Examine our supply chain shortfalls
The coronavirus crisis has exposed many weaknesses America’s supply chain. From the beginning of the outbreak, we have heard about one shortage after another. From items as basic as toilet paper, to critical medical supplies like face masks, protective gloves and gowns, and ventilators, America was ill-prepared for this emergency.
Now is the time to examine our supply chain shortfalls to determine what failed, what worked, and why. We have been told that the Personal Protection Equipment is unavailable because it is made overseas. News accounts highlight disastrous stories of pricegouging sellers and hoarding purchasers of critical PPE. Procurement and distribution of these important items has been a catastrophe because there is a link missing in the supply chain: there are no companies managing this process. There are no middlemen.
Most of the medication physicians prescribe is also made overseas, yet with a few highly publicized exceptions, there have not been many problems getting prescriptions filled. This is because we have great local pharmacies and pharmacy benefit managers (PBMs) that negotiate with manufacturers, procure and manage distribution, and ensure patients get the medication prescribed by their doctors. PBMs have developed a technologically sophisticated and efficient model that is proving the value of supply chain intermediaries.
Some elected officials love to attack businesses that serve as supply chain intermediaries as unnecessary middlemen that drive up consumer costs for their own profit, when in fact they serve to ensure quality, drive down costs, provide rebates and guarantee consumers get essential manufactured goods when they are needed. How can we apply the PBM model, their logistical expertise and technology, throughout the health and medical system to strengthen this essential supply chain? HOWARD G. SLEMONS Staff Physician Sharon Regiona
Health System West Middlesex, Pa.