| Recalling supply chain’s high and low
points
Life
is known for having its ups and downs just as industry ducks and weaves
as it spars with fads, opportunities and threats. Healthcare is no
exception.
As part of Healthcare Purchasing News’
ongoing 30th Anniversary celebration, we surveyed readers and researched
our own content to identify the biggest threats to supply chain
management that actually happened and those that didn’t, as well as the
hottest fads (some of which have lasted for decades or still continue,
believe it or not).
Here’s what our readers and our pages
reported over the years.
Real threats
1. Insurance companies wield cost
control over healthcare industry
2. DRGs and the prospective payment
system put materials managers’ performance in the spotlight
3. Physician preference item
expenses
4. GPOs weaken materials
management’s authority and influence
5. Consolidation and “supersizing”
of GPOs in the 1990s
6. Mergers and acquisitions among
distributors in the 1990s
7. Universal, then standard,
precautions against blood-borne pathogens leads to glove stock shortage
8. Needlestick safety rules
requires acquisition of higher-priced sharps safety devices
9. Pricing confidentiality clauses
in contractual language brought to light by the MedAssets/Aspen-Guidant
lawsuit
10. Distributors, manufacturers,
GPOs and electronic commerce companies battle with providers over
ownership of purchasing data
Fake threats
1. The Carter Administration’s
hospital cost-containment program
2. The “Voluntary Effort to Contain
Costs,” the industry’s response to the Carter Administration’s hospital
cost-containment program
3. American Hospital Supply’s
merger with HCA
4. GPOs threaten to render
materials management obsolete
5. GPOs nullify the need for
distributors
6. Distributors nullify the need
for GPOs
7. Outsourcing materials management
operations
8. Outsourcing sterile processing
operations
9. Common Category Database leads
to commoditization and easy comparisons of products
10. IDNs will consolidate materials
management positions
11. The Clinton Administration’s
healthcare reform initiative
12. Low-temperature gas plasma
sterilization methods would supplant ethylene oxide
13. Y2K’s impact on the supply
chain
14. Internet-based electronic
commerce redefining materials management
15. Online electronic commerce to
replace EDI
16. Online electronic commerce to
replace GPOs
17. Online electronic commerce to
replace distributors
18. Congress shuts down GPOs
19. SARS in the U.S. and its effect
on the supply chain
20. Avian/pandemic flu’s impact on
the supply chain
Hottest fads
1. EHCR
2. Self-contracting/distributing
IDNs
3. Activity-based costing
4. Automated supply cabinets
5. Reverse auctions
6. Bar coding
7. RFID
8. Lean management
9. Six Sigma
10. Value analysis
11. TQM/CQI
12. Just-In-Time/Stockless
distribution
13. Cooperatives
14. Data synchronization
15. Warehousing (off-site and
on-site)
16. Clinical/critical pathways
17. Capitated agreements/capitated
purchasing
18. Risk-sharing agreements
19. Disintermediation
20. Stockpiling
21. Committed volume/compliance
22. Reprocessing/reusing single-use
devices
23. Benchmarking
24. Third-party reprocessing
25. Online electronic commerce
exchanges
26. Cherry picking GPO contracts
27. Sole-source/dual-source
contracting
28. ERP vs. MMIS
29. Bariatric products
30. Third-party logistics
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