MED Group’s Grau: Get Ready No Matter What

LUBBOCK, Texas — With the Jan. 1 go-live date fast
approaching and an industry waiting on CMS’ revelation of contract
winners for Round 1 of competitive bidding, “it’s a
scary time,” said The MED Group’s Wayne Grau, vice president of
supplier relations and government affairs.

“We’re still fighting this thing,” Grau said. “We’ve got to get
it killed.”

But no matter what happens, providers are going to have to
change the way they do business to deal with whatever the
industry’s new scenario turns out to be, Grau said. If bidding is
implemented, HME companies need to be armed with information and
marketing tools whether they win or lose a bid “or if they are
prepping for Round 2.”

The Lubbock, Texas-based member services group has announced a
series
of competitive bidding seminars in each of the Round 1 CBAs
beginning next week, and has also begun a 13-week “revenue
diversification and enhancement series” pointing up market
opportunities.

“We’re showcasing some additional product lines that are not in
the normal lineup” such as hot and cold therapy and diabetic shoes,
said Grau. “It’s not just about the product area but what the
economics are, how you market it and how you bill and document,” he
said. Providers also have to figure out whether any of the market’s
emerging opportunities “will fit into their business processes and
if it is something they want to take on.”

Grau said HME providers need to realize “they have to be better
at what they do and really focus on what brings value to the
consumer and the patient. They will have to ditch anything that’s
not bringing in money or value.”

Describing himself as “an optimist at heart,” Grau believes
“there are a lot of smart people in this industry who, once they
know the rules, will change to make sure they can still deliver
quality goods and services to their patients. The good providers
are going to try to get ahead of the curve and change
beforehand.”

It’s just figuring out what those rules might be that is the
question, he said. “What shape the industry’s going to be in,
whether it’s next year or four years from now or 10 years from now,
no one knows. But DME is not going to dry up; seven thousand
Americans turn 65 every day.

“Where that ends up? Nobody’s got a crystal ball,” Grau said. “I
see great companies out there. Some will fail, some will do OK and
some will be very successful.”

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