Business & Investment

What is the value of the healthcare supply chain?

Values ​​or value proposition

Each has a different definition and purpose, but it is relatively the same in different industries. And then there is the health care supply chain. What is a value proposition?

Identifying priorities:

The health care supply chain has many competing values ​​within a particular organization. Supply chain resilience and influence in health care has many competing goals, or values, within the same organization. When a pandemic competes for priorities and goals, the ability to bend from one to another is a tremendous challenge. How far can you extend your supply chain without snapping? How fast can you shrink?

Some variables, or influencers, can strengthen or stall the entire supply chain

  • Revenue.
  • Providing care.
  • Regulatory guidelines.
  • Data intelligence for both enterprise and forecast.
  • New diverse supply channels.
  • Financial stewardship.
  • Strategic procurement.
  • reliability.
  • Demand planning.
  • Storage and operation.
  • Purchase and order management.
  • World events.

What is health care craving for?

  1. Providing care.
  2. Compensation for the provision of care.

The health care supply chain needs revenue to operate. It’s very easy. Businesses have the well-known phrase “no margins, no mission”, and competing values ​​and priorities do not fit well into the business mindset. COVID-19 forced organizations to implement new standards rather than new ones within healthcare. No one likes to hold a gun in his head when making a decision. Currently, the coronavirus puts a finger on the trigger. As the Office of Management and Budget states, medical costs are expected to increase (see graph).

How much do you spend?

In 2020 U.S. medical expenses It accounts for 18% of GDP, which is the highest medical cost in developing countries. Canada is relatively 3%.

There are many priorities in the supply chain. That is, patient care support and supply cost management. Competing demand and unplanned disruption (that is, COVID-19) puts a strain on the infrastructure. Due to supply chain failures during the deployment of vaccines, many cracks were found in health care armor. The ability to deliver the necessary supplies to the American countryside was disastrous. Quarantine and closure affected logistics and transport channels, with thousands of people infected with COVID-19 disrupting supply lines. Significant impact of supply chain and operations on the planet And society is not meeting the expectations of stakeholders for sustainability.

What is value?

Value statements are ambiguous within the healthcare supply chain. Who defines value? Ultimately, it’s the customer, and senior management is looking at the role of the supply chain in a more complex way. Hope it doesn’t take too long.

thank you for reading.I can reach me at tingram@freightwaves.com If you have any questions or feedback. Do you like content?Subscribe here

Tim Ingram



What is the value of the healthcare supply chain?

https://www.freightwaves.com/news/what-is-value-in-the-health-care-supply-chain What is the value of the healthcare supply chain?

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