Hospital Value Analysis Toolkit

Tips and Tools to Launch and Optimize a Hospital Value Analysis Program

I. Introduction

In today’s complex healthcare landscape, value analysis is no longer optional—it’s a strategic imperative. The Hospital Value Analysis Toolkit is designed to help supply chain, value analysis, and clinical leaders launch or optimize a value analysis program that aligns product decisions with organizational priorities.

This toolkit provides a step-by-step framework to:

Reduce risk
Standardize product selection and processes
Increase fiscal responsibility
Enhance physician engagement and improve patient outcomes
Ensure regulatory compliance

What’s inside:

You’ll find governance templates, intake forms, evaluation checklists, and performance tracking tools—all designed to promote transparent, evidence-based, and clinically integrated decision-making.

How to use this toolkit:

1. Start with the Maturity Model to assess your program’s current state.
2. Form a multidisciplinary team and clarify stakeholder roles using team structure and responsibility guides.
3. Set goals using the sample goal library across financial, clinical, process, and people domains.
4. Establish governance and processes with provided templates and workflows.
5. Implement and monitor your program using KPIs and digital tools

While 88%

report having a standardized new product evaluation and introduction process, many still face gaps in clinical integration and overall value analysis optimization.

only 19%

strongly agree they’re using non-biased clinical evidence in purchasing decisions

only 20%

strongly agree their physicians and clinicians are supportive of supply chain activities

This toolkit supports you at every stage of your value analysis journey—from initial assessment to program rollout—and is designed to help your healthcare organization achieve:

Transparent, defensible product decisions

Alignment across clinical, financial, and operational goals

Sustainable value-driven care delivery

II. Understanding Clinical Value Analysis

a. Definition and importance of clinical value analysis in healthcare

Healthcare value analysis contributes to optimal patient outcomes through an evidence-based systematic approach to review healthcare products or categories, equipment, technology, and services. Using recognized best practices, and in collaboration with organizational resources, value analysis evaluates appropriate utilization, clinical efficacy, and safety issues for the greatest financial value.

– Association of Healthcare Value Analysis Professionals

b. The role of clinical value analysis in improving patient outcomes

Developing an integrated supply chain is a key principle for value analysis professionals and physician leaders. However, achieving optimal patient outcomes and cost profiles with cross-functional collaboration, data, and product consensus is not easy. Developing an integrated supply chain requires the collective power of people, processes, data, and technology. One building block alone will not suffice in achieving clinical integration; rather each element works collectively to encourage cultural change throughout the organization.

Building blocks for clinical transformation

Executive, supply chain, & clinical leadership

Executive leadership presence and buy-in to clinical transformation
Evolution of sourcing practices with supply chain, aimed at clinical outcomes
Physician leadership present in VACs

Clinical engagement & education

Evidence-based decision-making driving integration
Adoption of a systemwide clinical leadership model with education and benchmarking guiding efforts

Process & product standardization

Full product and process data reviews maintain an outcomes focused reference point across stakeholders
Reduction in product variation, supported by cost evaluations in product portfolio
Processes are built to support physician engagement

Financial, safety, & clinical data

Stakeholders align around historical and aggregated data measuring safety, regulatory, clinical, reimbursement, contract, usage, PO spend, quality, outcomes data, etc.
Understanding total value facilitates optimal decision making focused on supporting the highest quality and outcomes at the lowest cost

Change management

Systemwide culture shift aligned on clinical integration and collaboration

Requires behavioral change in exchange for legacy behavior across all stakeholder groups, including suppliers
Value analysis is seen as a strategic partner to clinical outcomes
People, processes, data, and technology drive forward-looking integration frameworks

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Tool: Maturity Model

Assess your value analysis maturity

Once you have a comprehensive view of your current process, the next step in developing a mature value analysis process prioritizing people, processes, data, and technology is assessing where your program currently stands on a maturity scale.

Reference the value analysis maturity model below to understand the state of your current system and clarify where you should focus your energies in the coming weeks.

Five stages of maturity:

5% of supply chain leaders say they are not clinically integrated at all.

