Vendors

Premier Health Vendor Policies

The Strategic Sourcing and Materials Management departments at Premier Health are dedicated to the “prudent buyer” concept. We encourage creative, innovative and cost-effective suggestions from suppliers. We maintain an open, competitive and congenial atmosphere to create a mutually beneficial relationship with all suppliers. 

Affiliations

Premier Health is a Shareholder/Partner of VHA, Inc. and part of the Member Partnership Program (MPP) network group (Novation)

Federally Funded Purchases

We follow OMB Circular A-110 Sections .40-.48Off Site Icon for all federally funded purchases. 

Premier Health Supply Chain Division Interviews

Premier Health Supply Chain Division is located at:
110 North Main Street, Suite 260
Dayton, OH 45402.

Premier Health requires a single representative for all entities. Interviews are by appointment only. Appointments are also required for meetings with hospital-based employees.

Unsolicited sales calls to unauthorized parties are prohibited. We monitor such calls and enforce this policy.

Supplier representatives are forbidden to use Premier Health computers or software, unless a computer access request for (CARF) access form has been submitted & approved.

Some limited purchasing is performed directly by other hospital departments such as Pharmacy (pharmaceuticals only), Nutrition Services (food only) and the Gift Shop (merchandise only). When appropriate, we will refer suppliers directly to these departments.

Sign In, Sign Out and Badges

When you arrive at one of our facilities, sign in at the Reptrax kiosk. Our facilities include:

  • Atrium Medical Center (AMC)
  • Good Samaritan Hospital (GSH)
  • Miami Valley Hospital (MVH) and Miami Valley Hospital South (MVHS)
  • Premier Health Center
  • Good Samaritan North Health Center
  • Upper Valley Medical Center (UVMC)

When a hospital employee confirms your appointment, a supplier badge will be printed at the Reptrax kiosk. You must wear this badge at all times while you are in the hospital. When you leave you must return to the Reptrax Kiosk and sign out. 

Direct Contact with Patients

Patient contact is restricted.

If you will be visiting an area where you’ll have direct contact with patients, we need the following documentation before your first visit:

  • Proof of company training or certification on the equipment or supplies you will offer and that physicians or staff will use.
  • Proof of company training in asepsis/infection control practices.
  • Proof of $1 million of product liability insurance:
    a. Acceptable form of insurance verification is either 1) a copy of a valid certificate of insurance or 2) a statement on supplier letterhead that the company is self-insured, stating product liability limits and signed by an authorized company officer or general counsel. The letter must meet parameters determined by Premier Health Risk Management before it will be accepted.
    b. If proof of product liability is not provided then a legal release/hold harmless from the representative company must be on file with Premier Sourcing Department.
  • Proof of current tuberculosis (TB) test showing date and results of the test. The test must be updated annually before the current test expires. A questionnaire may be used at Premier discretion, based on medical order.
  • Proof of annual influenza vaccination (TIV) by November 30 of the calendar year.
    b) Confidentiality agreement for sales representatives in purchasing. This agreement must be signed before presenting to the designated area for the first time.

Confidentiality

You will maintain confidentiality at all times.

Use of Products and Equipment

You are not permitted to introduce and use a product or equipment within Premier Health unless there is approval from Premier Sourcing. Patient safety is critical and proper education for Premier Health staff is of the highest importance.

Medical Education

You are not permitted to offer or attend any continuing medical education (CME)-approved or other teaching programs within Premier Health-operated facilities unless expressly approved by the department director. 

Violations of This Policy 

First Offense

  • Written notification via Reptrax to the individual of failure to follow Premier Health policy.

Second Offense

  • Written notification via Reptrax.
  • Letter of warning to the individual and his or her supervisor with cc: to appropriate medical staff leadership.

Third Offense

  • Written notification via Reptrax.
  • The individual can be placed on suspension for a specified time period up to termination, determined by executive administration.

Corrective action for sales representatives will be progressive among all Premier hospitals.
Premier Health reserves the right to ban a sales representative from all Premier Health facilities at any time if his or her behavior is unethical or jeopardizes the safety of our patients or staff.

Vendor/Supplier Conflict of Interest Policy

The goal of a conflict of interest policy is to distinguish types of conflicts, assess each potential conflict and avoid the appearance of impropriety. If a conflict does exist, it requires isolation of that individual from the conflict. This action is to ensure that both our vendors and our Premier Health entities provide and purchase items without any appearance of impropriety.

In our ongoing effort to identify and address actual or potential conflicts of interest or the appearance of a conflict of interest, it is the policy of Premier Health that immediate family members of any physician member (and/or any credentialed professional) of any Premier hospital medical staff will not be permitted to be a sales representative to the physician/family member or the physician/family member’s medical staff department or section. The sales representative may call on the physician/family member’s hospital but not in the capacity described above.

“Immediate family member” includes the individual’s:

  • Spouse
  • Siblings and their spouses
  • Parents
  • Grandparents
  • Children and their spouses
  • Grandchildren and their spouses
  • Great grandchildren and their spouses
  • In-laws and their immediate family
  • Others living in the reporting individual’s home

Violation of the Vendor/Supplier Conflict of Interest Policy will result in immediate termination of the sales representative in that location where the physician family member is on the medical staff.

