Knowledge Center

Healthcare expenses continue to rise and yet hospitals are realizing consistently shrinking margins. Healthcare supply costs are typically the second largest expense to a hospital and must be managed in a manner that ensures providers have access to quality products but also with an emphasis on cost awareness and expense reduction strategies. Healthcare supply chains must leverage their data in order to make better business decisions to reduce costs and increase operational efficiencies through the use of business analytics.

This paper explores nine different methods of replenishing a hospital storage area and compares and contrasts the steps nursing must progress through to retrieve the supplies they need for their patients.  

This paper addresses the importance of the supply chain on overall health care costs and how transparent data can lead to a best practice supply chain. Identifying necessary data as well as the location of that data to understand a complete cost structure is a challenge for supply chain leaders. Fragmented systems in healthcare lead to a weak and inefficient supply chain. This data fragmentation in healthcare causes frustration and failure in optimizing the supply chain.