Posted: October 19th, 2023

Research on Risk Management for Healthcare Supply Chain in Hospital

Research on Risk Management for Healthcare Supply Chain in Hospital

The healthcare supply chain is a complex and dynamic system that involves the procurement, distribution, and utilization of medical products and services. The healthcare supply chain is essential for delivering quality patient care at sustainable costs. However, the healthcare supply chain also faces various risks that can disrupt its performance and affect patient outcomes. These risks include natural disasters, pandemics, cyberattacks, supplier consolidation, regulatory changes, and demand uncertainty. Therefore, it is important for healthcare organizations to implement effective supply chain risk management (SCRM) strategies to mitigate these risks and enhance their resilience.

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SCRM is the process of identifying, assessing, and managing the potential sources of disruption and uncertainty in the supply chain. SCRM aims to reduce the negative impacts of supply chain risks on the organization's objectives and performance. SCRM also enables the organization to exploit the opportunities that arise from supply chain uncertainties. SCRM requires a holistic and proactive approach that involves collaboration among internal and external stakeholders, such as clinicians, suppliers, regulators, and customers.

According to a systematic literature review by Silva et al. (2022), SCRM in healthcare is still an emerging field that lacks a clear definition, framework, and best practices. The authors suggest that SCRM in healthcare should consider the following aspects:

- The healthcare supply chain is patient-centric and outcome-oriented, which means that SCRM should prioritize patient safety and quality of care over cost efficiency.
- The healthcare supply chain is highly regulated and influenced by ethical and social factors, which means that SCRM should comply with relevant laws and standards and address the ethical and social implications of supply chain decisions.
- The healthcare supply chain is heterogeneous and fragmented, which means that SCRM should account for the diversity and complexity of the products, services, processes, and actors involved in the supply chain.

Some of the SCRM strategies that can be applied to the healthcare supply chain are:

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- Integrating procurement and contracting teams, maintaining a reliable inventory, and considering potential patient care outcomes when evaluating vendors (Health IT Security, 2023).
- Improving data analytics, external intelligence, supplier visibility, and demand forecasting to enhance supply chain visibility and agility (Gartner, 2023).
- Creating a clinician-directed supply chain function that engages frontline clinicians in supply chain initiatives and aligns their preferences with organizational goals (McKinsey & Company, 2022).
- Developing contingency plans, backup suppliers, alternative transportation modes, and emergency stockpiles to cope with unexpected disruptions (Exiger, 2022).

In conclusion, SCRM is a vital component of the healthcare supply chain that can help organizations improve their resilience, efficiency, and effectiveness. SCRM requires a comprehensive and collaborative approach that considers the specific characteristics and challenges of the healthcare sector. By implementing SCRM strategies, healthcare organizations can reduce their exposure to supply chain risks and enhance their ability to deliver quality patient care.

References

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Exiger. (2022). Mitigating Healthcare Risk in Supply Chains. Retrieved from https://www.exiger.com/perspectives/mitigating-healthcare-risk-in-supply-chains/

Gartner. (2023). Healthcare Supply Chain Management: What & Why Is It Important. Retrieved from https://www.gartner.com/en/supply-chain/insights/healthcare-supply-chain-management

Health IT Security. (2023). Healthcare Sector Faces Critical Challenges With Supply Chain Risk Management. Retrieved from https://healthitsecurity.com/news/healthcare-sector-faces-critical-challenges-with-supply-chain-risk-management

McKinsey & Company. (2022). Optimizing the healthcare supply chain. Retrieved from https://www.mckinsey.com/industries/healthcare/our-insights/optimizing-health-system-supply-chain-performance

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Silva, C., Oliveira Junior, M., & de Souza Ribeiro Lima Filho, R. (2022). A systematic literature review on supply chain risk management: is there room for improvement in healthcare? Benchmarking: An International Journal.

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