Healthcare Solutions

At the “Tipping Point”: Why a Hospital’s Central Utility Plant May Need a Check-Up

Healthcare innovators outsource central plant operations to provide better patient care

As North American hospitals tackle demands greater than ever before, they face unprecedented changes. Uncertainty looms over the direction of healthcare reform. Baby boomers are aging. Chronic diseases are on the rise. And all the while, declining reimbursements amplify the pressures on providers to reduce costs.

“It is clear that the existing structure and fundamentals of the nation’s healthcare system are not sustainable,” said one hospital CEO recently, adding, “Our nation’s healthcare system is at a tipping point.”

To cope and indeed thrive, healthcare organizations are optimizing efficiencies inside and outside of the patient room. “Controlling the Lifecycle Costs of Your Central Utility Plant: Lessons from the Healthcare Sector,” a new whitepaper by Johnson Controls, highlights innovative lifecycle approaches to a critical, yet often forgotten, element of the hospital: the central utility plant (CUP). By leveraging the expertise of energy service companies, hospitals have found a way to maximize their plant’s long-term performance and efficiency through better strategies in design, construction, ownership and operations.

These approaches have already helped Phoenix Children’s Hospital and Children’s of Alabama create more predictable budgets, improved environmental stewardship, and more freedom to focus on what they do best: care for patients and their families.