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Healthcare Supply Chain with Leadership, Management and Planning

Introduction to Leadership:

Leadership is an art of encouraging the group of people for attaining a specific goal. It includes all the elements that can impress others with his work and behavior and people are agreeing to listen to him and follow his advice willingly. Effective communication is simply based on ideas and these ideas should be discussed with other in such a way that they want to follow its instructions. It is the direction for others. Its personality and leadership skills emphasis people to work under his directions. A leader not born with leadership skills but a person who wants to be a leader should develop such attributes in his personality to the other wants to follow his path.

Introduction to Management:

In any organization, the management means the of managing all activities for setting the strategies and provide a format to its employees so they coordinately work to achieve the required target or objective of the organization. Managing means to forecast, organize, coordinate, plan, command and control all the activities within the organization. In companies, at different levels, management is working to control the activities of all level. With the help of machinery, material, and money, produce the product in any organization is an art of management. Proper strategies are made, targets set by management and with the support of all employees, and management can achieve their objectives of the company.

Introduction to Planning:

Planning means a way or method specified to do any work. It means planning includes all the strategies and working criteria which is applicable to organizations used to fulfill targets and goals.  How to do any task can be sorted out with the help of planning. Basically, planning is a management process which helps in defining goals in future and mission to directing these goals and to meet those goals planning should be done, so according to that planning, work will be done through employees. Without planning, no any management can achieve their set goals in the organization because it gives us direction and the proper way to work for attaining targets.

Healthcare Supply Chain with Leadership, Management and Planning:

Healthcare supply chain means all those components of chain from manufacturer to seller work to provide a better healthcare to all needed people at any places.  Link with leadership is becoming in such a way that the person who is lead the group of healthcare properly so that can achieve their goals and targets according to requirement. Management in healthcare shows all those targets or goals set by management according to need and capability of the organization and manage employees work according to give directions. Planning in healthcare supply chain shows that what strategies and policies should be adapted to achieving their set targets .so all three points are an important part of supply chain healthcare.

Suppliers in Healthcare Supply Chain:

Suppliers of healthcare include all manufacturers, distributors and providers of care. Manufacturers include all pharmaceutical companies and medical device companies which provide all the medication and devices to all hospitals, healthcare center, and clinics.  Also, include the developing of hospitals in these areas where health issues come in a normal routine. A large number of distributors work under these manufacturers who provide all medicines and medical device to different sectors, areas cities with proper management. Then providers distribute all medication to hospitals, healthcare centers, clinics and medical stores from where users can easily access all required medicine. In simple words, this supply chain has all three components for promoting and providing healthcare facilities to users.

Best Leadership and Management Rules and Models for Supply Chain:

For smooth and efficient working of the supply chain we have to adopt best rules and models in leadership and management so that may help to support and promote supply chain. Normally leaders focus on innovation with employees and they use segmentation to target decision related to product flow path, stocking strategies, service level, delivery mode, production strategy, and procurement strategies. And supply chain strategies should be aligned with company’s strategies to complete required targets. Integrated business planning is a famous management tool used to resolve the supply and demand imbalancement of products and also applied such type of strategies like use activity-based cost allocation, addressing gaps between operating plans and corporate financial plans and use scenario modeling for achieving best results.

Strategic Sourcing Relationship:

Strategic sourcing relationship means a collective and organized approach used to grip the targeted spending related to all locations with suppliers who have good knowledge and can create good customer-supplier interface. It means that all functional elements should be involved in decision making and evaluation process. Strategic sourcing is a managed approach that allows supply chain to work properly on those spending areas which provide cost-saving benefits. Sourcing model has eight approaches: identify the selected area, sourcing team created, create a communication plan and team strategy, collect information of market, supplier portfolio developed, consider future state, evaluate, negotiate, agree and commitment and supplier relationship management.

About Demand Forecasting:

The demand forecasting in the field of healthcare has two types of techniques:1) survey method 2)statistical method. Survey method includes three methods: expert’s opinion poll, market experiment method, and Delphi method. The statistical method includes four methods: trend production method, Barometric method, Econometric method and other statistical measures.

Some forecasting tools are an industry association, Government and academic data, cash flow statement, production charts, and organization chart. These all are tools and techniques which we can use in supply chain healthcare for better demand and production.

