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Group Purchasing Organizations: Your Secret Weapon for Cost Savings
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19 October 2022, by , in Food, Health, Savings, Comments off

Are you looking for ways to cut costs at your human service sector organization? If so, you may want to consider
using a group purchasing organization (GPO). GPOs are companies that negotiate contracts with vendors on behalf
of their members. This can lead to significant cost savings, as members can take advantage of the economies of
scale. In addition, GPOs often have menu services and other tools that can help members save money and run
their operations more efficiently.

What is a Group Purchasing Organization?

A group purchasing organization (GPO) is an entity that uses the collective buying power of its members to
negotiate discounts with vendors. GPOs typically focus on a specific industry or type of product, such as
foodservice or medical supplies. By banding together, members of a GPO can get better prices on the products and
In addition to negotiating discounts, GPOs also provide their members with other value-added services, such as
menu planning and cost-control tools. These services can help members save time and money, which frees up
resources that can be used to improve the quality of their programs and services.

Why Use a GPO?

There are many reasons why human service organizations should consider using a GPO. First and foremost, GPOs
can lead to significant cost savings. This is because GPOs have the clout to negotiate discounts with vendors that
individual organizations would not be able to obtain on their own. In addition, by pooling their resources,
members of a GPO can take advantage of economies of scale.

Another reason to use a GPO is the value-added services they provide. As mentioned previously, many GPOs offer
menu planning and cost control tools to their members. These services can save members a great deal of time and
money. In addition, they free up resources that can be used to improve the quality of programs and services.
Using a group purchasing organization is a great way to save money on food and supplies for your human service
sector organization. Not only will you be able to take advantage of discounted prices, but you’ll also have access to menu planning and cost-control tools that will save you time and money. So why not give it a try? You may be surprised at how much you can save! Food & Supply Source has been helping the human service sector save money and reduce expenses for over 20 years.

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