My phone has not stopped ringing these past few months. Friends have been asking me the same question in many different forms: “How can my company operate under the new provisions in the Medicare Modernization Act (MMA)?” To this question, I point to the words of Madame Marie Curie: “Nothing in this world is to be feared. It is only to be understood.”
Our country is going through a major upheaval. Events happen almost daily that will affect every business in one form or another, whether it is for higher gasoline prices or additional taxes. None of this matters so long as you are not afraid. You are all businesspeople, entrepreneurs. That fact is confirmed by the successful companies you all run.
As I look back over the long years I have spent in the HME industry, one thing becomes crystal clear: Change is a constant. All the changes we have seen have resulted in great progress. I am old enough to remember when wheelchairs were made of wood. Just look at some of the motorized units available today. People with chronic obstructive pulmonary disease (COPD) once had to be institutionalized; today they can participate in an active life. Need I say more?
When you understand that we are constantly moving forward and our profession is growing steadily, you should be satisfied. I see a great future for our industry, though it may require rethinking how you operate your company. I have preached over-the-counter cash sales, but that is only one opportunity. There are others, so roll up your sleeves and move forward on a positive note.
What's in a Name?
I love to watch how people shop. Often in big retail stores, a popular brand-name item will be surrounded by a large quantity of the retailer's own “private label” equivalent.
The brand-name item has created market demand and has done so by demonstrating an anticipated level of quality. This is particularly true in our industry. We all know the excellence of the name brand. We know that these products will not break down under use and will maintain their stability and stay functional for long periods of time.
I certainly do not wish to give the impression that I am denigrating new start-up companies or any knock-off products. I only want you to evaluate every product you offer to your customers carefully. Know where and by whom any product you sell is manufactured. And please be sure you are protected by any necessary insurance. Remember, any untoward incident falls on your shoulders. Caveat emptor (buyer beware) falls on you and your clients equally.
Add Another Acronym
Providers should get used to a new acronym. RFID, which stands for radio-frequency identification, is a new means of controlling inventory.
Perhaps the greatest cost to any retailer, particularly DME dealers, is the ability to maintain a free flow of merchandise from the source to the consumer. Advances in this area, such as the development of bar coding, are helping to eliminate large inventories and tie up precious dollars. Such technology has proven particularly valuable for wholesalers, giving pickers in the warehouse the ability to segregate and send each individual box or case when ordered. Now we will find it much more convenient to control our inventories and monitor our sales.
Sheldon “Shelly” Prial is based in Melbourne, Fla., with Prial Consulting and also serves as the director of government relations for Atlanta-based Graham-Field Health Products. In 1987, he founded the Homecare Providers Co-Op, now part of The VGM Group. He can be reached by e-mail at shelly.prial@worldnet.att.net or by phone at 321/255-3885.
