Visibility
Data quality and management in agencies is siloed in legacy systems which poses difficulties when connecting to the digital ecosystem, and in modernizing a supply chain
Government agencies with multiple branches can lack transparency which causes the inability to be actionable
Systems are often unaware of activity beyond the first tier, leading to unknown inventory threats and lack of visibility between contracting offices
Systems struggle to standardize contracts or share contracts across budgetary boundaries, resulting in duplicative contracts for the same items across the same suppliers and manufactures, often with disparate pricing
Losses
Agencies pay many different prices for the same item or service which typically causes increased spend across many different commodities
Varying prices may also prevent government agencies from paying the best price based on its vast economies of scale
Government agencies have some of the largest spend in many areas but based on its contracting, acquisition practices and policies, rarely achieve best in market pricing based on its total spend
Minimizing spend leakage and controlling spend may be viewed as easier than increasing the same amount of patient revenue, but agencies may not always have the means to do so
Efficiency
Public sector supply chain is under increasing pressure to become more user friendly, responsive and efficient
Most of the public sector systems used to store and manage data within an agency are outdated, poorly maintained and insufficiently funded, leading to a loss in the value of data
As systems become increasingly populated with inadequate records, data control and SSoT decreases, making harmonizing, cleansing and enriching data difficult, time consuming and costly
Most government agencies lack the resources and tools needed to address the quality of data and fail to satisfy the demand for improved efficiency and connectivity required for digital transformation