Houston, Texas – May 1, 2023 – Disruptions in the supply chains for medical products have been an issue for many years. Drug and medical equipment shortages can be fatal for some people, but they can also have a systemic impact. Shortages put further pressure on suppliers and manufacturers to meet sudden spikes in demand, threaten the entire U.S. health care system, and cost the economy millions of dollars annually.
According to Yunati and Pasha Shahid, Early in the pandemic, China’s ability to increase supply was constrained by lockdowns, and shipments to other nations were prohibited. The American government ordered 500 million masks in an effort to increase local production, and also suggested sterilizing and recycling N95s in an effort to decrease demand. But there was no formal coordination set up, so federal agencies, states, hospitals, and people had to fight over scarce resources. Price gouging was widespread, and businesses were unable to reach consumers due to prohibitions on sales and advertising.
The pandemic is a clear illustration of how issues brought on by a crisis can increase demand or lead to a halt in production or supply. Supply chains for medical products can be affected in a number of ways by natural disasters or issues with the production process. An increase in consumer demand, for instance, might push product demand substantially above average levels over an extended period of time. The output of manufacturing could be impacted by a power outage or a labor shortage. Even when there is enough supply to fulfill all demand, coordination problems, such as those brought on by political unrest, social unrest, or communication breakdowns after a natural disaster, can result in shortages.
According to data from the American Society of Health-System Pharmacists, there were 301 active drug shortages in the United States at the end of the first quarter of 2023, the highest level since 2014. Separately, a recent report from the Senate Committee on Homeland Security and Governmental Affairs found that drug shortages increased by almost 30% between 2021 and 2022.
The American Hospital Association argues that the healthcare supply chain is not going to be back to “normal” anytime soon, despite estimates that still project its growth.
Understanding how one stakeholder’s decisions influence all parties involved requires regular conversations and engagement with trading partners – in a proactive rather than reactive manner.
It’s important to manage your supply chain – Kelly Cruse
Manufacturers must adhere to stringent regulations from organizations like the FDA, which can be time-consuming and expensive. The sector is extensively regulated. To assist hospitals in overcoming these challenges, National Suppliers of America intends to concentrate on supply chain shortages and supplying those needs.
“You miss 100% of the shots you don’t take.” – Alec Baldwin
Media ContactCompany Name: National Suppliers of America IncContact Person: Pasha ShahidEmail: Send EmailCountry: United StatesWebsite: www.NationalSuppliersUSA.com
