Smoothing It Out: Military Health Care Supply Chain in Transition

Abstract

Health care provision in the US can be characterized by its ongoing consolidation of systems and facilities in its efforts to achieve clinical and business integration. An important goal in health care systems is integration to reduce fragmentation and gain value. Functional integration has a long history of association with clinical performance. Supply chain can dramatically support the goals of cost avoidance, improved clinical outcomes, and buffer the system from external dependencies. This paper examines the efforts by the Department of Defense to consolidate the medical supply chain and explores lessons for and from the civilian health sector supply chain.

Keywords:

• Supply chain
• integration
• military medical health care
• mergers
• cost avoidance
• fully integrated supply chain organization (FISCO)

Acknowledgements

We are grateful to insights from the ASU/MEDLOG Team consisting of Jim Eckler, Dale Rogers, Mikaella Polyviou, Richard Perrin, Carol Fraser, and Michael Gillespie. DHA’s staff, especially Annetta Hart, Cindy Crump, and Donna Totten provided guidance as we sought to understand the evolving Defense Health Agency. Any errors in fact or interpretation are entirely those of the authors.

Additional information

Funding

Funding for this research was under ASU-MEDLOG. (2019). Model Use of Innovative MEDLOG Data Management Technologies and Industry Best Practices Report Brief: Plan for Prototype and Roadmap Development. Advanced Technology International, Summerville, SC under Contract Number: W81XWH-15-9-0001.