1. Physicians and supply chain act independently

Clinical and supply chain stakeholders operate in silos without alignment and lack mutual trust
Lack of formal processes and governance for clinical engagement, and lack of executive support
Priorities are not mutually defined and executed, with purchases driven by demand rather than evidence

57% of supply chain leaders say they are somewhat clinically integrated.

2. Physicians involved

Physicians are involved during the review of their product request, but clinicians are not proactively engaged in the supply chain structure
Alignment on responsibilities and mutual goals is still unclear
Cost, quality, and outcomes priorities are not considered holistically
Reviews may be reliant on supplier-provided and potentially biased data

38% of supply chain leaders say they are fully clinically integrated.

3. Physician leader proactively engaged

Physician leader is a standing member of the value analysis program and can speak fluently for clinical and supply chain integration
Addressing unnecessary variation and waste is a priority
Focus shifts beyond cost reduction to consider complete safety data, clinical evidence, and operational factors

4. Clinically driven value analysis

Products and processes are standardized across facilities
Hospital policy requires that decisions are evidence-based, with key leadership and department heads supporting clinical integration
Supply chain and clinicians are aligned on mutual goals and physician leaders drive a systemwide culture focused on outcomes
Comprehensive ROI in relation to cost, quality, outcomes, and operations of medical products is clear
Hospital has clear governance for supply chain, supplier, and clinician collaboration

5. Patient outcomes & ROI

Supply chain, value analysis, and clinicians are strategic partners and are tightly integrated
Utilization data is scrutinized to identify unnecessary variation and optimization opportunities
Line item purchasing data is connected to patient outcomes for continuous improvement
Hospital achieves focus on safety, quality, and total cost of care across the patient experience

c. Key components of a successful clinical value analysis program

Mature value analysis programs go beyond immediate cost and physician preferences to focus on system-wide transparency and cost consistency through reimbursement, contract status, utilization improvements, and intricate standardization processes. Key principles include:

Engage leadership and clinicians early

Value analysis initiatives should begin with senior leadership support and active involvement from multidisciplinary teams, including physicians and supply chain professionals, to ensure clinical expertise informs decision-making.

Prioritize informed, evidence-based decisions

Clinical and operational reasoning should underpin every product request. Proposals must be evaluated based on clinical data, safety, outcomes, and total financial value—not just upfront costs. Use a Cost, Quality, and Outcomes (CQO) framework to guide evaluations.

Promote standardization and compliance

For high-use or costly items, collaborate with stakeholders to standardize products, assess alternatives, and ensure contract compliance where clinically appropriate.

Enable transparent, collaborative processes

Use centralized systems to surface safety, regulatory, clinical, and financial data, enabling stakeholder alignment and informed consensus on product decisions. Invest in digital transformation to streamline workflows and data access.

Extend value analysis beyond approval

Incorporate product trials when necessary, and continue to monitor implementation, usage, and outcomes. Establish mechanisms to track financial impact, operational improvements, and patient outcomes post-approval.

d. Critical components for successful value analysis

Successful value analysis processes require both empirical data and a stakeholder collaboration strategy. Ensure the following components are part of your value analysis process:

Step 1: Centralized product request

A standardized, centralized, and trackable product request should be easily accessible and justify the need.

Step 2: Information aggregation

Gathering and consolidating relevant data is pivotal for informed decisions, including:

Relevant Data Points:

A. Needs assessment

The reasoning for a product request
Existing alternatives to meeting the need

B. Safety assessment

FDA Recalls
MAUDE Adverse Events

C. Financial assessment

Product cost
Any additional associated costs
Contract eligibility
Standardization opportunity
Projected spend/savings
Price variance across facilities
Sourcing considerations

D. Clinical assessment

Review system requirements and current clinical policies and protocols
Aggregate objective clinical evidence research for literature review
Determine clinical rating/Level of evidence
Identify company-sponsored studies
Summarize critical clinical research insights

E. Operational assessment

Is there an additional education requirement for clinicians?
Does the product change clinical workflows?
What are the product’s storage needs?
Will the product need placed in inventory?

