Large Stockpiles Create New Logistical Challenges
HIDA LEGISLATIVE UPDATE
A 90-day supply for a 350-bed hospital requires 5,700 sq. ft. of space — the equivalent of
13–15 tractor trailers.
A 90-day supply for a 5,000-bed system requires 81,400 sq. ft. of space — the equivalent of
1½ football
90-Day PPE Stockpile Mandates Increase Shortages And Drive Up Costs
Moving Towards Supply Chain Elasticity Policymakers are considering mandates for healthcare providers to maintain 90-day stockpiles of critical supplies such as personal protective equipment (PPE). These mandates are likely to increase supply shortages and drive up costs to hospitals. A better solution is to stockpile government controlled pandemic supplies at the country’s 500+ existing distributor warehouses across the U.S., positioning inventory close to healthcare providers for immediate surge needs during a crisis.
HIDA proposes a better alternative to mandated long-term stockpiles. Supplies Needed OnofThe Front Lines By Linda Rouse O’Neill, HIDA VP Government Affairs
…And Drive Up Costs Get Moved To TheCreate Back Shelf... Large Stockpiles New Logistical Challenges July 8,for 2020 A 90-day supply a 350-bed hospital requires 5,700 sq. ft. of
A 90-day supply for a 5,000-bed of PPE
system requires 81,400 sq. ft. of for a 350-bed hospital space — the equivalent of 13–15 tractor trailers. Proposals requiring healthcare space theasequivalent would— cost much as of Grave Shortages of Protective providers to maintain a 90-day stockpile Gear Flare Again as Covid 1½ football $2 million. Cases Surge of personal protective equipment (PPE) and other critical supplies appear to be May 6, 2020 a simple way to avoid future equipment Policymakers are considering mandates for healthcare providers to maintain 90-day stockpiles of critical supplies such as personal protective equipment (PPE). These mandates are likely to stockpiles increase supply “…demand continues to outstrip supply because shortages. In reality, requiring every Policymakers are considering mandates for healthcare providers to maintain 90-day of critical shortages andasdrive up costs to federal hospitals. A better solution to stockpile controlled hospitals, states and the government areThese is supplies such personal protective equipment (PPE). mandates aregovernment likely to increase supply hospital and nursing home to maintain a pandemictrying supplies atup thecosts country’s 500+for existing distributor warehouses across the U.S., positioning to considering stockpile supplies.” Policymakers mandates healthcare providers maintain 90-day stockpiles of critical shortages andare drive to hospitals. A better solution is toto stockpile government controlled inventorysuch close healthcare providers for immediate surge during a likely crisis. supplies asto personal protective equipment (PPE). Theseneeds mandates are toU.S., increase supply sizable stockpile in the middle of a global pandemic supplies at the country’s 500+ existing distributor warehouses across the positioning Policymakers are considering mandates for healthcare providers to maintain 90-day stockpiles of critical Supplies On The for Front Lines shortages andNeeded drive up costs to hospitals. A better solution is to stockpile controlled inventory close to healthcare providers immediate surge needs during agovernment crisis. supplies such as personal protective equipment (PPE). These mandates are likely to increase supply pandemic will exacerbate ongoing PPE Policymakers are considering mandates healthcare providers to maintain 90-day stockpiles critical pandemic supplies at the country’s 500+for existing distributor warehouses across the U.S., positioning …And Drive Upof Costs Get Moved To The Back Shelf... shortages and drive up costs to hospitals. A better solution is to stockpile government controlled Stockpiles need to be managed and theneeds increased inventory rotated Large Stockpiles Create New Logistical Challenges supplies asto personal protective equipment (PPE). These mandates are to increase inventorysuch close healthcare providers for immediate surge during a likely crisis.stockpiles Policymakers are considering mandates for healthcare providers to maintain 90-day of supply critical shortages. Stockpiles of this size divert pandemic supplies at the country’s 500+ existing distributor warehouses across the U.S., positioning shortages and drive up costs to hospitals. A(PPE). better solution istheft, to stockpile government controlled to avoid the risk of product expiration, damage, waste. supplies suchStockpiles as personal protective equipment These mandates are likely toand increase supply Large Create New Logistical Challenges July 8,for 2020 A 90-day supply a 350-bed hospital requires 5,700 sq. ft. ofneeds forPPE a 5,000-bed inventory close to healthcare providers for immediate surge during a crisis. A 90-day of supplies from the front lines to the back pandemic the country’s 500+Aexisting distributor across supply the U.S., positioning shortages andsupplies drive upatcosts to hospitals. better solution is towarehouses stockpile for government controlled system requires 81,400 sq. ft. of a 350-bed hospital A 90-day supply for a 350-bed hospital requires 5,700 sq. ft. of A 90-day supply for a 5,000-bed space — theto of 13–15 tractor trailers. inventory close healthcare providers for immediate surge needs during a crisis. pandemic supplies atequivalent the country’s 500+ existing distributor warehouses across the U.S., positioning Large Stockpiles Create New Logistical Challenges shelf of a warehouse. space — the of ft. ofAssociation © Health Industry Distributors would cost asequivalent much as sq. Grave Shortages of Protective system requires 81,400 space — the equivalent of 13–15 tractor trailers. inventory close to healthcare providers for immediate surge needs during a crisis. space — the equivalent of Large Stockpiles Create Logistical Gear Again as New Covid A 90-day supply for aFlare 350-bed hospital requires 5,700 sq. ft. of Challenges A 90-day supply for a 5,000-bed HIDA and fellow trade association 1½ football $2 million. system requires 81,400 sq. ft. of Cases Surge space — the equivalent of 13–15 tractor trailers. 