HealthcareWhat Are the Benefits of Increasing Supply Chain Assurance in Healthcare?

The healthcare sector has traditionally been known for its highly complex and costly procurement processes. For that reason, increasing supply chain assurance has become a priority for most healthcare organizations. Briefly, this is the practice of ensuring that all products and services delivered meet quality standards, are cost-effective, and are delivered promptly. Let’s take a closer look at the benefits of increased assurance of the supply chain in healthcare.

Improved Patient Safety and Quality Care

There’s plenty of evidence that the way goods move through the medical supply chain influences the perceived quality of care by the patient. Increased assurance helps guarantee that all materials, products, and services meet the highest standards of safety. This in turn helps to reduce medical errors, resulting in improved quality of care delivered. It can best be achieved through the implementation of detailed management practices, such as tracking products from dispatch through delivery and enforcing supplier standards.

Reduced Costs 

More emphasis on supply chain assurance in healthcare can lead to cost savings. This is because it helps to reduce the risk of out-of-date, damaged, or counterfeit products entering the supply chain. Which can be costly to replace or fix. Additionally, it helps to reduce waste and ensure that organizations have access to the right products in the right quantities at the right time, which can help reduce inventory costs. Knowing where everything is can prevent confusion and stress within the workplace.

Increased Efficiency and Visibility 

Healthcare organizations can gain greater visibility into the supply chain processes and understand the areas that require improvement. Ideally, this should be supported with advanced technology, such as AI-driven analytics to help them gain real-time insight into their transport, inventory, and management processes. In addition to reduced manual errors and improved operational efficiency, this should ultimately result in better decision-making and higher returns on investments.

Improved Regulatory Compliance

Procuring and managing medical supplies that are compliant with local and international regulations can be a challenging task. Starting with the suppliers, healthcare organizations need to ensure that their products meet applicable food and drug administration (FDA) standards. There’s also the issue of verifying that products have been sourced from the right suppliers and that they follow the agreed-upon contracts. Ultimately, increasing assurance in the healthcare supply chain ensures that organizations remain compliant with all applicable regulations.

Enhanced Risk Management 

There’s always the risk of medical products being lost, damaged, or delayed during the delivery process. Moreover, healthcare facilities may face the risk of dealing with unreliable suppliers, sub-par products, and counterfeit items, which falls under the category of third party risk. If not managed properly, such shortcomings can have serious repercussions on patient safety, quality of care, and operational efficiency. By increasing assurance in procuring, delivering, and storing medical supplies, organizations can identify potential third party risks before they occur and develop strategies to mitigate them, ensuring a safer and more reliable healthcare supply chain. Learn more at coupa.com/products/supplier-management/third-party-risk.

Conclusion

Patient trust and confidence in the healthcare system depend heavily on the quality of services and products delivered. Enhanced assurance of the supply chain in healthcare helps to reduce medical errors, improve the quality of care, and ensure compliance with applicable regulations. Additionally, it leads to cost savings, and operational efficiency, and supports better decision-making. All of which are essential for the optimal functioning of a healthcare facility. These investments are great for the longevity of the company and to make healthcare staff’s lives a bit easier.

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