Step 3: Evaluation

Evaluation with structured product advocacy is the heart of value analysis. Rather than being gatekeepers, successful value analysis teams work collaboratively with clinicians to perform a cost-quality analysis to ensure patient safety and optimal patient care while achieving cost savings. This includes:

Establish a multidisciplinary value analysis committee with representation from clinical, supply chain, and financial domains, including subject-matter experts relevant to the product’s use.
Review each product request based on predefined success criteria, incorporating clinical evidence, safety data, and cost analysis.
Determine the need for product trials, set clear evaluation terms, and assess long-term financial and operational impact.
Facilitate clinical and financial consensus by summarizing findings in a comprehensive, stakeholder-aligned format.

Step 4: Decision

Once evaluation occurs in collaboration with key stakeholders, the value analysis committee comes together to review the data and vote on a new product introduction.

Step 5: Product implementation

Forward-looking value analysis teams go beyond the product decision to put data to work and incorporate advanced integrations and data summaries to ensure successful implementation, such as item number automation and executive reporting. You may consider:

Following product approval, notify relevant stakeholders, establish use policies, and update item masters with automation tools.
Coordinate with materials management and clinical teams to ensure smooth implementation, including clinician education and, if needed, formal training programs.
Maintain engagement through the rollout by tracking usage, gathering feedback, and documenting related policies and process changes.
Support the transition with executive reporting and integrated data summaries to monitor impact and ensure long-term success.

III. Establish Multidisciplinary Value Analysis Teams

Multidisciplinary teams, including value analysis ones, perform at a much higher level than teams that are composed of only a single department or primary role. Additionally, the process of selecting, reviewing, and using new medical technology in hospitals often impacts a large number of cross-functional departments. While titles differ across systems, ensure that your team has a representative for each of the following roles:

Physicians
Physician Leaders
Nurses
Clinical Quality Leaders
Supply Chain Leaders
Value Analysis Leaders
Risk and Regulatory Specialists
Purchasing and Contracts Specialists
Finance Leaders and Specialists

By including different perspectives, the value analysis committee (VAC) creates a more inclusive and comprehensive evaluation process, reducing supply chain silos and risk. Successful value analysis committees have the following key characteristics:

Sponsored by executive leader
Includes multidisciplinary members from various healthcare environments
Includes an active physician(s) who plays a critical role in the hospital framework
Supported by value analysis and supply chain professionals, clinicians, finance, and other ancillary services
Assesses not only upfront cost and reimbursement but also safety, quality, outcomes, education, standardization, and satisfaction

Committee Structure:

Often divided into subcommittees by specialty to improve efficiency and focus (e.g., Surgery, General Medicine, Interventional Areas, Lab, Radiology)
Tailored based on system size and needs, as identified in your initial assessment

By fostering cross-functional collaboration and standardization, VACs reduce costs associated with physician preference items and enhance patient care through clinically integrated decision-making.

a. Determine stakeholder responsibilities

With the infrastructure of your value analysis program in place, clearly defining roles and responsibilities is essential for sustained success. The value analysis committee members are an integral part of the value analysis process. Committees should include cross-functional stakeholders with well-defined tasks to ensure alignment and accountability. Stakeholders may include the following:

Clinical
Leader

Drives clinical integration by providing ongoing input on product attributes, evaluation criteria, and frontline guidance. Shifts the model from a single physician product champion to a broader, leadership approach embedded into the entire value analysis infrastructure.

Supply Chain/Sourcing Manager

Reviews existing contracts to avoid duplication, determines financial impact of new product and ensures contract compliance. Evaluates and negotiates supplier proposals and coordinates procurement.

Value Analysis Leaders and Managers

Manages the value analysis program, educates stakeholders, and collaborates with physicians and other key stakeholders on product reviews. Implements, documents and monitors adherence to new product introduction process.

Finance
Leader

Strategic oversight to ensure new product decisions align with financial goals, cost-containment strategies and ROI expectations. Assesses financial risks and verifies budget availability.

b. Identify pain points in current process

Once the current state analysis and benchmarking assessments have been conducted, reference this thematic list of common pain points to survey teams and help determine your program goals. The underlying challenges, and improvement areas will further help set goals and drive opportunities for growth.

