GITNUX MARKETDATA REPORT 2023
Must-Know Healthcare Supply Chain Metrics
Highlights: The Most Important Healthcare Supply Chain Metrics
- 1. On-Time Delivery (OTD)
- 2. Order Accuracy
- 3. Order Cycle Time (OCT)
- 4. Inventory Turnover
- 5. Stockout Rate
- 6. Days on Hand (DOH)
- 7. Fill Rate
- 8. Demand Forecast Accuracy
- 9. Shrinkage Rate
- 10. Total Cost of Ownership (TCO)
- 11. Supplier Performance Metrics
- 12. Carrying Costs
- 13. Sustainability Metrics
- 14. Digitization Rate
- 15. Order Processing Time
Table of Contents
Healthcare Supply Chain Metrics: Our Guide
In the constantly evolving landscape of the healthcare industry, a proficient understanding of supply chain metrics is a game-changer. According to a recent study, these metrics hold the key to improved cost efficiency and superior patient care. This enlightening blog post will dissect must-know healthcare supply chain metrics to upgrade your organization’s operational performance.
Measures the percentage of orders delivered on time, which is critical in ensuring that hospitals and medical facilities have the right products when they need them.
Evaluates the percentage of orders that are delivered with the correct items and quantities, ensuring minimal disruptions in medical care.
Order Cycle Time
The time it takes from order placement to order delivery, which is important for keeping healthcare operations running smoothly.
Indicates how effectively healthcare organizations manage their inventory by measuring how often inventory is sold or used in a given time period.
Evaluates the percentage of time that an item is out of stock, indicating the efficiency of inventory replenishment processes.
Days On Hand
Measures the average number of days that inventory sits in stock, which can shed light on how well the organization balances stock levels and demand.
Calculates the percentage of ordered items that are available in stock, which helps evaluate the capacity to meet customer demand.
Demand Forecast Accuracy
Evaluates the accuracy of demand forecasts by comparing predicted demand with actual demand, which can help improve inventory planning and reduce costs.
Measures the percentage of inventory lost due to theft, damage, or other causes, which is crucial for identifying vulnerabilities in the supply chain.
Total Cost Of Ownership/Cross-Selling Rate
Calculates the total cost of procuring, storing, and managing healthcare products, which can help organizations better understand and optimize their spending.
Supplier Performance Metrics
Assess the performance of suppliers through criteria such as quality, delivery reliability, and product availability, ensuring that supply chain partners meet or exceed expectations.
Represent the cost of holding inventory, such as storage costs, insurance, and obsolescence, which can help organizations identify areas for optimization and cost-reduction.
Measure the environmental impact of the healthcare supply chain, such as greenhouse gas emissions or waste generation, contributing to a more responsible, etc.
Evaluates the percentage of supply chain processes that are digitized, enabling more efficient and cost-effective operations.
Order Processing Time
Measures the time taken from order receipt to order dispatch, which can help identify inefficiencies in the order processing or fulfillment processes.
Frequently Asked Questions
What is the purpose of healthcare supply chain metrics?
What are some key healthcare supply chain metrics?
How does inventory turnover rate relate to healthcare supply chain efficiency?
Why is it crucial for healthcare organizations to monitor stockout rates?
How can healthcare organizations improve their order-to-delivery lead time?
How we write these articles
We have not conducted any studies ourselves. Our article provides a summary of all the statistics and studies available at the time of writing. We are solely presenting a summary, not expressing our own opinion. We have collected all statistics within our internal database. In some cases, we use Artificial Intelligence for formulating the statistics. The articles are updated regularly. See our Editorial Guidelines.