to keep in mind.
1. Buy disposables and consumables in bulk
Products like gloves, syringes, disposable Frazier suction, and other one-time use products are best bought in bulk to take advantage of the wholesale prices. You’d want to hit a balance between wholesale price and delivery price.
Order just enough to make the delivery cost and the price per product worth the savings — bearing in mind the amount of space you have available. Note though that just because you have items in bulk doesn’t mean you should be free with its use. Make sure to ration out the uses of these products, making a point of tracking consumption.
2. Improve the lighting system
Most hospitals make use of old lights with wattages that eat up a large chunk of electricity — translating to thousands of electrical bills. Cut some of that fat by changing most of your bulbs to LED — making use of low wattage products to reduce the burn of power.
Not only do LEDs last longer, but they’re also brighter and cheaper in the long run. Since hospitals have hundreds if not thousands of light bulbs, you’ll find that all of these will add up to amazing savings. Over time, the light bulb will pay for itself. Install solar panels in areas where the sun shines.
3. Save some money on the water
Fix your plumbing, paying close attention to the toilet and the water system. A revamped chilled water distribution might mean an investment of several million dollars, but the resulting yearly savings will help you earn back that investment in five years or less.
Make sure to check the plumbing as well and make a few changes in the toilet. There are new systems today that automatically use a lesser amount of water with the same results.
4. Switch to energy efficient appliances
Obviously, some hospital equipment comes in a standard format and can’t be switched to brands that save more energy. You can’t just swap your MRI or CAT scan for an energy efficient model, given their heavy cost. However, you can observe the items in the doctor’s lounge or the administrative offices.
Coffeemakers, microwave ovens, and coolers can all be replaced for something with better energy consumption. Coffeemakers, in particular, can be replaced with timed ones so that they don’t consume energy all night when no one is actually using them.
5. Encourage health in employees
Oddly enough, hospital employees have the worst health because of the stress of the job. Some hospitals today spend millions each year compensating the health expenses of their own people. If the hospital itself encourages wellness programs, however, then the cost of expenses should go down.
Of course, those are just some of the ways to save some money for the hospital. Keep in mind that constant adjustment is encouraged to make sure you’re keeping up with the expenses while still meeting medical demands of the population.