Workflows & Operations

Core pain points

Product requests lack clinical, operational, or financial justification
Limited physician engagement and satisfaction
Unclear, slow, and unstandardized request and approval processes
Siloed decision-making and poor cross-facility alignment
Transparency and oversight are missing throughout the product lifecycle
Excessive manual work and scattered data with limited collaboration

Root Challenges

Weak governance and absence of structured clinical leadership
Culture centered around individual champions rather than system-wide alignment
Disconnected workflows and lack of digital infrastructure
No centralized platform for managing requests, reviews, and outcomes
Inflexible processes with poor visibility into post-approval actions

Strategic opportunities

Standardize product requests with required clinical, operational, and financial rationale
Create a single, centralized entry point for all product requests
Implement mobile-friendly, transparent tools that keep physicians informed
Shift to a clinician-led model with clinical leadership embedded in governance
Digitize and automate workflows, including post-approval tasks like item number creation
Drive cultural alignment and collaboration through cross-functional committees
Invest in integrated, scalable platforms over manual or point solutions

Clinical

Core pain points

Limited time and resources to gather and assess clinical evidence
Diminished physician trust due to limited clinical evidence in support of product decisions
Insufficient evidence review contributes to poor patient outcomes

Root Challenges

Manual research is time-consuming (6–8 hours per request)
Lack of centralized, unbiased clinical data
Supplier-provided product collateral is often biased
Key evaluation tasks are deprioritized due to research burdens

Strategic opportunities

Adopt real-time, cloud-based clinical evidence platforms
Use aggregated data with clear evidence ratings and sourcing transparency
Enable on-demand research to reduce FTE strain and accelerate reviews
Centralize evidence summaries for easy stakeholder access
Engage physicians by leveraging their clinical expertise in product evaluation

Safety

Core pain points

Safety risks from product recalls and adverse events
Limited visibility into safety data hinders patient protection
Poor implementation understanding and metrics

Root Challenges

No centralized safety data or alert system
Lack of ongoing feedback from clinicians

Strategic opportunities

Use aggregated FDA and MAUDE data to assess safety trends
Implement real-time safety alert systems for key stakeholders
Run internal product trials, track conversions, and use clinical input to improve post-approval oversight

Financial

Core pain points

Rising product costs and budget strain
Lack of pricing transparency across vendors and facilities
Balancing cost savings with physician trust and clinical needs
Approving products with comparable functionality
Increasing long-term costs

Root Challenges

High-cost product approvals with minimal data
Weak contract utilization and missed bulk-buy savings
Incomplete financial forecasting and communication gaps

Strategic opportunities

Identify and increase on-contract spend
Track costs and savings system-wide
Detect price variance and align purchase order data
Standardize products and leverage bulk-buy discounts
Evaluate total value, including training needs and patient impact—not just purchase price

c. Formulate actionable value analysis goals

Establish clear process, financial, clinical, and personnel objectives

Establishing clear, actionable goals is necessary for any value analysis infrastructure. Without goals, evaluating the program’s influence would be ineffective, and value analysis would lack purpose. Ideally, these goals should be outlined in your value analysis policy document and should be personal to your organization’s needs and mission. Use this sample list of value analysis goals to build a list unique to your organization

Process goals

Develop centralized new product requests
Establish best practices for product introduction, evaluation, and alternatives comparison
Establish policies and governance to ensure compliant, high-integrity decision-making
Standardize workflows and foster a data-driven culture to support efficiency
Increase transparency into the new product review process
Establish a proactive order of operations for supplier involvement during the request/review process
Reduce conflicts of interests between suppliers and clinicians
Introduce risk-share agreements with suppliers when appropriate
Determine appropriate use of physician preference items
Ensure value analysis review includes accurate and objective safety, financial, and clinical evaluation
Create and invest in dedicated collaboration tools
Consider multidisciplinary perspectives
Implement and refine formal training and certification for value analysis roles
Conserve FTE hours to spend more time on core value analysis functions
Employ digital value management software to leverage data integration
Improve decision-making consensus

