Tag: Healthcare supply chain

With nearly 97% of all U.S. hospitals belonging to a Group Purchasing Organization (GPO), understanding what is a GPO in medicine is essential for anyone in the healthcare field. These powerful intermediaries leverage the combined purchasing volume of their members to negotiate favorable contracts for drugs, equipment, and services.

Group Purchasing Organizations (GPOs) reportedly save the U.S. healthcare system up to $55 billion annually. These vital, yet often misunderstood, entities define what is a GPO drug through their bulk purchasing contracts. In simple terms, a GPO drug is any pharmaceutical procured by a healthcare provider under the discounted terms negotiated by a GPO.

Handling about 20% of all pharmaceuticals sold in the United States, Cencora is a pivotal force in the healthcare supply chain. So, a better question than 'What drugs does Cencora make?' is 'What drugs does Cencora *distribute*?'