The initial costs of the equipment represent only a part of the total cost of the medical equipment. When negotiating the purchase of healthcare equipment, emphasize the value of your service contract offerings, including any claims such as on-site and on-depot repair service, replacement, calibration, software and mechanical upgrades, and more. You can include 24/7 coverage, replacement, on-site repair, equipment or software upgrades, calibration, preventive maintenance, and more in the coverage details for each applicable device covered by the service agreement. Be sure to include all contract specifications – overtime rates, travel, training, spare parts, etc. Make sure that all client permissions are written. The implementation of BWB provides an integrated solution for managing your service contracts within your existing SAP framework. Detering Consulting has decades of experience working with SAP S/4HANA applications with a particular focus on managing service contracts and facilitating authorization verification, which is not available in standard SAP. Some warranties exclude PM and others become invalid if the service is performed by non-OEM technicians or if non-OEM parts are used. So check your warranty if you need to perform PM on this device.

What is the financial impact on the organization if the covered equipment breaks down? This can lead to the creation of service contracts that are considered insurance coverage for critical equipment. By following the best practices presented here, supply chain leaders are well equipped to get the most out of their IDN service contracts. Some items, such as imaging equipment, may not be designed for everyday use. There may also be multiple machines in a specific location, which provides more time for maintenance if needed on a single device. You may be able to reduce the number of service calls by scheduling maintenance on multiple computers in a single call, which will allow you to reduce operating costs. Providing 24/7 coverage for your equipment can generate the most revenue, but it can also increase your costs. Consider both aspects of the level of service offered when preparing quotes and pricing your service contracts. For existing contracts, not only track the services you provide, but also indicate what the customer`s cost would have been if the service contracts had not been in effect. This can be a real revelation and a valuable incentive to renew for many customers.

SAP Service Contract Management and Entitlement Checking (EC) provides a high level of functionality that allows you to manage contracts, service performance, and contractual permissions. How can supply chain departments get the most out of their service contracts? In addition to a full service contract that includes all labor and parts, suppliers often have the following options: Hospitals and other medical facilities rely heavily on technical and highly complex equipment to diagnose, treat, and monitor patients in their facilities. As a medical device manufacturer, you must maintain an understanding of the needs of healthcare professionals: establishing guidelines and requirements for creating service contracts for medical devices comes with many unique conditions. Comparison prices Hospitals are often surprised to learn that their supplier`s ”best offer” is actually 20% higher than what others pay for the same service contract for the same equipment from the same supplier. At the ECRI Institute, we consistently see significant differences in contract pricing and know that benchmarking contract prices can save money. Determine when and how much work is needed 24/7, contracts are the most expensive and are not always needed. The ECRI Institute has received 24/7 contracts for expensive imaging equipment that is only used three days a week. Determine when the device will be used and how many other devices can perform the same function. If their equipment warranty or service contract is void, if other parties, e.B non-OEM service technicians, perform repairs or use non-OEM parts, make sure your customers understand this. Now that you`ve entered into effective service contracts with your customers, how do you manage the multitude of contracts, covered devices, and authorizations? In addition, the Center for Medicare & Medicaid Services (CMS) states that hospitals accredited by the Joint Commission must strictly follow manufacturers` recommendations for PM for certain types of devices, including imaging equipment and medical lasers.

Make sure your clients are aware of these mandates that may apply to them. This could provide an incentive to purchase or renew maintenance contracts. Our Billing Workbench (BWB) software is an SAP add-on that is fully integrated with your SAP environment. BWB integrates service contract management with all the features that medical device manufacturers need: health technology management services that do not have the skills and personnel to repair and maintain all equipment as part of their management contract with external service organizations such as original equipment manufacturers (OEMs) or independent service organizations (ISOs). Supply chain leaders are playing an increasingly important role in negotiating terms and monitoring effective OEM and ISO contracts. You can sell a wide range of medical devices, from beds and monitors to ventilators and imaging devices. Products can be traced back to individual serial numbers and device components. Design service contracts to provide the end user with ultimate security in the services provided. For example, communicate how service contracts relieve hospital staff of difficult or unproductive tasks over the entire duration of the covered equipment: safety is of course at the top of the list. What impact would this have on patient safety if the devices were not available? My name is Soren.

I am the founder of Detering Consulting. I founded the company in 2003 because I wanted to offer more value to sap customers. I knew that many of them lacked all the great benefits that could be obtained by the software. Before founding Detering Consulting, I completed my studies with a master`s degree in computer science. After that, I worked for 10 years at SAP in Germany and SAP Labs in North America. My extensive experience in solution management, project planning and management, implementation services and leadership includes experience in the automotive, A&D, high-tech, medical technology and manufacturing industries. My teams and I have successfully supported many customers with their SAP ERP software, completed several implementation projects throughout the lifecycle, and completed more than 30 projects in SAP ECC and S/4 Hana. My experience has given me the unique ability to develop ERP solutions in a very short time. I have a knack for finding untapped opportunities to make money and discover areas where customers could save money. I currently live and work in Palo Alto, California, just 10 minutes from the SAP office. I am dedicated to supporting our customers with our SAP consulting services. In my free time, I enjoy sailing, kickboxing and spending time with my family and our two Taiwanese mountain dogs.

Customize and generate reports to keep you informed of service, non-compliance, expiration dates, and more. Analyses of your service contract system help you effectively manage contracts and customer relationships. Market the value and prices of your service contract at the time of device purchase. Communicate that waiting for the end of a warranty to get prices can result in a much higher price, even twice as expensive. .

Medical Equipment Service Contract Sample