Purchasing Policies

We believe that an open, competitive atmosphere is most beneficial to both buyer and seller, and it is our policy to foster this environment. We buy on the basis of:

  • Definitive specifications
  • Quality of product and service
  • Advantageous price
  • Delivery

Terms and Conditions 

You are responsible to ensure the supply, quality and fitness for purpose of the goods or services you supply.

The information preprinted, written and/or typed on the front and back of our purchase order is especially important to us. We assume that you have agreed to our specified terms and that you will fulfill your obligations according to our purchase order.

If there is a discrepancy between our purchase order and your invoice, we will debit your account and pay your invoice according to our purchase order.

All payment terms will be net 30 days unless specified differently on the purchase order. You must comply with state and federal laws.

Gifts and Entertainment

It is prohibited by Premier Health for suppliers to offer meals, gratuities, premiums or other incentives to any hospital employee under any circumstances. You should express incentives in terms of quality, service and price to the hospital in your quotes.

Purchase Orders

No merchandise may be shipped nor any service performed without an authorized purchase order.

Purchase order numbers must appear on all shipments, packing slips and invoices.

Ship orders FOB destination unless otherwise specified on the purchase order.

Any difference of price from the original purchase order amount must be authorized in writing by the purchasing buyer in advance of shipments. We will automatically issue a debit memo if incidents occur.

All maintenance and service contracts are nonrenewable year to year. We will use VHA and Novation contracts when advantageous to Premier Health. We appreciate any suggestions for items to be included in these buying groups. 

Status of Open Orders

While waiting to meet with someone in the Purchasing or Supply Chain divisions, please review the status of all our open orders with your company, especially those past due or due in the forthcoming month. We prefer to see supplier representatives who know the current delivery promise dates and product lead times.

Catalogs and Price Lists

We solicit your interest and assistance in keeping sourcing managers’ and buyers’ files of catalogs and other product literature up to date and accurate at all times. Price catalogs are required in Excel format containing:

  • Product description
  • Catalog number
  • Unit of purchase
  • Contract number
  • Contract expiration
  • Premier price
  • Any contract information

Value Analysis and Trial Orders

The Supply Chain Division arranges all demonstrations of new equipment or displays of new products. Please contact a sourcing manger before proceeding.

All products or equipment for trial must be:

  • Covered by a purchase order specifying terms and conditions of the trial or test, including the length of the trial
  • Approved by the U.S. Food and Drug Administration
  • Inspected by BMEL
  • UL/CSA approved (if electrical in nature)

There will be no cost or charge to Premier Health, including freight, for a product or equipment being trialed.

You will hold Premier Health harmless from all claims for compensation or damages of any kind involving the product or equipment.

You must also arrange for return of the product or equipment within one week after completion of the evaluation.

You must meet all Premier Health terms and conditions as stated on the back of the purchase order.

Supplier Diversity

Premier Health is committed to the principles and values of diversity and equal opportunity in all of our endeavors. Our vision and values celebrate the diversity of our people and community, and we view the differences among us as strengths and assets.

Our belief in diversity is so strong that we have chosen to apply it in our purchasing activity. We encourage participation and development of diverse and local suppliers (within a nine-county zip code region) who are capable of meeting or exceeding performance standards, and who price competitively. This further supports Premier Health’s mission and our commitment to build a healthier community. 

The purpose of this policy is to engage and promote opportunities with:

  • Minority-owned, women-owned and historically underutilized business enterprises
  • Other certified disadvantaged, EDGE businesses
  • Local businesses

This policy is also designed to assist the growth of diverse and local prospects through Premier Health’s coaching, mentoring and building of diverse partnerships.

Premier Health requires nondiverse vendors to report tier 2 diversity spend to us. We require diverse vendors to give us a copy of their diversity certification.

Deliveries 

Deliveries of all supplies and equipment should be through each hospital’s receiving department unless otherwise specified on the purchase order.

We will not accept orders or deliveries if they do not reference a valid Premier Health purchase order number. The purchase order number should appear on the packing slip, carton and address label. We will return any shipment at your expense if it does not contain the purchase order number.

It’s important that items be promptly delivered according to the delivery date agreed upon at the time the order was placed.

You can make deliveries to our receiving dock Monday through Friday from 8:00AM until 3:30PM except holidays. We will refuse deliveries at other times unless we’ve requested emergency delivery. 

When the receiving dock is closed, you can make emergency deliveries by contacting Security. Noncompliance with this delivery policy will result in delay of payment.

Freight Terms

All orders we place will be shipped the best way and be FOB Destination unless specified differently on the purchase order. All next-day air shipments we request are to be shipped via Fed Ex COLLECT using Premier Health account numbers. The reference billing line must include the purchase order number or cost center supplied by the buyer. Contact the appropriate buyer for account information.

Packing Slips

All packing slips must contain the following information:

  • Freight carrier (if applicable)
  • Packing slip number
  • Purchase order number
  • Quantity
  • Supplier product catalog number
  • Unit of measure

The line-item sequence on the packing slip must match the purchase order line-item sequence.

