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5 Ways IoT Influence Hospital Supply Chain

by Danny white

The Internet of things has greatly influenced many different industries over the past few years. The health care industry is supposed to be one of them. A decade back, when IoT was not that, common healthcare industry was making use of telemetry.

From many research and studies, it has been found that healthcare facilities are the highest Internet of things enabled industries today. It uses advanced technologies like IoT sensors, IoT data analytics, connected healthcare system, smart supply chain management, and many more from companies like ServiceNow Services.

Considering this fact, IoT seems to be an up-and-coming technology for hospital operations, patient care, and supply chain management. To cut the waste in the supply chain, healthcare facilities use IoT under the supervision of an expert.

According to these experts, healthcare facilities alone generate a waste of billions if the proper supply chain is not maintained. This waste includes expired products, excess inventory, and product loss, unnecessary shipping charges due to poor planning of inventory, and also due to poor tracking of goods.

Thanks to the Internet of things that uses advanced technologies, and helps reduce the cost pressure in healthcare facilities and make the supply chain more efficient. Now, keeping these statements aside, here below are five ways IOT influence the hospital supply chain.

1: It improves overall speed, accuracy, and expenditure

What it means is, the supply chain is considered to be a strategic asset that could produce financial savings. The nurses, surgeons, and doctors have a significant hold in improving the supply chain operation.

According to a survey, about 94% of professional medical staff were identified to be correlated between financial success and supply chain management. These clinicians have the interest to improve the supply chain of the hospital. They do it by balancing the inventory levels with usage patterns, managing product expirations, freeing up the capital, etc.

These data are collected by IoT device connections, making the workflow, products, management, clinical documents visible for the viewers.

2: IoT develops a holistic view

Healthcare uses IoT to manage the inventory by data analysis and to store it in the cloud-based technology. This helps to connect the product cost and process cost with the actual price. When IoT is used in this industry for supply chain management, there is a lot of data collected for taking proper action.

According to experts, the supply chain in healthcare facilities is not only about manufacturing and distributing; in order to evaluate the supply chain properly, directs as well as indirect costs have to be viewed holistically.

Professionals in this industry understood the importance and proudly used the Internet of things to improve their supply chain management. This management improvement can benefit in the times of crisis when hospitals need additional resources like fabric face masks.

3: Easy supply and demand planning

With the help of the Internet of things, the healthcare facility is able to locate the consignment and expect its delivery at a certain time. This gives the facility as well as the supplier a pattern to follow, and in that way, they can easily plan their next transaction.

Again, proper data is essential for the planning, IoT technology gives all the insights of the company and manufactures supply the products to the hospitals by adequately analyzing the quality, type of product, plan and decide the fastest route, choose a timing and many other aspects.

4: Real-time asset tracking

The standard method to manage the asset in the supply chain is with the help of bar codes and tracking numbers. However, with the introduction of IoT, bar codes, or tracking numbers are replaced by GPS sensors.

These sensors not only give the real-time location of the asset but also shows the temperature, duration of the goods kept in one particular place, etc. This data from IoT technology can help the companies in product forecasting, on-time deliveries, and quality control.

5: Other benefits of IoT in hospital supply chain

The Internet of things plays a vital role in hospital supply chain management.

  1. It helps to identify the issues with the goods getting delayed or lost.
  2. The IoT helps to track the package, whether stored or in motion. When the product is stored in a particular place, the optimal condition is extremely important for quality management. IoT helps to show real-time data to the users on their connected devices and thus helps in maintaining the overall supply chain.
  3. The smart sensors used in the Internet of things technology helps in schedule or predictive maintenance.


These were five ways IoT influence the hospital supply chain. I hope this article helps you understand about the Internet of things and how much crucial role it plays in healthcare facilities to maintain a proper supply chain. Thank you.

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