Centegra Health System, headquartered in McHenry, IL, and a leading health care provider in Northeast Illinois, recently selected Medline Industries, Inc. as its preferred distribution partner for medical and surgical supplies.
The three-year partnership will deliver an estimated savings of nearly $1 million by driving distribution efficiencies across more than 60 locations over the term of the agreement says the company.
“Medline’s manufacturer-direct approach and supply chain management expertise are critical to driving down cost,” says David Tomlinson, chief financial officer, Centegra Health System. “Their strong logistics capabilities and robust product offering will allow us to effectively get products when and where our clinicians need them most, no matter the location.”
Medline, with 37 distribution centers located throughout the U.S., will provide its broad assortment of Medline and national brand products directly to Centegra Health System’s hospitals, physician offices and clinical laboratories throughout Northeast Illinois.
Medline says it will also deliver cost savings and efficiencies by driving product standardization and utilization solutions, as well as providing enhanced reporting capabilities to help facilities better monitor and control costs. Over the course of the deal, the agreement is expected to be worth approximately $30 million.