We developed a Vendor Management Office (VMO) Playbook and a custom scorecard tool to streamline vendor management, selection and onboarding.

Challenge

The client had a de-centralized and inefficient vendor management process. They needed to formalize their vendor management, selection and onboarding processes and identify cost savings.

Solution

ProspHire conducted a six-week current-state assessment of the client’s vendor and contract lifecycles. The assessment included SWOT and gap analyses to assess their existing contracts processes, tools and governance, and an identification of cost savings opportunities. They also formalized previously undocumented processes, developed recommendations for a Procure-to-Pay (P2P) process, benchmarked industry best practices and developed custom tools to mature and operationalize the client’s VMO.

Result

As a result, ProspHire created a VMO Playbook with a clear roadmap to achieve a centralized operating model. They provided recommendations for enhanced vendor management, selection and onboarding – and developed and trained the client on a custom scorecard tool. ProspHire also identified a conservative cost savings opportunity of 10% of vendor spend per year.

Outcomes

  • VMO Playbook
  • Cost savings
  • Custom vendor scorecard tool
  • Increased efficiency
  • Formalized processes
  • SWOT analysis
  • Centralized contract management

Client Overview

The client is a managed care organization (MCO) that supplies various types of health services to members within Pennsylvania, Virginia and North Carolina.

Let’s have a conversation

Mike Yetter

Managing Director
Name

Vendor Management Office

Disciplined Vendor Management Office (VMO) operations are critical to the growth, financial health and the mission of providing quality care to members. Health plans are positioned to recognize significant cost savings and efficiency creation opportunities by establishing, fully integrating and optimizing VMOs. ProspHire drives in-depth analyses and recommends strategies to help organizations operationalize their VMO. Our custom tools help streamline the vendor selection and onboarding processes, and the efficiency measures we put in place will help any organization realize real cost savings.