White Paper - Cardinal Health's Success Strategy

Integration – From Manufacturing to Patient Use - Cardinal Health’s Success Strategy

Cardinal Health’s incredible success story can be attributed to its focus on providing integration products and services for a wide range of healthcare providers. As a global presence, it offers customized solutions for hospitals, pharmacies, ambulatory surgery centers, clinical laboratories, and physician offices worldwide. By providing clinically-proven medical products and pharmaceuticals, combined with customized support services and cost-effective software solutions, Cardinal Health connects patients, providers, payers, pharmacies, and manufacturing, resulting in better integrated care coordination and patient management. With over 37,000 employees in nearly 60 countries, Cardinal Health ranks among the top 25 of the Fortune 500 companies.

Cardinal Health’s unrivaled scale and focused approach to integration leads to better solutions. This formula to success is manifest in four areas of expertise: logistics, products, business, and patient solutions.

• Logistics Solutions

In healthcare today, it is critical to streamline the supply chain, accelerate savings and improve performance. Efficiencies and cost savings are critical components. Cardinal Health offers freight services aptly named OptiFreight Logistics, with customized solutions for hospitals, surgery centers, and laboratories, as well as international shipping. It provides a wealth of resources, such as case studies, best practices, and buying and shipping resources. In 2013, Cardinal formed a strategic alliance with Federal Express that enable the companies to leverage their market-leading capabilities to provide 3PL solutions. This alliance provides Cardinal with access to more than 40 Federal Express warehouses and distribution facilities, and allows customers to access a variety of FedEx benefits, including direct-to-patient delivery services.

Cardinal Health is an expert in medical supply distribution, with over 40 years of bulk delivery of medical supply products. The company has a very large infrastructure with dozens of warehouses, a large fleet of delivery trucks, and many supplier relationships. An integral element of this infrastructure is the more than 30,000 employees who share in the mission to get the bulk distribution job done correctly, no matter the challenges they face.

• Products

With more than 2.5 billion healthcare products manufactured or sourced, Cardinal Health delivers exceptional and cost-effective patient care in medical, surgical, pharmaceutical, lab, specialty, and nuclear services. Its medical products effectively balance the need for quality and the demand for savings. Because of its unique position working from the acute channel to the home, Cardinal Health maintains its innovative and effective pursuit of product efficiencies.

As a pharmaceutical provider, they offer high-quality and cost efficient products to more than 100,000 providers nationwide. Cardiology, oncology, neurology, and general nuclear medicine are among its specialties. Its nationwide network of more than 130 nuclear pharmacies and 30 PET manufacturing facilities prepares and delivers more than 20 million unit-dose radiopharmaceuticals annually.

In addition to pharmaceutical products, Cardinal offers a full line of consumer care products delivered to America’s most prestigious medical institutions. From advanced wound care to first aid, from personal care to home healthcare, the list of quality products is impressive.

• Business Solutions

Cardinal Health’s vast experience across the healthcare continuum has enabled them to provide proven integration and business solutions to help its customer base of hospitals, pharmacies, ambulatory surgery centers, clinical laboratories, and physician offices world-wide. They have the expertise and tools to find greater efficiencies, control costs, or realize new revenues.

In the acute-care industry, Cardinal Health offers management solutions, financial consulting, operational solutions, regulatory and compliance, clinical consulting and performance improvement consulting. It also offers consultation on supply chain strategies and inventory management services. For example, Cardinal has developed an RFID-enabled, cloud based software platform for effective inventory management, called Cardinal Health Inventory Management Solutions. With its Integrated Advanced Analytics, Cardinal combines technologies to match each hospital’s individual needs and addresses the inventory and workflow challenges in the operating room, cath lab, EP, and nursing floor. The company tracks medical devices in more than 1,000 hospitals and