Cutting the Red Tape
Hospitals usually have specific vendor requirements and purchasing processes.A department usually needs to acquire a purchase order, which may involve various levels of administrative approval. After that, the hospital must have all the vendor information, including business and tax documents and insurance.THEN an order may be placed, with specific instructions for delivery, invoicing, and payment.Hospitals then process invoices and usually pay within 30 to 45 days. This description is actually a simplified version.
When PPE came on the market, it was often gone within minutes or hours. Some organizations hired staff to do nothing but scour the internet looking for opportunities to purchase. Successful purchasers often had to pay inflated prices, and quickly – with no vetting of vendors and no prior authorization. The organizational model of purchasing did not fare well in a bidding war.