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Where is Supply Chain Transformation Headed?

There is a need for transformation in the traditional approach to supply chain operations in healthcare, particularly for group purchasing organizations (GPOs). An estimated 97% of hospitals rely on GPOs to optimize pricing for supplies. The need for supply chain reengineering is primarily driven by the desire to reduce costs, with 47% of healthcare leaders identifying supply cost reductions as their organization’s top cost-saving initiative. However, the opportunities for supply chain improvement extend beyond cost reduction to impact quality and improve patient outcomes.

Establishing long-term, stable relationships with fewer suppliers fosters greater collaboration and exploration of value beyond price points. Collaborating with the right partners to innovate and move the supply chain from a transactional to a more strategic focus is key.

Healthcare Purchasing News offered further insights, read more about the planning process here: https://www.hpnonline.com/sourcing-logistics/article/53076717/where-is-supply-chain-transformation-headed-3-insights

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