The Challenge
311 SKUs were disrupted due to manufacturer backorders, allocation restraints, supply shortages, out-of-stock and discontinuation issues. These events created backlogs in multiple hospitals simultaneously, threatening patient care delivery and potential service operations.
Facilities faced unique needs. Many items were backordered. Some required physician-preferred brands outside of GPO contracts. Others needed specialty suppliers for fulfillment, not yet integrated into their vendor contracts.
Manual processes and a lack of sufficient vendor diversification couldn't keep pace with volume and variety. The healthcare system needed supply intelligence at scale.
Solutions
- Processing hundreds of SKUs across our specialty supplier network – Cato’s platform streamlined manual work that prevented delays.
- Flagging in-stock items to accelerate urgent fulfillment – Our digital warehouse rapidly generated available supply options and alternatives with lead time to expedite delivery.
- Mapping substitute alternatives spanning diverse product categories – Cato identified functionally equivalent options for urgent supplies.
- Consolidating enterprise data for centralized strategic decisions – We evaluated pricing, lead times, and options to support procurement leadership decision-making capabilities.
Results
Cato provided available options 48-hours after RFQ received.
60% exact matches, 28% functionally equivalent substitutes.
274 of 311 SKUs with confirmed options available (88% coverage).
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Results
Patient treatment capacity was maintained system-wide.
Full truckloads of IV fluids delivered.
24-hour turnaround from RFQ to purchase order.
Results
0 case delays or patient monitoring gaps reported.
1-week turnaround from RFQ to delivery.
Over 13,000 sensors and pulse oximeters delivered to support 13 hospitals.
Results
Patient care was maintained without interruption.
Upon PO receipt, shipments were dispatched the same or next day.
13 critical SKUs were shipped within 5 hours of request.
