The hard part for the member hospitals is learning to work together.

Has it reduced costs for its member hospitals?

The groups identify good products and negotiate contracts for them, but member hospitals do the actual buying.

Premier returned about 22 percent of its revenue last year to member hospitals.

Novation's stated mission is to help its 2,500 member hospitals save money.

Administrators of many of the association's 100 member hospitals will meet on Monday to come up with a more complete response to the announcement, he said.

Services may be provided directly by the Trust or its member hospitals, but are typically outsourced.

I am involved with the medical staffs of all member hospitals and oversee communication between the physicians and the network.

The Quality Institute, with a $250 million annual budget, will be coordinated through the association's 108 member hospitals.

In fact, Novation negotiates price agreements, which its member hospitals are free to use or not.