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Product Availability/Drug Shortages

Every sector of the healthcare supply chain plays a critical role in ensuring products are continuously available for patient care. While manufacturers of pharmaceutical products play a crucial role in ensuring adequate supply is produced, wholesalers, pharmacies, and hospitals play an equally critical role in maintaining supply inventories to meet the needs of the patient. Collaborative relationships must be established in order to ensure a continuous supply of products without any disruptions to patient care. As has been highlighted in media reports, drug shortages have become a major issue of concern in the healthcare industry as noted below:
  • According to the American Society of Health System Pharmacists, 40 drugs or vaccines are currently unavailable or in short supply (The Wall Street Journal, 2/15/02).
  • According to Linda Tyler of the University of Utah drug-information center, “Five or six years ago, there were 8–10 shortages a year. Last year there were about 30. This year, we’ve had 40 new shortages.” (The Wall Street Journal, 2/15/02).
  • According to George Hartpence of the New Jersey Hospital Association, it was uncommon to see more than one or two drugs on backorder in the 80s and 90s, now it is not uncommon to see as many as four dozen drug items on backorder (AP, 12/8/02).

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