Cencora expands drug shortages mitigation program
Cencora shared that it has significantly expanded the number and type of medications available in its sure supply program, a drug shortage mitigation initiative designed to provide health systems with reliable access to critical medications, including those at risk of going on shortage. Nearly 200 medications, including several oncology treatments, are now available through the program, which represents an increase of more than 350% since the program launched in 2021.
Cencora said more than 99% of hospital and health system pharmacists reported experiencing drug shortages in 2023. As drug shortages continue to force hospitals to expend additional resources, including the administrative burden to find, procure and administer alternative drugs, Cencora’s sure supply program enables access to critical treatments spanning a wide range of therapeutic classes and disease states, including oncology, critical care, cardiovascular care and infectious diseases.
Cencora shared that it maintains a six-month safety stock reserve of critical medications for health systems enrolled in the sure supply program based on the health system’s monthly purchasing commitment.
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Cencora also noted that it negotiates long-term agreements with manufacturers to produce new and additional inventory, increasing the quantity of medication in the supply chain and mitigating the impact of supply gaps. Products are only added to the program if they are in good supply and production won’t impact manufacturers’ ability to meet market demand.
“No provider should have to delay or skip operationally critical treatments to patients because of supply gaps. Our sure supply program is designed so that providers have reliable access to the medications they need, when they need them,” said Matt Glucksmann, senior vice president and president, health systems & government services at Cencora. “As shortages persist, health systems need innovative solutions that meet today’s challenges while strengthening supply chain resilience for the future. Working closely with manufacturers to ensure additional inventory is created for our sure supply program members, we’re helping to create a more stable supply chain. Through the sure supply program, providers can help lessen the impacts of shortages for at-risk treatments so they can focus on what matters most—taking care of their patients.”
Cencora leverages its vast network of distribution centers to support the program, storing the six-month supply at the main distribution center closest to the participating hospital to enable timely and efficient access when needed. To right-size this additional inventory against market demand and avoid excess, Cencora closely monitors utilization of these critical medications. Within the last year, every health system enrolled in the program accessed at least one product from their safety stock.
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“The sure supply program has been instrumental in helping our system navigate severe national drug shortages. Offerings, such as commonly used oncology treatments, have allowed our team to continue providing uncompromised care for our patients,” said Austin Pytlowany, BCPS clinical pharmacist specialist – drug shortage management at University of Michigan Health System. “This program gives us peace of mind that we’ll be able to dispense our most critical products to the patients who need them, allowing us to focus on delivering best-in-class care."