beyond domestic manufacturing versus international manufacturing , with a clearer understanding of supply chains and how they can be strained .

For Medline , despite the challenges , the reality is that 50 % of their brand product is manufactured in North America . And a year after the pandemic began , Medline showed up as number one in terms of manufacturing sites domestically . But customers are also increasingly understanding that the answer to more resiliency is global diversification .

And beyond manufacturing sites , the attention to creating four deconsolidation cross dock operations across both coasts — allowing for more points of U . S . entry — as well as inland cross dock operations helps to lower costs and avoid risk . Medline ’ s extensive expertise , resources , and relationships in the global transportation and ocean freight market allows for quick resolution to potential interruptions in product transit to the U . S .

Leveraging data and insights for strategic resiliency Over the last few years , suppliers and distributors have had to make tremendous progress in terms of the KPIs that are monitored and shared across the organization . When considering upstream supply chain performance , systems want to know if vendors are shipping on time and booking containers on time . This information was not always expected or shared prior to the pandemic . But now , it has

“ What differentiates us is the combination of manufacturing expertise , diversified sourcing footprint , and global logistics infrastructure . That global scale and end to end resiliency , paired with our vertical integration across the supply chain , puts us in a unique position to deliver the best outcomes for our customers .”

— Josh Wolfe , Senior vice president of inventory management , Medline

become critical to share that information through logistics teams — strengthening that communication all around . Reports , dashboards and analytics insights are now available to the customers for more complete visibility upstream .

In addition , backorder communication to mitigate supply shortage risk , along with workflow management tools , are the

The most U . S . medical supply manufacturing locations *

Own and operate More than Manufacture

manufacturing facilities across North America

of Medline brand product sales are manufactured in North America

* Per Health Industry Distributors Association , April 2022 healthcare procedure kits annually in North America types of improvements and investments that are necessary for resiliency — this is all critical to the larger idea of supply chain diversification . And this also requires systems to become more sophisticated in their approach toward more clinically integrated supply chains . They must remain open to clinically equivalent products and automated options such as auto-substitution to clear the way for more supply continuity .

But when you have , like Medline does , the broadest med-surg portfolio in healthcare , there is a much deeper pool of inventory to support customers . And the corresponding scale of distribution business brings unparalleled data to analyze manufacturer performance , identify trends , and help provide solutions proactively .

Looking ahead Supply chain diversification has emerged as a critical strategy for ensuring the resiliency and reliability of healthcare supply chains . The ability to source products and raw materials from multiple suppliers across manufacturers and regions is essential for mitigating risks and maintaining consistent fill rates — something Medline has always been proud of with industry-leading service levels — especially in the face of global disruptions . Distributors who prioritize and successfully implement these strategies are not only safeguarding their operations but are also playing a pivotal role in supporting the healthcare industry . They are setting new standards for reliability and responsiveness , ultimately benefiting healthcare providers and the patients they serve .

Looking ahead , the landscape of supply chain management in healthcare is poised for continued evolution , driven by advancements in technology , data analytics , and global trade dynamics . Healthcare distributors must remain at the forefront of these developments , continually innovating and adapting their strategies to anticipate and respond to emerging challenges . As the industry faces new pressures , the importance of supply chain resiliency will only grow , reinforcing its role as a cornerstone of effective healthcare delivery . By staying committed to diversification and innovation , healthcare distributors will continue to protect patient care and empower healthcare providers , ensuring that the system remains robust and reliable in the years to come . ◼

30 SUPPLY CHAIN OPTIMIZATION Issue 9 / 2024