Cardinal Health

Industry leaders chart future of supply chain visibility

At FourKites Visibility 2021, supply chain leaders gather to chart the future of visibility

Shopping has never been easier for the consumer. They can have products delivered within a few hours, the same day, the next day or in two days. They can shop in person, online and through marketplaces. They can pick up products in-store or have them delivered to their doorsteps.

All of this is fantastic for consumers, but it puts huge pressure on supply chains to meet those flexible expectations. Not only are supply chain professionals contending with the tall task of personalizing the delivery...

https://www.freightwaves.com/news/industry-leaders-chart-future-of-supply-chain-visibility

Delta adds uncertainty to health care supply chain

A Centers for Disease Control and Prevention scientist reviews COVID-19 antibody test samples. (Photo: CDC/James Gathany)

This is an excerpt from Medically Necessary, a health care supply chain newsletter. Subscribe here.

The challenge: Near the end of June, the number of COVID-19 cases in the U.S. reached the lowest levels since the spring of 2020, and demand for elective procedures and prescription drugs had essentially returned to pre-pandemic levels. 

Some companies were designing game plans for transitioning to a post-pandemic environment with lower case numbers. 

In July, COVID-19 cases, driven by the more...

https://www.freightwaves.com/news/delta-adds-uncertainty-to-health-care-supply-chain

Freight costs, inflation hit health care supply chain

The story: The high price of freight and raw materials continues to be a major problem for a number of companies in the health care supply chain. 

In recent earnings calls, leaders from 3M, Becton, Dickinson and Co. (BD), Cardinal Health, Owens and Minor, and AmerisourceBergen all called out the increasing cost of freight, logistics and raw materials as a big hurdle for the remainder of 2021.

“What we have seen is a broad-based increase in all commodities. … And then logistics cost has continued...

https://www.freightwaves.com/news/freight-costs-inflation-hit-health-care-supply-chain

Excess PPE cuts into profits for distributors, manufacturers

The story: Excess inventory of personal protective equipment and COVID-19 tests are cutting into profits for distributors and manufacturers as demand falls. Several companies recently recorded charges related to obsolete inventory or donated excess products.   

Those actions took place when the U.S. vaccination rates were rising, COVID-19 case numbers were falling and demand for PPE was waning. 

As the delta variant causes COVID-19 cases to rise in the U.S., there are signs that demand for PPE is...

https://www.freightwaves.com/news/excess-ppe-cuts-into-profits-for-distributors-manufacturers

Drug distributors propose wide-ranging opioid settlement

(Photo: Karolina Grabowska)

This is an excerpt from Medically Necessary, a health care supply chain newsletter. Subscribe here.

Top line: After years of negotiations, several major drug distributors have proposed a $21 billion settlement to resolve a large number of claims that they contributed to the opioid crisis.

AmerisourceBergen, Cardinal Health and McKesson announced the proposal last week. If enough states accept the proposal, the agreement would commit the distributors to paying out the settlement over 18 years....

https://www.freightwaves.com/news/drug-distributors-propose-wide-ranging-opioid-settlement

Health care supply chain shifting to post-pandemic operations

An elementary school student is tested for COVID-19 using a rapid test made by Becton, Dickinson and Company. (Photo: BD)

The transition: The coronavirus pandemic has sent health care distributors on a roller-coaster ride, but now they’re preparing to shift operations into a post-pandemic mode.

In 2020, companies had to quickly scale up activities directly responding to the pandemic, such as supplying personal protective equipment, vaccines and COVID-19 tests. They also had to scale down activities serving other aspects of health care, such as visits to doctors’ offices or elective surgeries. 

Now, COVID-19 cases in...

https://www.freightwaves.com/news/health-care-supply-chain-shifting-to-post-pandemic-operations

COVID-19 has mixed effects on financial results for health care distributors

Insulated boxes move down assembly line at distribution center.

This is an excerpt from the May 6, 2021 edition of Medically Necessary, a health care supply chain newsletter. Subscribe here.

The results: The three major health care distributors for the U.S. reported big declines in profits during the first quarter of 2021 compared to the previous year. Revenues, however, remained relatively flat for AmerisourceBergen, Cardinal Health and McKesson.

During the pandemic, distributors ramped up activities related to COVID-19, such as transporting vaccines,...

https://s29755.pcdn.co/news/covid-19-has-mixed-effects-on-financial-results-for-health-care-distributors

Cardinal Health takes steps to increase visibility — Medically Necessary

Medically Necessary is a podcast by Matt Blois about the health care supply chain — how we get drugs, devices and medical supplies to health care providers and patients.

This podcast is brought to you by Ryder, the only fully integrated logistics & transportation provider in the industry. Ryder’s solutions cover the entire supply chain including warehousing, transportation logistics, e-commerce fulfillment, & last mile. Discover how Ryder can make you ever better at ryder.com.

Visibility is crucial for seamless logistics movement, but it is also incredibly important for sensitive material like drugs and health care supplies. That necessity is what drove Cardinal...

https://s29755.pcdn.co/news/cardinal-health-takes-steps-to-increase-visibility-medically-necessary

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