Hospital leaders see clear ROI for supply chain analytics, but most use outdated processes: survey
March 12, 2019 / Heather Landi
Hospital executives say that better supply chain management can increase margins by more than 1% and the return on investment for supply chain analytics is clear, according to a new survey. At the same time, most hospital leaders are not investing in supply chain operations as their top priority and are using outdated processes, the survey found. While the focus on revenue has taken top billing for the past several years, hospital leaders have started to turn their attention to cost control and management, according to a report from Sage Growth Partners, based on a survey of 100 healthcare C-suite executives and supply chain executives. SGP conducted the survey on behalf of vendor Syft (formerly Management Health Solutions). Supplies are an increasingly large component of healthcare spending, and the Association for Health Care Resource & Materials Management predicts that supply costs will exceed labor as hospitals’ greatest expense by 2020.