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Introduction: Explain the process you have diagrammed.
The process diagrammed in this flowchart is supply chain within the health care industry. For the purpose of this assignment the flowchart identifies the basic constituents in this chain and process. The process is largely a linear one, in which the different participants in the chain rely upon one another for the end result. The final result is the procurement of medical supplies for providers within the health care industry. Sating the needs of health care consumers via medical supplies is the catalyst for the supply chain. The initial step in this chain is the creation of these supplies as engendered by producers. The intermediary step is the attainment of medical supplies from the purchasers, who in turn distribute them to the providers accordingly.
Producers
The initial step in the supply chain is producing the medical devices and supplies required for consumers. This step is facilitated by medical device manufacturers and pharmaceutical companies, the latter of which purvey drugs. There is a diversity of technology deployed by these producers. Device manufacturers utilize current equipment and innovations to create new devices, whereas pharmaceutical companies deploy various forms of analytics for biology, genetics, and other relevant subjects for a particular area of focus for a drug. The policies...
These entities are both government agencies (such as the Food and Drug Administration), and non-governmental entities which are expressly created to regulate the safety and viability of such devices. The primary information needed for this step is the needs of healthcare consumers as related to specific conditions.
Purchasers
The predominant organizations involved in the purchasing of supplies from producers in the health care supply chain are wholesalers, distributors, and GPOs (Rego et al, 2014, p. 303). GPOS are group purchasing organizations which are created to get the best bargains and most lucrative discounts for those aligned in the same business—such as healthcare. Minimal technology is used by these groups, who predominantly are concerned with buying at reasonable prices and selling high. Thus, they run analytics to quantify both the supply and demand for products. Essentially, the laws of supply and demand are the rules which determine the logistics for the execution of this step. These organizations purchase in wholesale so they can make a profit selling to retailers. The information needed for this step is the latest data regarding demands of health care providers. Additionally, then need regulatory information…
References
Enyinda, C. I.; Gebremikael, F.; Ogbuehi, A. O. (2014). An Analytical Model for Healthcare Supply Chain Risk Management. African Journal of Business & Economic Research. (9)1, 13-27.
Chakraborty, S.; Dobrzykowski, D. (2014). Examining value co-creation in healthcare purchasing : a supply chain view. Business: Theory & Practice. 15(2), 179-190.
Rego, N.; Claro, J.; Pinho de Sousa, J. (2014). A hybrid approach for integrated healthcare cooperative purchasing and supply chain configuration.Health Care Management Science. 17(4), 303-320.
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