Planning Process:

The planning process is a collection of steps that an organization used while making a budget for the activities of future. The company has many types of plans like strategic plans, tactical plans, operating plans and project plan.

Following are the steps involved in the planning process:

Make objectives, develop task to meet those objectives, verify resources to implement tasks, develop a timeline, apply tracking and assessment method, make a final plan and then distribute the plan among all persons involved in the process.

Usage of Historical Data:

In the supply chain of healthcare, the historical data is very useful for making and analyzing future and present conditions. The data of all historic transactions when study tells us that when we sold or supply high volume and under what conditions, also told about the rates of all medicines at which we supply to providers. it shows all those hospitals and clinics where we provide big volume in past. So all such type of data is beneficial for use because it informs us about the best rate in past and then we can compare the rates with present rates, also visit all those hospitals which were a good purchaser in past and now they change their suppliers. Again try to rebuild good relation with customers for good ration of sales in future.

Enterprise System:

Enterprise system includes purchasing, network security, finance, security; voice networking, wireless and video conferencing, human resource and inventory management and so on. All the systems in any organization combine made enterprise system. Purchasing tell all the methods of purchasing used in the organization. Network security shows the level of security and confidentiality of organization. Finance show the money condition circulates in the organization. The network also works properly with the help of voice networking. Wireless and video conferencing provide easy access to information or help at any place and at any time. Human resource shows how much employees work in an organization and in what posts. Inventory management shows that input and outflow of inventory, its price, and importance of usage.

A Segment of the Supply Chain:

Supply chain segmentation has ten steps in every organization such as:

Implement different demand policies in basic function, Automate policy management, implement different allocation and order promising, perform regular demand and cost to serve analysis to segment, implement different inventory policies, implemented customer replenished program, implement total landed cost sourcing analysis, Implement a business optimization center for continuous learning, incorporate monthly and weekly tradeoffs into S& OP and implemented supplier replenished program.

Suitable Business Model:

The business model for supply chain may include all those requirements that include all parts of the supply chain. In this model, customers can directly meet with suppliers and demand its requirement. The supply chain is work as a marketplace for every supplier and customer. Customer directly approaches to supplier asset store and host store of product. The customer can easily get their required product with the use of supply chain and improve the performance of the business.

Principles of Vendors:

All vendors have an important part of the business and they try to provide the need of users. A transactional relationship is just like chew gum in business. Therefore 5 steps are given under as principle of vendor:

Problem-solving orientation, value optimization, purposeful flexibility, trust and risk sharing.

All vendors work with these principles within any organization.

Difference Between Regular and High Sensitive Supply Items:

The demand for highly sensitive items is always different from regular use items. In healthcare supply chain those medicines which are less potency are easily available in the markets but all those medicines or medical devices which are related to some specific disease or issue may supply on demand in the market. But both items can be easily attainable for customers.

The Methodology Used for Supply Chain:

In supply chain healthcare, the methodology used in which a proper set up of providing medical and all medical devices are made in a proper cycle. The smooth running of the transaction is compulsory in the supply chain. This helps to increase its credibility and usage among maximum areas.


In the end, we analyze the importance of healthcare supply chain and it has depended upon good leadership skills, good management, and smooth planning process to run successfully. Because healthcare supply chain requires at every place, areas or cities. So good health facilities should be provided.

  • (WARD, Updated July 17, 2017) (What Is Leadership? And Can You Learn to Be a Good Leader?)
  • (Thomas Ebel, 1996-2018 McKinsey & Company) (Strengthening health care’s supply chain: A five-step plan)
  • (Supply chain leadership) (Copyright © 2014 Deloitte Development LLC. All rights reserved.)
  • ( Strategic Sourcing: A Step-By-Step Practical Model)
  • (Forecasting Tools and Techniques, Copyright 2018 Hearst Newspapers, LLC)
  • (What Is the Planning Process? – Steps & Concept, copyright 2003-2018 Study.com)
  • (5 principles for great vendor relationships, 2018 IDG Communications, Inc.)
  • (Supply chain business model)
  • (Supply chain segmentation: 10 steps to greater profits, 2018 CSCMP’s Supply Chain Quarterly, a publication of Supply Chain Media, LLC. )

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