If you’re a reader of healthcare trades, you’ve likely seen the emergence of the acronym: JIT. This stands for “just-in-time” and it refers to just-in-time purchasing (as well as JIT buying or JIT inventory management) of products to keep supplies lean and costs low. As hospitals are challenged to reduce costs while dealing with major cuts in reimbursements, many of them are exploring JIT with keen interest.
In a recent article from Healthcare Finance News, reporter Chuck Green talked to hospitals and other industry experts about how JIT can help control supply chain costs, along with the potential benefits and risks involved. Don Spence, GHX’s vice president of corporate development, spoke to Chuck about how JIT purchasing can lower inventory carrying costs, and the areas that might pose potential risks. Representatives from Cardinal Health, Mercy and McKesson also contributed their perspectives to the piece.
Click here to read the full article on JIT.