Financial goals

Decrease the total cost of care
Decrease supply chain expense by X% by X date
Increase cost-avoidance by detecting pricing inconsistencies across the network
Achieve product implementation savings with new product selections and/or substitutions
Understand the total financial impact beyond the upfront cost
Decrease reimbursement errors
Enhance contract compliance and pricing transparency through system-wide standardization and bulk-buy strategies
Increase cost avoidance by avoiding expiration and standardizing products within the organization
Achieve inventory reduction or maintain existing inventory volume
Collect, organize, and report on savings projections, financial benchmarks, and realized savings

Clinical outcomes goals

Prioritize clinical expertise in product evaluations to balance efficacy, outcomes, and financial value
Identify robust clinical benchmarks
Improve clinical outcomes and patient care by reducing length of stay, readmissions, infections, and enhancing safety and patient experience
Enhance evidence-based decision-making through structured review systems and aggregated clinical data

People goals

Create a high-performing value analysis team with physician representation
Increase physician engagement by X%
Increase established physician leadership roles within value analysis committees
Foster staff satisfaction, psychological safety, and cross-functional camaraderie through aligned team culture.
Develop/maintain program buy-in across facility/ system
Develop a high-functioning feedback structure where stakeholders feel comfortable providing feedback
Achieve high levels of collaboration through establishing a virtual infrastructure to support system-wide transparency and communication
Advance clinical excellence and patient value through a culture of transformation and collaboration

IV. Implement structured governance and accountability

a. Review and define policies

Value analysis committees come in all forms, but they share one common element: they all have a policy that sets up the governance structure of the value analysis committees and helps guide the committee’s work. With an operating agreement and governance policy in place, value analysis committees can thread the needle and serve all relevant stakeholders with a transparent and accountable process that puts patients first. When standing up or developing a value analysis committee, selecting the governance structure and implementing a policy is one of the most essential steps in the process. You’ll want to review sample or existing policies and align them with your priorities.

Tool: Sample value analysis policy

Here are the key recommended sections for the development of your internal value analysis policy:

Title of Committee/Committees
Purpose of Committee
Definitions
Confidentiality
Structure of Committee (centralized, decentralized, hospital-based, or system-based)
Membership of Committee
Schedule of Meetings
Duties and Responsibilities
New Product Request Process
Product Approval Process and Inputs
Financial Impact and Contract Analysis
Deviations and Emergency One-time Use Policies
Appeals Process
Guidelines for Performance of Duties
Reporting Structure
KPIs and Metrics
Ongoing Initiatives or Mandates

b. Ensure processes enable physician engagement

Strong physician engagement is a hallmark of mature value analysis programs, yet often one of the most challenging goals. Many programs rely on a single physician champion rather than a fully integrated clinical approach. Reasons for this reality include siloed decision-making and data, time-burdened stakeholders, and resistance to change.

Despite its challenges, physician engagement is essential for achieving a clinically integrated supply chain, advancing value-based care, and improving patient outcomes. High-performing programs succeed by fostering cultural change, involving physicians early, and reframing physician leadership.

In times of crisis, well-established partnerships between physicians and value analysis teams are vital. To build that foundation, health systems should focus on the following strategies:

Standardize and clarify processes

Physicians—among the most time-constrained stakeholders—need clear, consistent processes. Standardize new product request workflows and implement a centralized, cloud-based system to replace ad hoc, email- or paper-based approaches. This improves transparency, consistency, and accessibility.

Increase transparency

Physicians are deeply invested in care decisions and need visibility into product evaluations. Use digital tools (e.g., workflow trackers) to show where a product stands in the review cycle and explain approval or denial decisions with supporting clinical, financial, operational, and safety data. Trust grows when the rationale is evidence-based and openly communicated.

Design with physicians in mind

Reduce friction in the physician experience by addressing common barriers such as:

Multiple login
Non-intuitive platforms
Busywork or redundant tasks
Non-mobile interfaces
Poorly integrated tools
Lack of concise clinical summaries

Identify pain points and set actionable goals to streamline engagement.

Foster clinical advocacy

Empower physicians to lead with clinical reasoning up front. Engaging them early builds ownership within new product requests and aligns decisions around outcomes—not just cost. Shared access to objective data ensures credibility and consistency in discussions, countering industry bias and focusing on patient impact.

