Supply-side economics

Friday, February 21, 2014

RICHMOND, Va. – On the heels of a strong 2013 in which it saw strong organic growth, Home Care Delivered (HCD) has tapped a new CEO so that the company can grow well into the future.

In January, the mail-order provider of disposable medical supplies announced it had named long-time company exec Craig Weber as its new CEO. Former CEO and founder Gordy Fox will stay on as chairman and focus on growth opportunities.

“The demographics are such that the need for these products continues to increase,” said Weber. “These products we provide are the building blocks to enabling care in the home setting, which is where people want to be.”

HCD, founded in 1996, is a mail-order provider of incontinence, ostomy, urology, wound care and diabetes supplies. It holds a national mail-order contract for diabetes supplies.

“HCD did not promote competitive bidding or reimbursement cuts, but we anticipated that it was coming and built our business to be successful in that environment,” said Fox. “And we did that while always remaining true to HCD’s core values—serving patients and being a great partner to payers and referral sources.”

The Medicare diabetes supplies business is only a small part of HCD’s business. The provider recently secured a contract from Virginia Medicaid to be that state’s sole provider of incontinence products, and has contracts with commercial payers and Medicaid programs across the country. HCD also partners with traditional HME providers that don’t want to get into the supplies business—and don’t want to lose other business to competitors.

“They won’t see any HCD vans in their neighborhood delivering hospital beds,” said Fox. “Our niche is strictly supplies.”

HCD has spent years investing in its technology and proprietary platforms to enable the company to operate efficiently.

“You have to be able to operate efficiently and in a very compliant manner in a complex and challenging industry,” said Weber. “It’s also a scalable model and that’s what you need to thrive.”