The secret to success for Triose Inc., a Spring Township-based health care logistics corporation, is in its commitment to help clients succeed by saving them billions in supply-chain costs.
The company focuses on managing the billings and shipments needed to move materials in and out of hospitals and health care facilities.
"We typically save our clients from 25 percent to 50 percent off on transportation," said CJ Joyner, the company CEO, who started the logistics operation from scratch in 1999.
Ira Tauber joined Triose in 2003 as president and a full partner. Joyner and Tauber expect sales to reach $45 million by the end of this year.
Last October, the company moved its corporate headquarters from two buildings in Shillington to an 18,000-square-foot office along State Hill Road in Spring Township. There is 6,000 more square feet available in the building if and when the company needs to further expand.
The headquarters has a team of 54 who serve more than 2,000 hospitals and other health care locations in 44 states. Vendor relations takes on equal importance with customer relations in terms of staffing. Each department has just fewer than 10 members. There are 5,000 vendors managed by the vendor relations team, and to Joyner, treating vendors well is just as important as the treatment of clients.
The meat of the business, the logistics department, is run by a staff of half a dozen, with plans to add four more.
"Due to the relationship the company has built with UPS, its parcel shipping company of choice, together the two have helped hospitals reduce logistics costs and improve productivity," Tauber said.
The parcel shipping company provides on-site staff at Triose. "The staff assists us with a variety of support functions for new and existing clients," said Tauber. "UPS helps us with some of the administrative and operational setup, allowing us to bring much needed value to clients quickly."
By having on-site UPS staff who can find additional resources and tools, it allows Triose to continue to drive down costs and improve supply chain efficiencies in health care, Tauber said.
In addition to getting the best shipping rates, Triose saves its clients money by consolidating shipping invoices. As an example, processing one invoice can cost from $50 to $100 each when billed separately, Joyner said.
Triose manages 30,000 shipments a day for 39 Kaiser Hospital locations, Joyner said. "Year-to-date, we're at a $4 million run rate (in savings for Kaiser)."
A San Francisco Bay Area branch with seven employees was established to serve Kaiser Permanente, headquartered in Oakland, Calif.
"Triose functions as Kaiser's national logistics department," said Tauber.
Joyner doesn't care for the term "employees." He prefers team members.
"It's not about me," he said. "It's about them."
The Affordable Care Act, signed into law in 2010, meant that health care agencies had to find new ways to save without sacrificing quality of care.
"You can't inflate an industry 19 percent a year and expect it to survive," Joyner said.
Nobody wants to pay for anything anymore, he said.
Boon for company
The business-as-usual mentality of health care coasted along until it was hit with the realities of ACA. Facing those realities has created a boon for Triose, clearing the way for it to double revenue from 2012 to 2014, as health care providers continue to dig deep to find financial solutions.
Since then the company has grown by 123 percent and more than doubled its personnel from 28 members at the start of 2013. There are 74 staff members employed by Triose within all its locations.
Creating an enjoyable work environment has been a key to keeping corporate staff members focused on producing excellent results. The company pays staff members one hour per week to donate their time to a nonprofit organization of their choice. An in-house wellness committee works on projects such as an on-site blood drive, biometric screenings and a recent potluck of healthy foods.
While on its upward path, Triose continues to gather accolades along the way. The company was chosen by Greater Reading Chamber of Commerce & Industry for its top spot in entrepreneurial awards for the past two years.
The company was selected as a 2015 SmartCEO Future 50 Award winner for the second year in a row, based on a combined three-year average of revenue and employee growth.
Triose has also earned awards from group-purchasing organizations with which it partners, including the Novation Business & Technology Supplier of the Year Award, Amerinet's Supplier Growth Leaders in the 50 Percent Club and the MedAssets Gold Supplier Award. Joyner has been named a finalist for the EY 2015 Entrepreneur of the Year Greater Philadelphia Award.