Case Studies / Healthcare

Healthcare System Optimizes Medical Supplies

How a healthcare system optimized inventory across 12 facilities, ensuring 99.8% critical supply availability while reducing costs by 20%, improving patient care and financial performance.

Industry: Healthcare
Company Size: $750M Revenue
Implementation: 5 months
Solution: GoodStock Pro

The Challenge

This regional healthcare system operates 12 facilities including hospitals, surgery centers, and specialty clinics. Managing 8,500 medical supply SKUs across multiple locations while ensuring critical supplies are always available presented complex operational challenges.

Key Problems:

  • Patient safety concerns: Critical supply stockouts could directly impact patient care and safety
  • Excessive safety stock: Over-conservative policies led to $42M in excess inventory, including expired supplies
  • Multi-facility complexity: Inconsistent inventory policies across 12 locations caused inefficiencies
  • Expiration management: High-value supplies expiring before use represented significant waste
  • Manual processes: Spreadsheet-based planning couldn't handle critical supply prioritization
"In healthcare, running out of a critical supply isn't just a customer service issue—it can directly impact patient outcomes. But our conservative approach was tying up tens of millions in inventory and creating waste from expired supplies." VP of Supply Chain
$42M
Excess Inventory
8,500
SKUs
12
Facilities
97.2%
Availability Rate

The Solution

The healthcare system selected GoodStock Pro for its priority-based optimization capabilities, expiration date tracking, and proven success with healthcare supply chain management.

1

Criticality Assessment (Month 1-2)

Worked with clinical leadership to categorize all 8,500 SKUs by criticality to patient care. Established differentiated service level targets based on clinical priority and supply lead times.

2

System Integration (Month 2-4)

Integrated GoodStock Pro with hospital ERP and materials management systems across all 12 facilities. Configured expiration date tracking and automated alerts for critical supplies.

3

Rollout & Validation (Month 4-5)

Phased implementation across facilities with continuous clinical validation. Comprehensive training for materials management and clinical staff with safety protocols.

Key Features Implemented:

🏥 Priority-Based Optimization

Differentiated inventory policies based on clinical criticality, ensuring highest service levels for life-critical supplies.

📅 Expiration Management

Advanced tracking and optimization that accounts for shelf life to minimize waste from expired supplies.

🔄 Multi-Facility Optimization

Coordinated inventory management across 12 facilities with automated transfer recommendations.

⚡ Critical Supply Alerts

Real-time alerts for critical supply levels with automated escalation protocols.

The Results

The implementation delivered exceptional results, significantly improving both patient care outcomes and financial performance.

99.8%
Critical Supply Availability
Up from 97.2% baseline
-20%
Supply Costs
Significant cost reduction
$8.4M
Annual Savings
Total cost reduction
-65%
Expired Supplies
Waste reduction

Detailed Impact Analysis:

Financial Impact

  • $8.4M annual cost savings
  • $42M working capital optimization
  • 65% reduction in expired supply waste
  • ROI achieved in 3.5 months

Clinical Impact

  • 99.8% critical supply availability
  • Zero supply-related procedure delays
  • Improved patient satisfaction scores
  • Enhanced clinical staff confidence

Operational Impact

  • Streamlined multi-facility coordination
  • Reduced manual planning time by 70%
  • Better storage space utilization
  • Improved supplier relationships
"GoodStock Pro transformed our supply chain from a cost center to a strategic asset. We've achieved 99.8% availability for critical supplies while reducing costs by 20%. Our clinicians have complete confidence that the supplies they need will be there when they need them, and we've freed up millions for patient care investments."
VP of Supply Chain Regional Healthcare System $750M Revenue, 12 Facilities

Ready to Optimize Your Healthcare Supply Chain?

Improve patient care outcomes while reducing costs with GoodStock Pro