Unlike healthcare, other industries generally have strong working relationships between buying and selling organizations. This is driven by an understanding that the supply chain is a system, and that what happens on one node of the chain will have repercussions upstream or downstream. These industries have learned that the way to optimize supply chain performance is to involve all parties. That has not been the case in healthcare, as illustrated by a 2010 Gartner Research report that found that 93 percent of respondents believe there is a lack of trust with their trading partners.

Trust: A commodity often in short supply
Many attribute these findings to the fact that supplier-hospital relationships have been historically focused on a contentious topic: price. Suppliers naturally want to sell high, hospitals want to buy low. This lack of trust also tends to be self-fulfilling. When organizations or individuals do not trust one another, they are less apt to share information; when they don’t share information, the lack of transparency breeds mistrust.

Fortunately, with cloud-based technologies that foster collaboration being deployed in healthcare, and as more supply chain practitioners recognize the interdependent nature of the supply chain, relationships are changing. When suppliers are seen as partners, not adversaries, hospitals can take advantage of the expertise many manufacturers have in programs such as LEAN and continual quality improvement. Manufacturers can not only help their customers lower costs but also lower the cost of serving them.

GHX fosters trading partnerships
Many participants in GHX, whether buying or selling organizations, say the greatest value of working with a single trading exchange is the opportunity to change the way they do business together—for the better.

Learn more on our Collaboration and Community page.