Improving EDI healthcare can help your business.

Unlock operational efficiency with automated exchange of orders, invoices, and more – right inside your ERP system.

Healthcare’s supply chain cure? Automation.

As the sophistication of medical care expands, so do service delivery demands. Healthcare organisations in both the public and private domain are being challenged to deliver better care and handle a greater caseload, with the same or even reduced resources. Strong competition, changing regulatory conditions, and increased competition has been met with a momentum for change. The Australian healthcare sector is ripe for evolution, with the zeitgeist pushing into cloud-based technology solutions that will grow and adapt (or even be replaced) easily as the need arises.

The good news is that the SPS Commerce healthcare network is well established and expansive, and our team is highly experienced in automating across the complexities of the sector. The note of caution is that with a wide array of healthcare organisations pushing toward 100% supply chain automation, you don’t want to be left behind.

Large healthcare providers in APAC have “either already implemented digital business in at least one business area or have plans to implement within the next five years.”
– Mike Griswold, Gartner, ‘Supply Chain Leaders Must Be Prepared to Transform in a Disruptive World,’ 3 April 2017

EDI ensures that all of your business systems, and those of your suppliers and logistics provider/s, speak the same language. Using a standard data format to translate between the disparate systems, EDI provides a unified language and platform for automated order processing and inventory management.

In this way, EDI has the power to transform healthcare to move it away from manual order management – which has been the norm for decades – to an efficient and automated standard.

Here’s how we can help Australian healthcare organisations:

1. Achieve efficiency in administration.

Healthcare sector supply chains typically work well, but operate in an incredibly manual fashion. Orders are issued by email or fax, edits are phoned through, or altered pricing is approved over the phone, quantities are changed – and so on. The 3-way match to reconcile order, invoice, and what was physically received is done by a person – that is, a team – responsible for making order from this chaos. A mid-sized healthcare org may have a team of 12 doing this full time. Introducing automation ensures all that pre-work is recorded at the time of order/amendment, rather than being double handled duringordering and later invoice reconciliation.

The scale of business for healthcare companies mean that the hard cost savings – which do deliver positive return on investment – are surpassed by the holistic benefits of reduced complexity. EDI opens the possibility of streamlining business processes across ordering, receiving, accounts payable and inside logistics, automating and standardising all of the supply chain documents (orders, invoices, ASN, etc.) to transform business processes.

2. Generate certainty and visibility into Just-In-Time (JIT) order models.

Healthcare organisations have a massive logistics infrastructure and need, which makes the Just-In-Time (JIT) model attractive. High-volume use products are kept in limited supply, and irregularly used products are purchased on demand. Introducing automated supply chain technology such as with SPS makes this model blossom, making shortest times reliable. Supply chain confidence is critical in healthcare, so SPS Commerce’s operations, maintenance schedule, disaster recovery plan, and technology basis inspires assurance in partners.

3. Advance Ship Notice (ASN).

The ASN is an electronic document that provides visibility to when an order has been shipped and what products are contained in the shipment. Healthcare providers can use this information to better manage inventory, cross-dock operations, margins and supplier scorecarding. Numerous Australian healthcare partners on the SPS Commerce network utilise the ASN – the main reason is to allow consolidated orders state-by-state, which can be cross-docked out to the individual sites. The second most important use Australian healthcare providers have for the ASN is to give immediate visibility to available/incoming goods ordered – for example – a pending operation.

4. Better traceability.

Healthcare companies have a governmental demand for traceability, and operate in a frequently changing regulatory landscape. In addition to managing current governmental requirements, organisations need flexibility to update their reporting to ongoing compliance. Legacy systems do not typically offer this level of adaptability, and ‘future-proofing’ is a critical part of the movement to modernity. The ASN is critical to this level of supply chain traceability, as well as visibility.

How do I know my investment at will pay off?

Our Australian healthcare network extends into Asia and With our industry-leading solutions and network of more than 80,000 trading partners that already have EDI connections, we’re confident we can help you grow, become more digital and optimise your inventory.

Here are some of the Australian healthcare companies that have had success with SPS:

Looking for trading partners for Australian EDI Healthcare?

SPS’s vendor enablement program exceeded our expectations. The program resulted in more suppliers becoming EDI-capeable than we had forecast and we received support from SPS Commerce throughout the process.”
– Brett Barons, General Manager – Pharmacy, Symbion

SPS helped Symbion to automate its purchasing processes across the retail pharmacy and hospitals business units. All suppliers were required to trade via EDI, achieving 100% compliance.  SPS Commerce has a fulfilment EDI solution suite that scales to support all partners, regardless of size or technological infrastructure. Contact SPS Commerce to explore a reference.

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