2010 healthcare supply chain Top 25

MUMBAI, INDIA: Gartner Inc. released the findings from its second annual Healthcare Supply Chain Top 25.

"Leadership in the healthcare value chain requires a laser focus on enhancing internal supply chain capabilities and a relentless pursuit of joint value with trading partners," said Wayne McDonnell, research director, Gartner.

"Two themes emerged from our review of this year's Top 25: The time has come for value chain intermediaries to lead the extension of best practices across the value chain, and several health systems are illuminating a path to supply chain excellence for all value chain organizations to follow," he added.

McDonnell said that healthcare value chain organizations must also expand their views of supply chain excellence, since many have historically held rather insular views. Life sciences manufacturers have measured success by the discovery and marketing of life-saving innovations, and distributors and wholesalers by the efficient utilization of working capital to preserve razor-thin profit margins.

At the far end of the value chain, healthcare providers have measured success by the ability to balance cash out for treatments and cash in from reimbursements.

"Granted, these achievements are critical to sustainable business success, but independently, they don't deliver value chain excellence when the measuring stick is marked by patient care, collaboration for value creation and continuous, end-to-end cost improvements," he said.

Table 1: The Healthcare Supply Chain Top 25 for 2010