Respect physician time

Time constraints limit participation. Offer flexible ways to contribute—on their schedule and terms. Efficiency signals respect and increases the likelihood of consistent involvement.

Invite expertise, not just opinions

Leverage physicians as subject-matter experts, not peripheral participants. Engage those with direct clinical knowledge relevant to the product category. Their input on product training, care delivery impact, and total value can uncover insights beyond initial cost considerations.

c. Outline the product request and verification process

Now it’s time to outline your product request and verification process. Visualizing and including these workflows in your policies ensures consistency and easy reference. Keep in mind that you may need distinct processes for Consumables, Capital, and Purchased Services. Additionally, emergent situations may require a separate fast-track process that balances urgency with due diligence.

Product request process

A proven sample workflow for consumables

Step 1: Internal request

Physician
Health System Employee
No external submissions permitted

If a new product request is not approved, the initial requester can choose to submit a New Product Appeal.

Step 2: Supplier participation

Complete required questions
Upload required documentation

Step 3: Hospital verification

Department Directors: for awareness, strategy alignment
Sourcing Review: Identify conflicts
Clinical Review: Evidence review
Finance Review: Reimbursement guide initial review

Note: Request can be moved forward or returned at any step of the verification process

Step 4: Value analysis

Multidisciplinary Team: Clinical Resource Managers, Supply Chain Directors, C-Suite Service Line Leaders, Infection Prevention, Quality, etc.
Clinical Team Member on behalf of physician

Step 5: Financial review

Approved products that will increase cost or decrease revenue go for additional review and approval at the financial level.

Step 6: Strategic sourcing & data integrity

Begin process to add new product if approved

Tool: Product request form

d. Develop a new product request form

A standardized new product request form helps centralize data. Use these sample questions to tailor a form specific to your health system.

Requestor’s name and department:

Product/Supplier Information

Name of product requested
Manufacturer
Catalog number(s)
Sales rep name
Sales rep contact information
Price, if known
How did you hear about the product?
Do you or any immediate family members have any financial relationships or other conflicts of interest with the manufacturer, rep, or distributor of this product? If your answer is yes, please explain the connection.

Need Description

Are you using a product now to fulfill the clinical need? If so, what item does this new product replace? Include the current name of the article, manufacturer catalog #, and item master number.
If replacing a current product, is there a reason that the current product is inadequate?
If approved, will the product entirely replace the current product or be used in addition?
What procedures would this item be used for?

Clinical Reasoning

What is the clinical justification behind the new product request?
What is the medical literature supporting your clinical justification?
How will this product improve patient care?
Why is this product necessary?

Operational Information

What do you expect the annual usage to be/estimated annual procedure volume?
If approved, would there need to be a change to hospital policy/procedure surrounding use? If so, please explain who would update the process and how it would need to be updated
Are other clinicians/departments interested in using this product? If so, please list who/what department.
Would the new product introduction impact other departments?
Is this a request for a trial, purchase, or consignment? If requested for a trial, who and where will it be trialed? For how long? What would be the goal of the trial?
Would staff education need to occur with the product’s approval? Who will perform and require the education?

Tool: Checklist

e. Gathering supplier data

Use this checklist alongside supporting resources to gain product information from suppliers

Technology information
What is the pricing quote, with tier information?
Is this technology eligible for a trial? Will the technology be available without financial obligation if a trial is approved?
What other health systems utilize this technology? Please include references.
Would this technology replace another product currently utilized? If so, what technology is currently in use?
If any, what supporting resources, equipment, infrastructure, instrumentation, or processes are needed to utilize this technology?
Is this technology on contract?
What is the reimbursement information or CPT codes associated with this technology?
Is this technology eligible for a sole-source agreement?
Is this technology eligible for consignment?
What are the different IT variables to this product?
If it’s a disposable product, what additional capital equipment would be required?
If this is a capital equipment request, what specific disposable products would be required?
Include any consignment contracts, purchase contracts, rental agreements, etc.
In comparison to our current method/technology, how specifically would differences in patient outcomes be enhanced?
Provide the FDA clearance letter (510K) for this technology.
If you are a new vendor, include a copy of the company’s W-9.
Include all existing clinical evidence of the product under review.