1½ football Large Stockpiles Create New Logistical Challenges A 90-day supply for a 350-bed hospital requires 5,700 sq. ft. of A 90-day supply for a 5,000-bed AdvaMed wrote to New York’s Health space — the equivalent of system requires 81,400 sq. ft. of LargeAspace Stockpiles Create Newrequires Logistical Challenges — the equivalent of 13–15 trailers. 90-day supply for a 350-bed hospitaltractor 5,700 sq. ft. of A 90-day supply for a 5,000-bed Department and Governor’s Office to 1½ space football — the equivalent of May 6, 2020 system requires sq. ft. of A 90-day supply for a 350-bed hospital requires 5,700 sq. ft. of A 90-day supply for a81,400 5,000-bed space — the equivalent of 13–15 tractor trailers. share concerns about the state’s 90-day 1½ football space — the81,400 equivalent system requires sq. ft.ofof space —“…demand the equivalent of 13–15 tractor trailers. continues to outstrip supply because space — the equivalent of mandate. Together, we urged the state to 1½ football hospitals, states and the federal government are 1½ football trying to stockpile supplies.” utilize the private sector’s innovation and experience with manufacturing, storage, Supplies Needed On The Front Lines warehousing and technology to help Supplies Needed On TheShelf... Front Lines …And Drive Up Costs Get Moved To Theneed Back Stockpiles to be managed and the increased inventory rotated ensure New York’s public health goals. …Andand Drive Get Moved To The to avoid theBack risk ofShelf... product expiration, theft, damage, waste.Up Costs Supplies Needed July 8, 2020 On The Front Lines A 90-day supply of PPE “Leveraging experienced supply chain …And Drive for90-day a 350-bed hospital Supplies Needed TheShelf... Front Lines Get Moved TheOn Back JulyTo 8, 2020 A supply of PPEUp Costs ©a Health Association would cost Industry as hospital muchDistributors as experts will avoid the risk of product Grave Shortages of Protective for 350-bed …And Drive Up Costs Supplies Needed On The Front Lines Get Moved To The Back Shelf... July 8, 2020 Gear Flare Again as Covid would cost as much as A 90-day supply of PPE $2 million. Grave Shortages of Protective expiration, theft, damage, and waste,” Supplies Needed On The Front Lines …And Drive Get Moved To The Cases SurgeBack for a 350-bed hospital Up Costs Gear Flare Again asShelf... Covid $2 million. July 8, 2020 A 90-day supply ofUp PPE …And Drive we wrote in the letter. “Further, we are would cost as much as Costs Get Moved To The Back Shelf... Grave Shortages of Protective Cases Surge for a 350-bed hospital July 8, 2020 A 90-day supply of PPE Gear Flare Again as Covid $2 million. would cost as much as concerned that hospitals in New York Shortages of Protective MayJuly 6, 2020 for a 350-bed 8, Grave 2020 Surge Cases A 90-day supply ofhospital PPE Gear Flare Again as Covid million. would costhospital as much as will not be able to meet the logistical May 6, 2020Grave Shortages of Protective for a$2 350-bed Cases Surge to outstrip supply because “…demand continues would as much as Gear Flare Again as Covid Grave Shortages of Protective $2costmillion. challenge of this stockpiling requirement. hospitals, states and the federal government are “…demand continues outstrip May 6,Gear 2020Cases Surge Flare Againtoas Covid supply because $2 million. trying to stockpile supplies.” hospitals, states and the federal government are A 90-day supply for a 350-bed hospital May 6,Cases 2020 Surge “…demand continues to outstrip supply because trying to stockpile supplies.” requires 5,700 square feet of space, hospitals, May 6, 2020 states and the federal government are “…demand continues to outstrip supply because trying supplies.” May hospitals, 6, 2020 to stockpile which is the equivalent of approximately states and the federal governmentand are Stockpiles need to be managed “…demand continues to outstrip supply because the increased inventory rotated trying to stockpile supplies.” 15 tractor trailers.” hospitals, states and federal government are the increased tocontinues avoid the risk product expiration, theft, damage, and waste. Stockpiles need toof be managed and inventory rotated “…demand to the outstrip supply because trying states to supplies.” hospitals, and the federal are tostockpile avoid the risk ofgovernment product expiration, theft, damage, and waste. Efforts to create larger equipment need to be managed and the increased inventory rotated trying to Stockpiles stockpile supplies.” © Health Industry Distributors Association reserves are one reason why demand to avoid the risk expiration, theft, damage, and waste. Stockpiles need toof beproduct managed and the increased inventory rotated © Health Industry Distributors Association continues to outstrip supply. Imposing to avoid the risk expiration, theft, damage, and waste. Stockpiles need toof beproduct managed and the increased inventory rotated © Health Industry Distributors Association a 90-day stockpile mandate on every Stockpiles need beof managed the increased inventoryand rotated to avoid theto risk product and expiration, theft, damage, waste. © Health Industry Distributors Association to avoid the risk of product expiration, theft, damage, and waste. hospital would create even greater © Health Industry Distributors Association shortages. Stockpiling incurs additional © Health Industry Distributors Association costs and complications happening when
90-Day PPE Stockpile Mandates 90-Day Stockpile Mandates IncreasePPE Shortages And Drive Up Costs 90-Day Stockpile Mandates IncreasePPE Shortages And Drive Up Costs 90-Day PPE Stockpile Mandates Increase Shortages And Drive Up Costs 90-Day PPE Stockpile Mandates Increase Shortages Drive Up Costs 90-Day PPE StockpileAnd Mandates Increase Shortages And Drive Up Costs Increase Shortages And Drive Up Costs
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Fall 2020 • Issue 3 • www.mypwh.org