In a November 2020 webinar, Paul Farnin of Cardinal Health and Elizabeth Hilla from the Health Industry Distributors Association (HIDA) discussed best practices for developing strategic, integrated supply chain models that drive significant time and cost savings. They identified 5 key best practices in building a strategic supply chain model:
- Alignment. The supply chain strategy must be complementary to the organization’s mission.
- Executive sponsorship. Most successful initiatives start at the top of the house. COO or CEO endorsement of an integrated strategic model is powerful.
- Cross-functional teams. Supply chain leaders must collaborate with clinical staff and other key constituents to inform the strategic model.
- Measurement. To ensure the strategy is on target, organizations need key performance indicators or other methods to measure results and monitor progress.
- Strategic partnerships. Conversations with trusted suppliers go beyond price to alignment of objectives. In a strategic model, health systems form partnerships with both distributors and key manufacturers.
For more insights on building a strategic supply chain model, visit our supply chain center.