Healthcare Supply Chain Strategies for 2025 Challenges

Supply chains are facing unprecedented pressures due to policy changes and other factors, prompting health systems to rethink traditional sourcing and procurement strategies. These challenges are particularly pressing for pharmacy leaders who are identifying the most significant supply chain issues anticipated in 2025. Health systems are actively responding to these challenges with a focus on transformation and adaptation to ensure supply chain resilience.

Transformation and Adaptation in Supply Chain Management

The healthcare supply chain landscape in 2025 demands a proactive approach that goes beyond cost-saving measures. The Mayo Clinic Supply Chain has created a task force to monitor and mitigate risks associated with U.S.-based tariffs. By working with supply partners, they aim to qualify and quantify potential tariff impacts and provide country of origin by SKU. Mayo Clinic is also converting some products within contracts to lower-tariffed SKUs and is prepared to switch to alternative suppliers to ensure high-quality, cost-effective products for patient care.

At Stanford, the focus on financial management, supply reliability, and data transparency is helping navigate supply chain challenges proactively and effectively. Costs of supplies have been rising year over year due to inflationary pressures and ongoing disruptions, with tariffs further adding to the rising costs of goods in the supply chain.

Holistic Approaches and Value-Based Partnerships

Transformation in supply chain management involves a holistic approach, emphasizing value-based partnerships and preferred partnerships with suppliers. Collaboration between clinical and supply chain teams is increasing in response to natural disasters and trade pressures. One of the significant challenges is driving value and savings amidst increasing costs due to macro forces like the economy, tariffs, product shortages, and inflation. Supply chain management is tasked with mitigating and reversing these increasing costs by evaluating all areas of spend to determine opportunities for cost reductions from utilization, commodities, indirect spend, and physician preference items.

Relationships with partners are being leveraged to increase the breadth of initiatives pursued concurrently in supply chain management. For instance, President Donald Trump's threat to impose a 50% tariff on all goods from the European Union starting June 1 has caused strain among devicemakers, prompting them to rethink supply chain strategies.

The Role of AI in Supply Chain Management

Health systems are expected to face significant supply chain challenges in 2025, and AI is being utilized to address these challenges. Solutions and applications of AI in the supply chain are being explored, with healthcare innovation playing a key role in addressing these challenges. Digital transformation is crucial for improving supply chain management in health systems, as efficient supply chain management can help ensure the availability of essential products and services.

AI can connect disconnected systems and provide a single source of truth, standardizing and synchronizing data across platforms. It automates processes, reduces manual work, and shifts decision-making from reactive to proactive by using real-time forecasting and risk detection. Logistics Optimization AI can monitor traffic, weather, and fuel costs to recommend delivery routes, reducing transit times and operational costs. AI can also optimize warehouse operations by enhancing picking, packing, and order fulfillment processes, while AI-powered robotics can minimize errors, accelerate processing, and enable faster, accurate deliveries.

Investment and Innovation in Supply Chain Solutions

Clarium, a company focused on AI-powered supply chain solutions, raised $27 million in a Series A round of funding. Their technology, Astra OS, has helped hospital systems save over $10 million on average in cost savings. Clarium's platform enables 50% faster disruption resolution and 63% faster substitute approvals. Investors in Clarium include Northzone, General Catalyst, AlleyCorp, Kaiser Permanente Ventures, Texas Medical Center Ventures, and 1984 Ventures.

Clarium's platform helps hospitals manage supply chain operations, inventory, disruptions, and substitution needs. They aim to reach all 5,000 hospitals in the U.S. and plan to continue developing and scaling Astra OS, expanding their team, and developing relationships with new health system partners in the next six months. Despite a difficult fundraising landscape due to market uncertainty, Clarium was able to find the right partner for funding. Investors were attracted to Clarium due to the market need for their solution in hospital supply chain management.

The AlleyWatch Startup Daily Funding Report featured information related to supply chain management AI in hospital supply chains. AlleyWatch, based in NYC, focuses on the NYC tech and startup ecosystem, covering news and information about startups, funding, and entrepreneurship.

Resilient supply chains start with strategy. Leadership drives success in implementing AI-powered supply chains.

As health systems continue to face significant supply chain challenges in 2025, the role of AI, digital transformation, and strategic partnerships will be crucial in navigating these complexities and ensuring the resilience and efficiency of healthcare supply chains.