V. Leverage digital tools for data integration

With the right technology partner, the value analysis process becomes a vehicle to connect subject-matter experts and arm them with data faster. In practice, this means that formalized committees have the new-found flexibility to vote electronically and eliminate backlogs. Communication and requests are never lost. And manual delays don’t stifle the decision-making workflow.

Tool: Checklist

e. Gathering supplier data

Use this checklist alongside supporting resources to gain product information from suppliers

Provide fully centralized product requests?
Offer an integrated stakeholder workflow?
Offer internal communication tools?
Provide value analysis meeting support, including virtual agendas and decision-making?
Offer practical physician engagement integration?
Provide critical safety data such as FDA recall and adverse event alerts?
Offer financial predictions and post-approval analytics?
Highlight duplicate product requests in your system?
Identify product equivalents?
Provide product comparison abilities?
Offer clinical research integration with stakeholder access?

Offer an on-demand clinical research service for custom requests?
Provide a clinical evidence database with research summaries?
Offer a clinical evidence scale?
Provide item number automation for system-wide transparency and organization?
Offer line-item data?
Provide a virtual database for product discovery?
Offer on-contract identification?
Offer organization-based rather than facility-level transparency and connectivity?
Provide aggregated information on medical devices, biologics, and capital equipment?
Provide a direct connection to verified suppliers?
Offer a strategic partnership for value analysis support?

VI. Monitor Key Performance Indicators (KPIs)

a. Monitoring and evaluating the impact of clinical value analysis initiatives

The key performance indicators (KPIs) you use to measure success will vary based on the goals you’ve set to address current pain points in your value analysis process. Below are sample KPIs you can use to track impact and progress:

Process:

Standardize product introduction with one entry point for transparency → Track the number of new product requests received since implementation
Have insight into new product request progress with real-time progress updates and transparent viewpoint into products under review → Track request status and review duration
Facilitate collaborative, evidence-based decision making with customizable, multi-disciplinary teams and physician leaders → Track physician participation

Financial:

Eliminates X% of X labor consumed in Table A
Identified X in cost avoidance after completing technology vendor trial
Pricing transparency and variance detection across the entire system for product standardization and managed supply expenses
Automated vendor pricing data and financial comparison by product
Cost avoidance projections with increased product standardization and bulk-buy opportunities via contract identification

Table A: Based on X requests Annually

It’s also a good idea to estimate the time spent on new product management activities prior to implementing a process and/or technology solution. Use time spent to inform financial spend.

Customize the table to reflect your system’s inputs.

Compliance

Contract identification
Duplicate product request detection

Risk, safety, and clinical

Ongoing consideration of MAUDE adverse events and recalls
Consideration of all available clinical evidence with identification of company-sponsored studies to avoid conflict of interest and improve patient outcomes
Collaboration with physicians to review the clinical impact

Clinical engagement

Physician and clinician engagement and satisfaction increased x% with centralized product requests, leadership roles within committees, and reduction of product review time
Physician-end-user feedback channels

VII. Launch your new Value Analysis Process

Now that you have set goals, brought in the necessary stakeholders, and outlined your process, it is time to launch your new or optimized value analysis process. Leverage the resources below to announce your value analysis process to your healthcare organization and set up your first value analysis committee.

a. Announce launch to the organization

Reference this announcement template to craft your value analysis launch communication for your organization

SUBJECT:

Introducing Our Value Analysis Program: A Collaborative Path to Better Outcomes and Lower Costs

Dear [Recipient],

To strengthen our clinically integrated, cost-effective supply chain, [X SYSTEM] is launching a system-wide value analysis program. This initiative brings together physicians, clinicians, and supply chain professionals to collaborate on product decisions that improve patient outcomes and reduce costs— especially important as we face increasing margin pressures. By forming a dedicated value analysis team and leveraging best practices, clinical expertise, and objective data, we will make evidence-based decisions that align with both clinical and financial goals. Together, we’ll ensure that product selections are clinically sound, cost-effective, and standardized across all facilities.

