Issue link: https://beckershealthcare.uberflip.com/i/1496781
13 EXECUTIVE BRIEFING 3 EXECUTIVE BRIEFING those things was very, very useful." However, there were tradeoffs the orthopedic group had to make in the process: "Health systems don't move at the same pace as most entrepreneurial private practice groups, so we had to acquire the patience to effectively work within the management of the health system to achieve our objectives." Mr. Rosenberg said the leadership of the new facility also had to share control related to governance, financial performance and clinical decision-making. However, despite these added complexities, it was a price well worth paying for forging a trusted partnership rather than going it alone. Considering vendors' partnership potential can help orthopedic ASCs make an optimal choice For orthopedic ASCs, choosing the right capital and implant vendor focused on the ASC space — or better yet, a true partner — is a key strategic decision. Some ASCs view that process as a pure business transaction, but Forté approached it from the perspective of looking for value that transcended a typical buyer-supplier transactional relationship. The context driving this decision is that the market for orthopedic devices and instrumentation is crowded with multiple best-of-breed products or services. Yet, for those offerings to work effectively from the vantage point of an ASC, they need to be "stitched together" or linked through complex interfaces of products and contracts. Mr. Rosenberg observed that this makes many of these otherwise excellent products "fragile" because the underlying contracts can be broken, business relationships can be terminated and the interfaces on which they run can be expensive to monitor and build. "On the other end of the continuum is a more fully integrated approach where when you put all the individual components together, it works seamlessly," he noted. "We were looking for that and found that Stryker had a mature ecosystem of products and businesses to support an ASC." Recognizing Stryker's mature and comprehensive ecosystem vaulted Stryker from fifth in Forté's evaluation process of potential partners to the top spot. Having an integrated ecosystem of value meant that if there ever were a problem with any of the products Forté purchased from Stryker, the manufacturer would be able to quickly address those issues. Additionally, because the high-complexity orthopedic ASC is a customer utilizing all of Stryker's solutions, the company is well-positioned to make available technicians and other experts on an as-needed basis. "Operationally, Stryker went from a vendor to a strategic partner, because we didn't only rely on them for their assets — we relied on them for their knowledge," Mr. Rosenberg said. "That ecosystem became their competitive advantage compared to other vendors and provided us a much greater return because rolling up all of that expertise and all of those assets into unique financing options allowed us to do everything we did." Best of all, all interactions between Forté and the manufacturer were channeled through a single point of contact on Stryker's end, which removed a major point of friction that providers often report when working with vendors. Planning, accountability and governance are critical for the success of partnered-up ASCs Leaders of physician practices who are considering opening an ASC in collaboration with a health system can benefit from the lessons that Forté's management learned along the way. Mr. Rosenberg distilled those insights into three pieces of advice: • Plan meticulously, ask the right questions, and make sure all key objectives are aligned and agreed to by all parties. "If you're not aligned, when you start making real decisions, you'll have problems." • Set deadlines and mutual accountability, with real consequences. "Holding people accountable with consequences is critical — otherwise things just don't happen." • Set up an effective governance structure with clear rules of engagement at a local level. This ensures that the ASC is run effectively and efficiently. As far as partnering with vendors, Mr. Rosenberg held up Forté's relationship with Stryker as a paragon of what ASC leaders should aspire to: "It's not just a matter of selling us anchors, screws, implants or video equipment. It's about helping us see what can we do bigger, better, faster and less expensively." Marty Rosenberg is a paid consultant of Stryker. The opinions expressed by Mr. Rosenberg are those of Mr. Rosenberg and not necessarily those of Stryker.