As health care organizations navigate an increasingly complex landscape for 2025, supply chain leaders are reimagining their strategic role within their institutions. Based on focus group discussions with over 30 executives at the fall 2024 IDN Summit, several critical priorities emerge that will shape supply chain management in 2025.
Breaking Down Organizational Silos
The era of isolated departments is ending. Supply chain leaders are prioritizing internal alignment, seeking to bridge communication gaps between front-line staff, clinical teams and executive leadership. This holistic approach aims to standardize communication and create a more integrated organizational approach.
They seek to align teams by:
- Facilitating closer collaboration between supply chain, clinical staff and finance teams
- Developing shared communication protocols
- Creating cross-functional understanding of organizational goals
Technology and Data: The New Strategic Differentiator
In an increasingly data-driven world, supply chain professionals recognize technology and advanced analytics as crucial competitive advantages. However, they face significant challenges in implementation.
Challenges include:
- Limited expertise in health care supply chain technology
- Difficulty integrating complex data systems
- Need for robust financial reporting and spend analysis tools
>> See how Advantus helps you turn insight into action >>
Financial Insights and Value Analysis
Supply chain is no longer just about cost-cutting—it’s about providing value that balances financial cost with quality patient care. Leaders are demanding financial insights to drive more sophisticated approaches to:
- Evaluate contract value
- Analyze purchased services
- Provide meaningful financial reporting
- Understand the total cost beyond simple price comparisons
Supply Chain Resilience and Risk Management
The pandemic exposed vulnerabilities in health care supply chains that remain today. Leaders are proactively building resilience by:
- Developing strategies for managing product shortages
- Creating safety stock protocols
- Exploring consignment programs
- Building central distribution centers
- Improving supplier engagement and communication
Operational Standardization: A Path to Efficiency
Standardization emerges as a critical strategy, particularly in high-stakes and high-volume areas like operating rooms. By standardizing procedures, tracking perpetual inventory, and aligning processes, organizations can:
- Improve patient outcomes
- Reduce variability
- Lower operational expenses
- Enhance overall efficiency
The Changing Role of Group Purchasing Organizations (GPOs)
Health care leaders are looking for GPOs that offer more than just price negotiations. They want partners who can:
- Provide strategic business intelligence
- Offer technical support
- Help navigate complex market changes
- Support smaller hospitals with comprehensive solutions
>> Here’s how Advantus differs from your typical GPO >>
Pharmacy and Supply Chain Convergence
An emerging trend is the increasing alignment between pharmacy operations and supply chain management. Organizations recognize the potential synergies and are working to:
- Integrate operational processes
- Share data and insights
- Create more holistic management strategies
Move from Reactive to Proactive in 2025
The supply chain of 2025 is strategic, technology-enabled and organizationally integrated. Supply chain leaders are moving beyond traditional cost-management approaches to create true value within their health care organizations.
By embracing technology, fostering cross-functional collaboration, and maintaining a patient-centric view, supply chain teams are positioning themselves as critical drivers of organizational success.
Make 2025 the year you achieve your strategic supply chain goals. Contact Advantus for deep supply chain expertise that helped one health system reach #3 on Gartner’s Top Supply Chain Companies list.
