Ramping up US healthcare systems' production capabilities — 3 experts weigh in

As the Russia-Ukraine war persists, U.S. healthcare systems are already seeing the effects of the conflict through increased prices for oil and natural gas and Ukrainian refugees seeking treatment. 

Aside from immediate effects, the conflict has brought a long-term structural problem to light: U.S. dependence on imported medical supplies. 

Tinglong Dai, PhD, professor of operations management and business analytics at Baltimore-based Johns Hopkins Carey Business School, told Becker's that he hopes the conflict will cause the U.S. to rethink the measurement and mitigation of risk.

"This Russian invasion of Ukraine has certainly reinforced the idea that we cannot separate business and geopolitics," Dr. Dai said. "We cannot rely on China forever for crucial medical supplies."

While some experts say potential solutions lie in alternative production capacities, Dr. Dai said he believes the establishment of alternative production capabilities, which refer to the ability to ramp up production in times of crisis, takes precedence.

"In other words, a country's alternative production capacity may be limited or nonexistent, but its technologies, resources, and human capital enable it to rapidly build, or convert, the needed capacity," he added. 

Heitham Hassoun, MD, vice president and medical director of Cedars-Sinai's Center for International Health in Los Angeles, said the conflict coupled with the COVID-19 pandemic has shown three main lessons. 

"Clearly one very basic element is don't go so lean," Dr. Hassoun said. "You need to build that in the system. Number two is where possible, you need to make them [manufacturers] be able to rapidly produce certain things, and that needs to be ready in the system. The third thing that comes to mind is you need to diversify your supply chain." 

Nausheen Ahmed, director of supply chain optimization at Cedars-Sinai, said timing is critical as the conflict continues. 

"Some of the larger distributors are looking into this, but there's that timing component," Ms. Ahmed said. "If a crisis is coming, how quickly would you be able to get those facilities up and running and what can you produce? It's not an overnight shift. It requires planning, it requires collaboration with the health systems." 

"What's really important is to ensure U.S. is at the forefront of research and development of technology and engineering, and such, that when you have crisis moments, or when we don't even have a crisis, we can really pull all the resources to build a capacity within a really short period of time," Dr. Dai said.

Dr. Hassoun and Ms. Ahmed both stressed the importance of maintaining a sense of "healthcare diplomacy" in addition to building alternative production capabilities. 

"If we can't source a product, there may be an international hospital that has contacts that may be able to help us find and get the product in quicker because relationships matter and at the end of the day, your healthcare staff is focused on giving the best care that they can with the best possible medical supplies," Ms. Ahmed said.

"It's just really a way to bring countries together," Dr. Hassoun said. "That where there may be conflict or strain, or what have you, to focus on mutual interests around enhancing the health of their respective populations. It's similar to sports diplomacy, but healthcare should even take a higher level." 

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