Procurement is the process of purchasing products or services that are cost-effective and have the highest quality results. The process sometimes involves a large portion of the company’s capital, and it plays a vital role in a company’s activities.

Procurement budgets usually help administrators acquire what they need. It entails choosing a supplier, maintaining quality, and even engaging with the supplier during the process. Companies can serve as both customers or suppliers through the procurement process though this post is primarily focused on the seller’s side.

In the medical sales sector, the medical sales representative usually works with the Value Analysis Terms or Value Analysis Committees (VAC) members. The hospital buying process is critical because a sales representative may sell a product or sit on unsold inventory.

Through learning all about hospital sourcing, you can navigate the whole medical supply sales cycle more effectively.

The Process

Here are the typical steps of the purchasing process.


The process begins when new demands are recognized for a physical product or service. A request is made, specifying the conditions, and is then fulfilled by the procurement team.

Supplier Selection

Next, the request for proposal is approved. Suppliers will then apply their quotations to the RFP, and a solicitation is provided to determine the best offer, which will be given the purchase order.

Purchase OrderMan holding clipboard with pen overlooking a purchase order

Purchase orders are typically followed by terms and conditions which shape the contract. The retailer delivers the product or service, and the customer records the delivery.

Receiving and Invoicing

Next, the supplier sends an invoice with the purchase order and product records. After the products have been received and deemed acceptable, the payment is made.

How Are Hospital Procurement Decisions Made?

When purchasing a healthcare product, it may take a long time to place an order. Sometimes, it can take years. To help guide medical practitioners, sales teams need to consider all the factors that affect decision-making.

A vast number of people have input in deciding whether a hospital or health facility purchases a product. Feedback from corporate leaders, managers, and department heads all play a role in doctors’ committees.

Sales reps and marketers need to consider these individuals’ needs and expectations involved in the decision-making. Health professionals also seek to increase the effectiveness of treatment and build meaningful interactions and experiences. Hospital administrators and doctors believe that training efficiency and personal requirements are critical factors in making major purchases.

What Can Go Wrong?

There are a couple of things that can go wrong with a hospital’s purchases. The hospital may not work with the latest technology or technologies employed by the medical firm.

They need to get active in the whole procurement process so they don’t waste time and resources. Before starting a hospital procurement process, networks within the company need to know possible roadblocks.

Major Considerations

When deciding to create or rework your medical procurement process, there are a lot of factors to keep in mind.

Health care programs are large systems, which are fertile ground for uncontrolled expenditure. If healthcare spending in the U.S was more efficient, they could spend less overall, saving millions of dollars per year.

Also, many needless tests and procedures are performed on patients. There are also subsequent considerations to consider, but solving these issues require national-level changes.

One explanation for excessive spending is the inefficient procurement of healthcare products. Unlike the topics addressed. This is something that organizations should control on their own.

Procurement procedures are usually very organized. A medical sales representative should know their prospect’s processes so they can more effectively and predictably manage a framework that initially appears difficult and complicated to manage.

Need Help With Your Own Medical Procurement?

VOC Associates has experience in medical procurement and a commitment to safety during the procedure. We can help set up all of your medical equipment with all-inclusive planning. Visit our website today or call (216) 859-1401 today!

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Get in touch with our medical and dental equipment experts. VOC understands this challenge and provides customized planning and transition services to minimize the impact to your team and ensure a successful outcome.