Invoices

Bill invoices to the addresses listed below:

Atrium Medical Center
110 North Main Street, Suite 440
Dayton, OH  45402

Good Samaritan Hospital
110 North Main Street, Suite 435
Dayton, OH  45402

Miami Valley Hospital and Miami Valley Hospital South
110 North Main Street, Suite 430
Dayton, OH 45402     

Upper Valley Medical Center
110 North Main Street, Suite 454
Dayton, OH 45402

No statement can be made without a supporting invoice that shows the purchase order number. 

We take discounts from the date we receive your invoice or the date we actually receive the material, whichever is later. 

All invoices must match corresponding purchase orders line for line. All invoices or payments will be reduced to the purchase-order price if conflicts are not resolved prior to shipping.

Invoices sent to Premier Health affiliates in excess of 30 days, but fewer than 60 days, after date of delivery or service shall be discounted by 30 percent from the invoiced amount.

Invoices sent to Premier Health affiliates in excess of 60 days, but fewer than 90 days, after date of delivery or service shall be discounted by 60 percent from the invoiced amount.

Invoices sent to Premier Health affiliates in excess of 90 days from the date of delivery or service shall be written off and Premier shall owe no fee for said invoiced product or service.

Return of Merchandise

Premier reserves the right to return merchandise that does not meet specifications. We will return such goods at your expense.

Material Safety Data Sheets (MSDS)

Please ensure that all appropriate MSDS sheets are included with all chemicals (solid or liquid) and all hazardous materials shipped or delivered to Premier.

Safe Medical Devices Act

Premier Health complies with all aspects of the Safe Medical Devices Act (SMDA) and therefore completes Medical Device Tracking forms for all trackable devices under SMDA. Such information will be provided to the manufacturer in a timely manner.

In order to ensure compliance, the lot/serial number and item/catalog number should be printed on the packing slips of all trackable devices. Premier Health shall control disposition of faulty devices and consult with Premier Health’s Risk Management Department before release of any faulty device.

Inventory Expiration Dates

We will not accept inventory with less than a two-year expiration date unless approved by purchasing. Suppliers are required to rotate stock and ensure that Premier Health does not receive expired inventory.

Product Recalls

The director of Procurement & Logistics serves as the liaison for all departments in regard to all product recalls. Send any information regarding recalls of products to the Purchasing Department, attention “Director, Procurement & Logistics.”

Supplier Performance and Savings

As a matter of good purchasing practice, we periodically evaluate all suppliers on the basis of:

  • Ability to meet our rush requirements
  • Actual delivery performance compared to promised delivery date
  • Adherence to purchase order price
  • Number of rejects due to poor quality
  • Unauthorized split shipment

These evaluations strongly influence our subsequent buying decisions. When appropriate, we will advise you of your ratings. Unsatisfactory ratings will result in removal from our Authorized Supplier List.

We also have an active cost reduction and savings program. Your ability to give and maintain low prices consistent with quality and service strongly affects your selection as a supplier. We review most items for price and delivery at least once a year.

Repairs

The buyer of any repair service must approve all repair costs before you complete a repair. If you fail to comply with this policy you will be responsible for all costs (materials and labor) and hold Premier Health harmless from all costs and damages, including property and personal injury.

Parking Information

We ask that suppliers and sales representatives use the visitors’ parking facilities and not park in restricted areas.

When visiting Good Samaritan Hospital, suppliers and sales representatives must park on the third-floor parking level and above.

Cafeteria Information

Cafeterias and vending areas are available at the hospital for representatives’ use and at representatives' own expense.

Freight Terms

All orders we place will be shipped the best way and be FOB Destination unless specified differently on the purchase order. All next-day air shipments we request are to be shipped via Fed Ex COLLECT using Premier Health account numbers. The reference billing line must include the purchase order number or cost center supplied by the buyer. Contact the appropriate buyer for account information.

Tax Exempt

Premier is a not-for-profit organization and is tax exempt. To receive a copy of our tax exemption certificate, please fax your request to one of the following:

  • Secretary, Supply Chain Division - fax (937) 499-8440
  • Capital Acquisition - fax (937) 499-8442

Maintenance/Service Contracts

The appropriate buyer negotiates all maintenance and service contracts for the fiscal year January 1 through December 31.

Electronic Date Interchange (EDI) & Bar Code Requirements

At this time, Premier Health can send orders via electronic data interchange (EDI) only through Global Healthcare Exchange (GHX). Direct requests for this service to the director of Procurement & Logistics. All inventory items must have a unique, readable bar code on the unit of issue. Suppliers should support Premier Health’s efforts to conduct transactions electronically.

Noncompliance

Noncompliance with any of our policies may result without limitation, in any of the following corrective actions:

  1. Meeting with the representative
  2. Meeting with the representative and/or his or her supervisor
  3. Immediate removal of suppliers or equipment from Premier Health
  4. Suspension of hospital calls for the representative and/or company for a specified period of time
  5. Permanent suspension from Premier Health

We reserve the right to take additional action as we deem appropriate.

Content Updated: September 28, 2013

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