Group purchasing program celebrates first anniversary

By: Steven E. Fisher, MBA

By Steven E. Fisher, MBA

Results continue to exceed expectations
At the 2007 Annual Meeting, the American Association of Orthopaedic Surgeons (AAOS) introduced a new member benefit—a group purchasing program. Since then, the program has consistently exceeded expectations.

Esurg gives AAOS members a single source for purchasing more than 16,500 medical and surgical products, 3,200 pharmaceutical products, and 25,000 office products. Orders can be submitted over the phone, via fax, or using an unlimited number of user-friendly online forms that can be tailored to a practice’s needs. Delivery usually takes place within 72 hours; orders placed by 2 p.m. often arrive the next day. An Esurg account executive is only a phone call away to resolve any issues that may arise.

Price consistency
Participation in the group purchasing program can eliminate inconvenient and distracting visits from industry sales representatives. It also ensures price consistency, whether the purchase is made by a solo practice in Washington, D.C., or a 30-doctor group in Seattle.

Already more than 300 orthopaedic practices have requested a customized savings analysis (CSA) from Esurg. Of these practices, 97 percent would realize savings by purchasing their “market basket” through the group purchasing program. Average savings exceeded 15 percent; in many cases, the practice could save more than 20 percent compared to their current suppliers. AAOS members receive an additional 2 percent discount relative to nonmembers.

In October, for example, sales to AAOS members exceeded $190,000. During the quarter from August through October, 270 orthopaedic offices submitted purchase orders; 80 percent of these offices were purchasing for at least the third time—a sign that the office has recognized the program’s value and can be expected to continue using it.

AAOS also benefits when members purchase their medical, surgical, and office products through the group purchasing program, receiving 1 percent of the total purchase volume on a quarterly basis. These funds help AAOS hold the line on the fees it must charge for members to attend meetings and educational courses.

See for yourself
See for yourself whether the AAOS group purchasing program can save your office money. Stop by the Group Purchasing booth across from the AAOS Resource Center Bookstore in the South Lobby of Moscone Center. Order a CSA at

To see the products available via Esurg (and to “test drive” the user-friendly product order form), go to

Steven E. Fisher, MBA is manager of the AAOS practice management group; he can be reached at or (847) 384-4331.