Skip to content
Search AI Powered

Latest Stories

outbound

When failure is really not an option

You shouldn’t have to worry about the hospital supply chain when wheeled into the OR.

When they wheel you into the operating room (OR), the last thing on your mind is the state of the hospital’s supply closet. If there’s one thing we take for granted, it’s that the surgical ward—the epitome of a high-stakes work environment—will have the proper instruments, medications, and supplies on hand for the scheduled procedure.

Unfortunately, you may need to worry about that.


A recent survey of medical professionals revealed that OR supply chains are nowhere near the paragon of excellence we expect them to be. The study, which was conducted by healthcare giant Cardinal Health, found that a full 40 percent of respondents have actually canceled a procedure and 69 percent have delayed a case because of a lack of supplies. Furthermore, 27 percent have seen or heard of a recalled or expired product being used on a patient, and 23 percent have seen or heard of a patient being harmed due to missing supplies.

The research, the third annual “Cardinal Health Hospital Supply Chain Survey,” was conducted last fall among 305 surgical staff and hospital supply chain decision-makers via Sermo, a social media network for physicians. The respondents represented healthcare organizations of varying sizes, specialties, and practice areas.

In an era of extraordinary advances in logistics and supply chain operations, including inventory management, control, and visibility, a logistics professional might reasonably ask, “How can that be?” Well, for all the advances we’ve seen in this field over the past two decades, it’s clear there is still a lot of room for improvement when it comes to health care.

A big part of the problem is that current inventory management systems are anything but, well, current. A full 83 percent of survey respondents reported their organizations still rely on manual counting in some part of their supply chain. Only 15 percent have automated systems, largely RFID (radio-frequency identification)-based. All this goes a long way toward explaining why more than half of surgeons and OR nurses characterized inventory management as “complicated” or a “necessary evil.”

So it’s probably no surprise that the study concludes that ORs need better (read: automated) supply chain management systems and analytics to support patient safety and reduce costs. “Fixing these challenges requires thinking beyond the shelf,” said John Roy, vice president and general manager at Cardinal Health Inventory Management Solutions, in a press release. “We believe streamlining processes and gathering real-time data through automated inventory systems can transform inventory management from a ‘necessary evil’ to a powerful tool that supports better quality of care.”

The survey results indicated that OR clinicians are on board with the idea of automation, which they believe would free up time for patient care and support better outcomes. But they also had definite opinions about the kind of system they wanted to see. To be precise, respondents strongly favored the idea of a special OR-specific inventory management system, rather than one that’s part of a hospital-wide inventory system. A whopping 92 percent of frontline clinicians said they saw a need for a separate inventory management system designed for the specific volume and nature of supplies in the OR.

Developing such a system might sound like a headache and a half, never mind the training and implementation. But that doesn’t mean it’s not doable. If we can build a system that ensures your local (or online) retailer doesn’t run out of iPads the week before Christmas, we can most certainly make sure ORs are properly stocked when a patient is rolled in for surgery!

The Latest

More Stories

plane hauling air freight cargo

Global air cargo rates reached 2024 high point in November

Worldwide air cargo rates rose to a 2024 high in November of $2.76 per kilo, despite a slight (-2%) drop in flown tonnages compared with October, according to analysis by WorldACD Market data.

The healthy rate comes as demand and pricing both remain significantly above their already elevated levels last November, the Dutch firm said.

Keep ReadingShow less

Featured

containers stacked at a port

Supply chain execs wary of three trends in 2025, Moody’s says

Three issues ranking at top of mind for supply chain executives in 2025 will be supply chain restrictions, reputational risk, and quantifying risk exposure, according to Moody’s, a global integrated risk assessment firm.

Each of those points could have a stark impact on business operations, the firm said. First, supply chain restrictions will continue to drive up costs, following examples like European tariffs on Chinese autos and the U.S. plan to prevent Chinese software and hardware from entering cars in America.

Keep ReadingShow less
youngster checking shipping details on smartphone

Survey: older generations are unaware of holiday shipping deadlines

As holiday shoppers blitz through the final weeks of the winter peak shopping season, a survey from the postal and shipping solutions provider Stamps.com shows that 40% of U.S. consumers are unaware of holiday shipping deadlines, leaving them at risk of running into last-minute scrambles, higher shipping costs, and packages arriving late.

The survey also found a generational difference in holiday shipping deadline awareness, with 53% of Baby Boomers unaware of these cut-off dates, compared to just 32% of Millennials. Millennials are also more likely to prioritize guaranteed delivery, with 68% citing it as a key factor when choosing a shipping option this holiday season.

Keep ReadingShow less
shopper returning purchase with smartphone

E-commerce retailers brace for surge in returns

As shoppers prepare to receive—and send back—a surge of peak season e-commerce orders this month, returns will continue to pose a significant cost for the retail industry, with total returns projected to reach $890 billion in 2024, according to a report released today by the National Retail Federation (NRF) and Happy Returns, a UPS company.

Measured over the entire year of 2024, retailers estimate that 16.9% of their annual sales will be returned. But that total figure includes a spike of returns during the holidays; a separate NRF study found that for the 2024 winter holidays, retailers expect their return rate to be 17% higher, on average, than their annual return rate.

Keep ReadingShow less
screenshot of agentic AI for logistics

HappyRobot lands $15.6 million backing for its agentic AI

San Francisco startup HappyRobot has gained $15.6 million in venture funding for its AI platform that automates the communication needs of freight brokerages and other logistics users such as third-party logistics providers and warehouses.

The “series A” round was led by Andreessen Horowitz (a16z), with participation from Y Combinator and strategic industry investors, including RyderVentures. It follows an earlier, previously undisclosed, pre-seed round raised 1.5 years ago, that was backed by Array Ventures and other angel investors.

Keep ReadingShow less