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Harnessing technology to build resilient supply chains in 2025

January 24, 2025
Business Affairs
Chris Luoma
By Chris Luoma

Healthcare costs are projected to soar to 20% of the national GDP within the next decade, outpacing overall economic growth and intensifying pressure on an already fragile system. With the "low-hanging fruit" of digital transformation already harvested, the healthcare industry stands at an inflection point—one where more advanced technology solutions and greater collaboration are required to unlock the next wave of innovation and efficiency. Several trends promise to reshape healthcare as we look ahead, making it more resilient, efficient and prepared for the future.

Trend #1: The cloud journey continues with a focus on optimization
Over the past decade, healthcare organizations have focused on implementing critical systems like electronic health records and cloud-based enterprise resource planning (ERP) systems. These efforts have laid a solid foundation for digital transformation, but they’ve also ushered in significant questions about what comes next.

For healthcare, the focus is shifting from simply adopting digital platforms to fully harnessing their potential. This new phase is about more than moving to the cloud; it’s about thriving in it. And the urgency to act is growing. By 2026, an estimated 70% of health systems will adopt cloud-based solutions for supply chain management, unlocking benefits like improved demand forecasting, waste reduction and responsiveness. Organizations must strategically leverage cloud capabilities to enhance operational efficiency, elevate user experiences and integrate cutting-edge technologies such as analytics and Artificial Intelligence (AI). By doing so, supply chain leaders and stakeholders can drive smarter, data-informed decisions that optimize costs and improve outcomes.

At the heart of this transformation lies data quality—the linchpin of successful digital initiatives. In 2025, we will see organizations prioritize “getting their data houses in order” by investing heavily in governance, integration and quality improvement. Those who succeed will gain the clarity and insights needed to accelerate cloud strategies and achieve improved outcomes in an increasingly competitive landscape.

Trend #2: Stronger, more collaborative partnerships drive end-to-end supply chain visibility
The COVID-19 pandemic disrupted traditional healthcare supply chain practices, prompting a shift from "just-in-time" (JIT) inventory management to stockpiling supplies, which has proved financially unsustainable. Now, the industry is moving toward a balanced approach that aligns supply with demand to ensure continuity without excess waste or cost. As part of this effort, healthcare supply chain leaders are prioritizing end-to-end visibility to create a resilient ecosystem that operates collaboratively rather than in silos.

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