Vizient invests with PPE manufacturers to expand U.S.-based manufacturing, supply

Jan. 26, 2021

To help expand the available supply of many personal protective equipment (PPE) items, Vizient, Inc. entered into strategic partnership agreements with Encompass, Standard Textile and Prestige Ameritech, announced Vizient Inc.

Since establishing these agreements, these companies have expanded production capacity and enabled Vizient member hospitals access to some of the most sought-after PPE in healthcare today.

“Extraordinary times call for extraordinary measures. Sourcing strategies that work during normal business conditions are not enough to answer the call for hospitals today,” said Bharat Sundaram, president and chief operating officer for Vizient. “We have acted on behalf of our member hospitals by investing more than $12 million of our capital to help suppliers bring new, domestic manufacturing capacity online and by leveraging our supplier relationships and sourcing expertise to respond to the ongoing PPE needs of those working on the front lines caring for patients.”

Building on an earlier agreement with Encompass Group, LLC for 19 million disposable gowns, in August, Vizient announced a new agreement with the company to provide an additional 65 million AAMI level 3 disposable isolation gowns manufactured annually in North America to its member hospitals. Since then, Vizient has partnered to help Encompass start a new, automated manufacturing line for disposable gowns in the U.S., bringing both supply and onshore resiliency for these products. The new manufacturing line is expected to be up and running in the first quarter of 2022.

Vizient has also partnered with Standard Textile to expand its US-based manufacturing operations for Vizient members. In the initial months of the pandemic, the agreement provided 1.4 million reusable fabric cover gowns (approximately 75 uses each), one million reusable fabric face masks (approximately 50 uses each) and 500,000 reusable plastic face shields (unlimited number of uses) for Vizient members.

In August, Standard Textile joined the Novaplus Enhanced Supply Program, which provides Vizient members with supply assurance through globally diversified manufacturing and US-based stockpiles. As a result, an additional 5.2 million reusable gowns, 1.3 million shoe covers, 1.5 million bouffant caps, 1.5 million skull caps and 1.3 million fabric face masks per year will be available for Vizient members who participate in the program. The reusable aspect of the products in this contract is significant and contributes to sizeable financial savings. As an example, one million reusable gowns equal approximately 75 million total uses.

Vizient’s commitment to Prestige Ameritech for nine million N95 masks over a 12-month period has also been extremely valuable to member hospitals. This product is all manufactured in the United States. Since the agreement launched in April 2020, approximately 700,000 masks have been delivered monthly to program participants. Working together, Vizient and Prestige Ameritech have been able to protect thousands more health care workers than would have otherwise been possible.

Vizient Inc. has the release.

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