Hospitals and health systems are looking to save every penny these days as reimbursements of all kinds continue to shrink, and Glen Falls (N.Y.) Hospital found new profitability in an often-overlooked area of a hospital — its café, according to a Post-Star report.
Glen Falls Hospital decided to switch operations of its café, The Bistro, to national café and bakery chain Au Bon Pain in a 10-year lease. The move expanded the eatery's hours to 24 hours a day, seven days a week, and the outsourcing turned a $100,000 operations loss into a profit, according to the report.
No hospital employees were laid off related to the Au Bon Pain lease, and the employees who had worked at The Bistro were transferred to other jobs within the hospital. The hospital-based Au Bon Pain now has 23 new hires, and Peter Cayan, Glen Falls Hospital senior director of support services, said the lease gives a "guaranteed minimum that immediately relieves us from red ink," according to the report.
Glen Falls Hospital decided to switch operations of its café, The Bistro, to national café and bakery chain Au Bon Pain in a 10-year lease. The move expanded the eatery's hours to 24 hours a day, seven days a week, and the outsourcing turned a $100,000 operations loss into a profit, according to the report.
No hospital employees were laid off related to the Au Bon Pain lease, and the employees who had worked at The Bistro were transferred to other jobs within the hospital. The hospital-based Au Bon Pain now has 23 new hires, and Peter Cayan, Glen Falls Hospital senior director of support services, said the lease gives a "guaranteed minimum that immediately relieves us from red ink," according to the report.
More Articles on Hospital Profitability:
11 Ways Hospitals and Health Systems Can Increase Profitability in 2013
6 Case Studies of OR Performance Improvement
The 5 P Model for Creating an Integrated Orthopedic Network