Our value analysis efforts will focus on:

Streamlining the new product request workflow
Gathering and analyzing clinical and financial data
Understanding product utilization
Increasing standardization and contract awareness
Supporting efficient implementation post-approval

Through digital transformation and centralized processes, we aim to:

Conserve staff time
Accelerate new product introductions
Improve visibility across the system
Enhance collaboration and vendor communication
Track progress toward measurable value and patient care goals

This strategy is part of our broader commitment to evidence-based decision-making and operational excellence through collaborative, technology-enabled processes.

Thank you in advance for your support and engagement. We look forward to working with you in the coming months.

Questions?

Please don’t hesitate to reach out for more information.

Contact:

[Insert facility, title, name, email, and phone number]

Tool: Sample Agenda

b. Review product data using a structured process

Use these sample agenda items to build your value analysis committee meeting agenda for new product reviews. Do not put italicized bullets in agenda; they are notes for the conversation you should be having with the VAC during the product review process. You’ll want to touch on as many elements that are relevant for you and your team.

Typical Agenda Items:

Review Follow-up from last meeting
Review Products Under Consideration
Product #1
1. Introduce the new product that was requested
2. The product information
  1. Why was the product requested?
  2. What are the product specifications?
3. Clinical evidence
  1. What is the baseline clinical data surrounding the product
  2. Does the product align with organizational, local, regional, and national practices/ benchmarks
  3. Do the current clinical practices and protocols align with the use of this product?
  4. Does published peer-reviewed research support improved patient outcomes for this product
  5. Is there a clinically equivalent alternative to the product
  6. Detailed safety review
4. Cost- Does the product justify the cost?
  1. How much does the product cost
  2. Do we have a contract with the provider of these products
  3. Does this reduce the cost of the product? iii. What is the lifespan and durability of the product
  4. Does the product need to be replaced regularly?
  5. Are we currently using a less expensive product
  6. Would this product help us reduce product variance and increase standardization?
5. Operational considerations
  1. What, if any, are the new product training requirements
  2. What are the storage and packaging considerations?
6. Product next steps
  1. Additional information required
  2. Approve
  3. Reject
Wrap-Up

Schedule a meeting

Hospital Value Analysis Toolkit

I. Introduction

This toolkit provides a step-by-step framework to:

What’s inside:

How to use this toolkit:

While 88%

only 19%

only 20%

II. Understanding Clinical Value Analysis

a. Definition and importance of clinical value analysis in healthcare

b. The role of clinical value analysis in improving patient outcomes

Building blocks for clinical transformation

Executive, supply chain, & clinical leadership

Clinical engagement & education

Process & product standardization

Financial, safety, & clinical data

Change management

Tool: Maturity Model

Assess your value analysis maturity

Five stages of maturity:

1. Physicians and supply chain act independently

2. Physicians involved

3. Physician leader proactively engaged

4. Clinically driven value analysis

5. Patient outcomes & ROI

c. Key components of a successful clinical value analysis program

d. Critical components for successful value analysis

Step 1: Centralized product request

Step 2: Information aggregation

Relevant Data Points:

A. Needs assessment

B. Safety assessment

C. Financial assessment

D. Clinical assessment

E. Operational assessment

Step 3: Evaluation

Step 4: Decision

Step 5: Product implementation

III. Establish Multidisciplinary Value Analysis Teams

a. Determine stakeholder responsibilities

Clinical Leader

Supply Chain/Sourcing Manager

Value Analysis Leaders and Managers

Finance Leader

b. Identify pain points in current process

Workflows & Operations

Core pain points

Root Challenges

Strategic opportunities

Clinical

Core pain points

Root Challenges

Strategic opportunities

Safety

Core pain points

Root Challenges

Strategic opportunities

Financial

Core pain points

Root Challenges

Strategic opportunities

c. Formulate actionable value analysis goals

Establish clear process, financial, clinical, and personnel objectives

Process goals

Financial goals

Clinical outcomes goals

People goals

IV. Implement structured governance and accountability

a. Review and define policies

Tool: Sample value analysis policy

b. Ensure processes enable physician engagement

Standardize and clarify processes

Increase transparency

Design with physicians in mind

Foster clinical advocacy

Respect physician time

Invite expertise, not just opinions

c. Outline the product request and verification process

Product request process

Clinical
Leader

Finance
Leader