The need to manage supply chain costs in a post-pandemic world is as acute as ever, as supply chain delays and shortages for basic medical supplies and medical devices persist.
Prior to the pandemic, hospitals turned to just-in-time (JIT) purchasing as a safe and effective way to manage supply chain costs, through a lower carrying cost of inventory and the reduction or elimination of waste from obsolete stock. The global shortage of mask and personal protective equipment (PPE) during the early stages of the pandemic, along with increasing costs resulting from current supply chain delays and shortages of basic medical equipment and medical devices, is now forcing healthcare providers to rethink JIT supply chain management.
Overnight, the coronavirus pandemic transformed the financial rewards of JIT inventory management into untenable health risks to staff and patients – as widespread shortages of N95 respirators, surgical masks, face shields, gowns and gloves threatened hospitals’ ability to keep staff safe while working to treat patients with COVID-19.
Today, as hospitals ready for the next pandemic, they continue to face tighter profit margins from rising healthcare costs, cuts in reimbursement rates and lost revenues from the recent suspensions of elective surgeries in many hospitals. The need to manage supply chain costs in a post-pandemic world is as acute as ever, and is accompanied by a new and growing demand for an accessible inventory of basic medical supplies, medical devices and PPE at or near surge capacity supply levels.
Hospitals and healthcare facilities also need a clean and dry place to store basic medical supplies, medical devices and PPE stockpiles – secure, limited access facilities in close proximity where they can be easily accessed and not exposed to contaminated areas, dust, sunlight, extreme temperatures, excessive moisture and damaging chemicals.
Hospital procurement managers need an experienced warehouse manager and an advanced inventory management system that affords adherence to best practices, like monitoring supply levels and replenishing when minimum thresholds are met, stock rotation, online order fulfillment, coordinating JIT deliveries and ensuring PPE is used prior to its expiry or “best before” dates.
Our healthcare logistics team can provide you with the smart inventory management and supply chain resiliency your hospital needs to withstand the next pandemic:
- Highly secure, limited access warehouse facilities in Landover, Maryland; Springfield, Virginia and Sterling, Virginia – all within close proximity to Washington, D.C. and major highways.
- A fleet of 180 vehicles dedicated to servicing the local Washington, D.C. healthcare market, allowing us to provide our clients with rapid, flexible and JIT deliveries.
- Experienced warehouse manager and an advanced bar-code based warehouse and inventory management system that allows you to manage your inventory levels and order supplies online for JIT delivery to your hospital or healthcare facility.
Download our white paper on how smart inventory management and supply chain resiliency solutions from Interstate can help your hospital prepare for the next pandemic.