Healthcare costs are spiraling out of control, and hospitals and health systems are attempting to reign in spending. Organizations are scaling back and cutting corners throughout the many stages of care. In an attempt to save money, some hospitals are experimenting with a rep-less medical device sales model.
In the traditional model, a medical device sales rep from the implant manufacturer is present during procedures to guide and consult the surgeon. In the rep-less model, surgeons don’t receive support from the manufacturer.
Several medical device manufacturers and health systems including the Loma Linda University Medical Center, Royal Oak Medical Devices, and Wright Medical are piloting rep-less programs. Hospitals can purchase implants at about half the cost when they forgo the help from a medical device sales rep.
When Investment Rhymes with Canada
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Although some believe these programs will slowly replace device sales reps over the next few years, reps are still very much needed in health systems to deliver quality care.
Here are a few reasons why the rep-less sales model won’t work in today’s health care system:
Knowledge and experience
Medical device sales reps play a critical role in the OR. Their extensive knowledge of the devices they sell allows them to consult with surgeons and provide clinical benefit. A medical sales device rep also sets up product trays with hundreds of instruments to deliver to the OR before the procedure.
While physician specialists are the experts in their medical field, the medical device sales rep is the expert on their products. Their attention to detail and specialized experience makes procedures safer and more efficient for patients. The rep acts as an extra safety net in the OR in case there is a complication or problem with the device or implant.
Unrealistic cost reductions
In order for the process to work without a medical device sales rep, hospital staff need to be trained to assist the surgeon with the devices in the OR. But training is expensive, especially considering the time to train — time staff could be spending completing their regular responsibilities.
In addition, procedures without a rep will likely take more time in the OR. The newly trained hospital staff member won’t have the same amount of experience and familiarity with devices and will likely take more time to do the same job. Using less experienced staff may also lead to poor outcomes, readmissions, and secondary procedures. Considering these factors, any potential cost-savings from a repless model won’t add up to much.
Training headaches
In a university or teaching hospital setting, training staff members on devices gets complicated. Professionals and students with different levels of experience are coming in and out of the health system, and making sure everyone is on the same page is a challenge.
In addition, the turnover rate for hospital staff will make keeping up with training difficult. Training for devices will become a continuous effort that isn’t feasible for busy hospitals in an overburdened healthcare system.
Staff shortage
In the wake of the Affordable Care Act, more patients are seeking care, but there aren’t enough physicians to provide that care. In a report published in November 2013, the Health Resources and Services Administration predicted a shortage of 20,400 primary care providers if the delivery system for primary care remains the same.
With the shortage of providers, additional responsibilities are falling on the shoulders of nurse practitioners, nurses, and other hospital staff. Without the medical device sales rep, overworked hospital staff have one more thing they need to worry about. Frustrated staff may walk out the door for opportunities with organizations that still use medical device sales reps.
Patient choice
The new healthcare model empowers patients to take a greater role in their own care. Patients who are more involved in their health want choices to personalize their treatment. But the rep-less model requires hospitals to cut the choices they can offer patients.
Health systems testing the model contract with a single company to buy implants. Patients and doctors no longer have a choice and automatically receive the implant the contracted manufacturer offers. In this model, care becomes more standardized, moving away from the new healthcare model focused on individualized care.
What do you think? Will the medical device sales rep disappear?
Photo: iStock photo
