Health Care Professionals

Healthcare Sector Supply Chain Strategy

Frequently Asked Questions

Q1. What is the Healthcare Sector Supply Chain Strategy and its objectives?

A1. Supply chain management (SCM) is a process of ordering, purchasing, movement and storage of raw materials, work-in-process inventory and finished goods from point of origin to point of consumption. Ontario's health care system uses supply chain management to ensure that hospitals and other healthcare organizations have the supplies they need to care for patients.

The Ministry of Health and Long-Term Care (MOHLTC) and the Ministry of Government and Consumer Services (MGCS), launched a joint project to develop a province-wide strategy that improves the delivery of supply chain management across the healthcare sector.

The Strategy will deliver a province-wide approach to SCM that will optimize efficiencies and improve  supply chain delivery via value-based procurement and  distribution of products and services to hospitals when they need them. It will also allow for some healthcare organizations, who have not been able, to access the cost savings of group purchasing.

Savings from the strategy are expected to remain within the healthcare sector and reinvested in patient care.

Q2. What government commitments does the strategy support?

A2. The Healthcare Sector Supply Chain Strategy (HSSCS) will align with:

Q3. What was the Expert Panel's mandate?

A3. The Expert Panel's mandate was to deliver advice and recommendations to the government on the development and implementation of a province-wide supply chain management strategy for healthcare.

The Expert Panel's advice and recommendations to the government on a Healthcare Sector Supply Chain Strategy was:

Q4. Who was consulted by the Expert Panel?

A4. The Expert Panel engaged with healthcare and supply chain stakeholders to leverage the extensive knowledge and expertise in the healthcare and supply chain sectors.

Stakeholders engaged included:

Q5. How does the supply chain strategy report relate to the work of the Office of the Chief Health Innovation Strategist (OCHIS)?

A5. The recommendations of the expert panel on Healthcare Sector Supply Chain Strategy support the work of the Office of the Chief Health Innovation Strategist. The recommendations of this report provide a valuable framework for the government to consider as it continues to accelerate the shift to value-based procurement, further improving patient outcomes and contributing to the sustainability of Ontario’s health care ecosystem.

By shifting to value-based procurement, building the capacity to procure innovative products and services and providing clarity to the regulatory framework, Ontario would be able to accelerate the adoption and diffusion of new innovative health technologies and processes that improve patient outcomes, add value to the system and create jobs in Ontario.

Q6. What are the Government of Ontario's next steps for the Strategy? Will the government implement the recommendations? When?

A6. The government of Ontario would like to acknowledge and thank the Healthcare Sector Supply Chain Strategy Expert Panel for their time, dedication and commitment.

Over the coming months, as the government reviews the Expert Panel's report and recommendations, we want to engage sector stakeholders in a dialogue that considers building and modernizing our supply chain model in health care, leveraging the investments and advances already made.

Q7. Where can I submit my feedback on the Report?

A7. Any comments or questions regarding the Healthcare Sector Supply Chain Strategy can be submitted to HealthcareSCM@ontario.ca.

For More Information

Ministry of Health and Long-Term Care
Corporate Service Division

Business Innovation Office
56 Wellesley Street West, 9th floor
Toronto ON M5S2S3
Email: healthcarescm@ontario.ca