The Year Hospital Procurement Leaders Take Back Control

Something significant changed for hospital procurement leaders. A full 90% of them say they’ve changed their strategy to managing inventory in the past two years. That’s a powerful statement that what used to work no longer does.

A scan of the recent past would suggest what’s driving the change. A global pandemic increased patient demand on hospital facilities, burnt-out employees, staff shortages, logistics backlogs, and increased costs.

Something had to give. And give it has. Owens & Minor conducted a nationwide survey of hospital procurement leaders detailed in the State of Hospital Purchasing, in which 9 in 10 respondents said they’ve changed their approach, mindset, and priorities in reaction to historic global change.

Here are the key takeaways from a US study of hospital procurement leaders, conducted in conjunction with an independent research firm and AHRMM, the leading association of hospital supply chain and purchasing professionals

Shared medical knowledge benefits his coworkers and patients

90%

of hospital procurement leaders have changed their strategy to managing inventory in the past two years.

Strategies are evolving

Hospital purchasing leaders want more control over inventory

Cost control is the goal

Cost spikes are eating into hospital operations

90%

90% of hospital purchasing leaders say their strategy for managing and procuring supplies has changed in the last two years

55%

55% of hospital purchasing leaders say inventory management is a significant challenge

78%

78% of hospital purchasing leaders seek costefficiency above all other priorities

76%

76% of hospital purchasing leaders say increased costs are their top challenge

Owens & Minor offers an extensive portfolio of proprietary, branded, and qualified diversity suppliers to give customers choice, access, and control to maximize impact in terms of both reduced product cost and quality of care. Hospitals and health systems have access to more of the products they need, from a single, streamlined distribution channel, bringing together the most clinically relevant products and educational resources available.

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Decreased material supply is squeezing hospitals

Material scarcity is a challenge for over half of hospital purchasing leaders

Supply chain problems have increased the priority of supply reliability management

76% of hospital purchasing leaders say supply reliability is a top value driver for their team

Distributor relationships are increasingly important

74% of hospital purchasing leaders are working closer with distributors now compared to two years ago

Hospitals are working closer with partners

72% of hospital purchasing leaders are working closer with suppliers now compared to two years ago

Procurement teams need more support

71% of hospital purchasing leaders say their department could be better resourced

Over 90% Americas-based manufacturing footprint enables Owens & Minor to maintain critical healthcare supply levels to serve their customers, even when confronted with industry-wide constraints. Owens & Minor control the material, design, strict quality standards, and product specifications in their own facilities with their own teammates. The result is both improved supply reliability and risk mitigation for hospitals and health systems.

66%

Hospital systems are still funding expansion.

66% of hospital purchasing leaders say capital improvements are their #1 priority

27%

Clinician engagement is higher than physician engagement

Hospital purchasing leaders are 27% more likely to be well engaged with clinicians than with physicians

60%

Engagement is good, but should be better

60% of hospital purchasing leaders say they could be better engaged with clinicians, and 79% say they could be better engaged with physicians

Old-school conferences still work

Conferences are still the #1-way hospital purchasing leaders learn about their industry

Unprecedented times create unprecedented opportunities. The hospital purchasing leaders
who are able to adapt, expand efficiency and predict what’s next are the ones who will win the next cycle of efficient hospital operations, creating better experiences for patients, physicians, shareholders and their coworkers.

Contact us to learn how we can help you improve the health of your supply chain.

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