Integrated delivery networks (IDNs) are networks of health care providers within a specific geographical region that offer a full range of health care services and which operate under a single health care brand. IDNs are designed to provide a full spectrum of care that is inclusive of primary care physicians, specialists, general acute care, and home health services.

Here is what every supplier should know about IDNs

There is a common saying, “If you’ve seen one IDN, you’ve seen one IDN.” No two IDNs are alike, and the capacity of care ranges from each one. Some IDNs are integrated in name only, where a hospital has bought a neighboring facility or two; others are fully integrated, including patient care protocols, human resources, and finance. IDNs also differentiate in structure, consisting of groups of hospitals or covering the entire continuum of care. 

How can we further segment and compartmentalize IDNs? It is important to know whether the IDN is a nonprofit or for-profit organization, as well as whether they own, lease, or manage alternate site facilities. What is the payer mix? Does more revenue come from public pay (Medicare or Medicaid) or private pay (commercial payers)? Lastly, you should know if an IDN is a regional in nature or if it is a couple of facilities within a metropolitan area. 

How integrated is the IDN?

We need to know how integrated the IDN is so that when we get a conversion on a product or service with that system, we will know whether we can call the centralized office to discuss business or if we will have to approach each facility to discuss products or services. The ability to do business in a consolidated manner will make communications between you and the IDN simple. 

We also need to know about their purchasing strategy: do they use a GPO? If they are loyal to a GPO, it may make any sales conversations a little more complicated. The more of those tenets of supply chain they do directly unto themselves gives us better insight into how likely they are to do business directly with us, quickly and deftly. 

Size matters 

Supply chain spend is estimated to be 40% of net patient revenue of an IDN, so somewhere around a $5 billion net patient revenue spend IDN seems to be resourced well to do all the things they want independent of or in concert with their GPO or distributors. They can build or expand when they want in lieu of having to rely on buying from trade partners. Stratifying big IDNs versus little IDNs, common thought is $5 billion net revenue patient spend is a big one, less is a smaller one.

About the IDN Directory

The IDN Directory is the go-to resource for Health Care Suppliers who want the latest insights and information about the largest health systems in the U.S. and their supply chain leaders.

More than just a database, the IDN Directory's supply chain-focused content provides sales reps with a clear and comprehensive idea of their customers’ supply chain needs and activities, empowering them to achieve success with GPO, Direct, and Regional contracting. 

To request a live demo of the IDN Directory, email us at Demo@IDNDirectory.com.