CentraCare Saves $400,000+ Annually Thanks to Managed Print Services

Posted by Dan Larkin on February 23, 2016

The proof is in the numbers – but CentraCare had to see it to believe it. In the beginning, we were only supplying copiers for their hospitals; through this we could tell that they lacked consistency and management in the print environments across their entire organization, and it was costing them money.

CentraCare Health Systems

Like most organizations, they found it difficult to answer questions about print costs across the whole organization, and simply guessing wouldn’t get them in the ballpark. So, we challenged their current process by looking at consistency in product, solution and support across their entire healthcare system. Knowing this insight into their system-wide print environment would provide the information necessary to significantly reduce their costs.

 

Ignoring this Cost-Saving Opportunity Wasn't an Option

Sharing these two important points got their attention:

  • They could save at least 35% on their estimated $1 million print costs 
  • They should implement a system-wide MPS (managed print services) program, whether with Marco or someone else

They began with a beta test; they asked two print providers to analyze and recommend a solution for three departments in their hospital:

  1. Contracts & Procurement
  2. Human Resources
  3. Administration

 

Marco Was Selected to Implement MPS System-Wide

managed_services_provider.jpgSix years ago we earned their managed print services business in those three departments, with a plan to assess all departments across the entire healthcare system. For the first two years of our partnership, we mapped out all of their devices, calculated their current costs and proposed a print plan for each department.

Each subsequent year we’ve been enhancing their print environments in a number of different ways:

PaperCut

To enhance their privacy standards related to print, and reduce the amount of print jobs produced but never claimed, we incorporated a software called PaperCut. This software requires the person printing to swipe an ID at the printer to release their job.

In 2013, they credited $65,000 in savings for jobs that were sent to print devices, but never produced. The benefits related to privacy and confidentiality are not as easy to monetize, but they have great comfort in knowing their print environments adhere to HIPAA laws and other healthcare regulations.

Fleet Size

Through the first five years we were able to reduce their print fleet by hundreds of devices. Unmanaged print environments can get out of control as equipment is purchased on an as-needed basis by individual departments; so, as we assessed each department, we found many opportunities to consolidate 4-5 print devices into one multifunction device. Today they operate 500 HP printers and 200 multifunction devices across the entire system.

Average Age of Equipment

When we first began our print environment assessments, we found that the average age of print technology throughout CentraCare was nine years old. Today we aim to keep it below 4½. This contributes to better overall productivity, efficiency and less downtime.

Re-Focused IT Staff

managed_print_services_in_healthcare.jpgPrior to our partnership, internal IT staff was responsible for the support and maintenance of all print devices. From diagnosing the problem, to finding or ordering the right parts, to fixing the issue or monitoring a service tech if one was needed; all responsibility fell on their techs, that were more often than not unfamiliar with the specifics of each print device.

Our managed print services eliminate this responsibility. We only require their techs to log support tickets in our portal. From there, we handle the rest, allowing CentraCare’s IT team to focus on their larger technology priorities.

Cost Savings

Our estimated cost saving percentage initially was 35%, and we’ve seen results even better than that. CentraCare is reporting cost savings between $350,000-400,000 annually since our partnership began in 2010. All of the above mentioned factors play into this significant cost savings.

 

Building Their Future, Together

Just last year CentraCare renewed their second five-year agreement with us. Now that the foundation is established, we’ll continue to adjust and resize current environments to changes, and assist in the configuring of technology when they acquire new hospitals, build new locations or revamp existing space.

Our process remains the same – we detail the current environment – equipment and costs – and provide a new print technology plan. It is our job to make sure they have the right print technology in the right place to keep all of their employees productive and their print environment efficient. 

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Topics: Managed Print Services, Healthcare, Business Services, Business IT, Case Study