The Risks of Having a Multi-Vendor Strategy Posted by Kameron Jenkins | 5.5.15 7:30am

Tasked with choosing a vendor for your hospital or healthcare system? Here are some reasons why multisourcing can be a financial and procedural nightmare.

So you’ve been tasked with choosing a vendor for your hospital or healthcare system. Do you choose a one-stop-shop or do you go with a multisourced strategy? As it turns out, a rigid budget doesn’t have to come at the risk of convenience and quality. For many, a single-vendor solution is the best move both procedurally and financially.

The Advantages of a Single-Source Hospital Web Strategy

Operational cost is often lower with a single vendor than it is with a multisourced strategy, but there are other ways having a single-vendor strategy can save you money. For example, it will take less time to train your staff to work with a single-vendor system and there are fewer glitches and missed steps due to miscommunication when you have a single vendor– both of which can save you money.

In addition to delivering the agreed-upon service, multiple vendors have the additional challenge of ensuring their product is compatible with the other vendors’ products. If you have ever tried to plug an American device into a European electrical socket, you understand the importance of compatibility. If just one component is off, the entire strategy is toast.

Your best chance at a cohesive web presence and strategy comes through using one vendor. Having one resource to work with is simply better for vendor risk management. It mitigates the possibility of a disjointed online presence and inconsistent user interface.

Ease of communication streamlines operations. By using a single vendor, you gain the advantage of having one point of contact. Your vendor also doesn’t have to communicate with any other vendors, which can slow down production, increase the risk of snafus, and can end up costing you more money.

This is perhaps one of the most obvious benefits of implementing a single-vendor strategy, but its usefulness cannot be overstated. It is much easier to procure a single vendor and negotiating a single contract than building a collection of multiple vendors. Time is money, so the time you save by not having to look for multiple vendors ultimately saves you money.

With a multisourced strategy, everything lives in a different space. For a consolidated solution, use one vendor. Everything will reside in one place thereby making it easier to see the connection between all your strategies.

Perhaps the greatest benefit of a single-vendor strategy is the familiarity it builds. The single vendor will likely be more invested in your success and long-term goals than multiple vendors who are each only responsible for a tiny slice of the strategy. A single vendor becomes more of a partner than a vendor. In the best-case scenario, a single-vendor’s success is so intertwined with your success that they’ll be motivated to do whatever it takes to ensure you succeed.