A clinically-integrated supply chain: How your health system can make it a reality

What if both supply chain and clinical leaders could work together to save their health system money while also improving patient care?

In an effort to help make this scenario a reality, Cardinal Health recently brought together more than a dozen supply chain executives and perioperative clinical leaders from health systems across the country to talk about the challenges they faced in their own efforts to develop clinically-integrated supply chains.

The genesis of the discussion were the findings from research Cardinal Health commissioned in early 2018 to look at supply chain management from the perspective of various health system stakeholders. Among the main findings: 97 percent of respondents (including surgeons, nurses, and supply chain leaders) said supply chain management is an important part of achieving their organization’s goals; 64 percent had concerns about wasted or overused supplies; and 66 percent could remember an instance when a physician in their system lacked the supplies they needed to perform a procedure.

At the joint meeting itself, the participants reviewed the pre-meeting survey results and then addressed the challenges in much greater detail. They noted that the supply chain and clinical functions usually looked at inventory management from different perspectives – with each placing differing emphasis on cost savings, impact on clinical staff, and the quality of patient care.

According to Lisa Zierten, director of marketing for Distribution at Cardinal Health, these barriers need to be addressed from the outset so that clinicians can ultimately put more focus on the patient and have supply activities managed by those who can do it best.

In the end, the attendees at the joint meeting agreed there are several concrete ways organizations can take to further their own clinically-integrated supply chains. Among their suggestions:

The first step for any organization should be to schedule a meeting between supply chain management and clinical leaders. Give everyone a seat – and a voice – at the table, and let the discussions begin. If these discussions are already happening, both groups should align on the overall objectives – such as reducing clinical variability, cost or supply chain complexities.

Once everyone understands the overall purpose, it’s easier to align on goals and priorities. Most clinicians are concerned about safe and effective patient care, while those in supply chain management typically focus on improving efficiency and controlling or lowering costs. It’s important for each group to understand the other’s perspective, but also to develop a set of shared goals and metrics for success.

One place to start is with the Association for Health Care Resource and Material Management (AHRMM) and their definition of the clinically-integrated supply chain. It’s an “interdisciplinary partnership to deliver patient care with the highest value (high quality, best outcomes, and minimal waste at the lowest cost of care),” according to AHRMM, and it’s accomplished “through assimilation and coordination of clinical and supply chain knowledge, data, and leadership toward care across the continuum that is safe, timely, evidence-based, efficient, equitable, and patient-focused.”

Finally, there must be a roadmap for stakeholders to follow as the clinically-integrated supply chain becomes a reality. Lines of communication have to remain open (regular meetings are necessary), and data exchanged around inventory needs and availability should be relevant to all parties involved (highlighting clinical efficacy and cost benefits, for example). Data should be used to drive systems standardization – and both groups should participate in the integration process.

“The overarching message from that meeting was that the clinically-integrated supply chain is no longer optional,” Zierten added. “But the encouraging thing, I think, is that it’s also very attainable. Once you get everyone on the same page and commit to communicating and to long-term collaboration, everything else should fall into place.”