May3, 2023 – Eric Morrison is the System Vice President of SSRM Operations at CommonSpirit Health in Denver, Colorado. Read an excerpt from The Journal of Healthcare Contracting’s “Future Leaders”.
What do you like about working in the healthcare supply chain? Was it a position you sought, or found out about once you began working in the field?
The most intriguing aspect of being involved in healthcare supply chain is the complicated nature of our work. Healthcare is a large and complex network to operate within, and supply chain requires you to have knowledge of all aspects of the business – finance, accounting, operations, quality, contracting, human resources, etc. There is always a new challenge and opportunity we’re trying to solve, and no greater feeling than being successful and positively impacting and supporting the way our clinicians deliver care within our communities.
In what ways has the supply chain changed over the last 2-3 years from your perspective?
Over the past two to three years the supply chain has become more relevant. The pandemic has required both providers and suppliers to be better strategic partners – meaning transparency to improve resiliency. Data and the ability to leverage that information into quick actionable insights has become the new currency, and there’s been a prioritization of the conversation around risk.
Inflationary pressures have required providers to contract differently with more attention to the operational costs of an agreement. While price is an important aspect of a contract – we’re starting to see more of a focus on the mitigation of risk and total value when making awards.
What are some of the big challenges your supply chain team is facing in 2023?
Labor – we need to invest in our people. We are competing for the same front line resources as Amazon, Walmart, etc. These associates are being compensated at higher rates, receiving additional incentives, and avoiding the risks associated with working in a hospital by pursuing opportunities in non-healthcare sectors. We need to find ways to improve our engagement and incentivize these associates to choose careers in healthcare supply chain.
At the leadership level, we need to find methods of recruiting and retaining top talent that will bring fresh perspectives and challenge traditional approaches. By having strong talent and an engaged workforce, we’ll be well positioned to tackle other over the horizon challenges facing our industry.
Read more in the latest issue of The Journal of Healthcare Contracting.