Tecsys named a challenger in the 2026 Gartner® Magic Quadrant™ for warehouse management systems

Access report

What Hospital Pharmacies Now Demand From Their Suppliers

Key findings from a survey of 201 U.S. hospital executives and pharmacy leaders 
Hospitals are managing drug shortages, pricing pressure and fragmented systems at the same time. A new Tecsys survey of 201 health system executives and pharmacy leaders shows how these challenges are shaping purchasing behavior and how hospitals evaluate suppliers.

 

Visibility gaps are fueling uncertainty

  • Only 20% report full, real-time visibility across care settings.
  • 80% operate with delayed, partial or manual tracking.
  • 75% lack full integration between clinical systems, ERP and pharmacy supply chain platforms.
  • Only 13% have full integration between automation, software, robotics and supply chain systems.
Hospitals are often reconciling data across disconnected platforms before placing orders, increasing late adjustments, substitutions and short-cycle buying. Suppliers that provide clearer availability signals and faster substitution pathways reduce downstream friction.

Worries abound

  • 82% worry about financial performance and margin pressure.
  • 85% worry about workforce productivity and labor shortages.
  • 62% worry about regulatory compliance.
  • 66% worry about disaster planning and resilience.
Under strain, procurement becomes defensive. Hospitals prioritize predictability, transparency and responsiveness — raising the bar for supplier communication and fulfillment reliability.

Shortages remain the primary disruption

  • 79% say drug shortages caused the most disruption in the past 12–24 months.
  • Only 24% feel very prepared for shortages.
Proactive shortage communication and faster alternative sourcing are becoming baseline supplier expectations.

Pricing pressure is severe

  • 46% say drug pricing has a severe financial impact.
  • 33% cite compliance requirements and specialty drug costs as top supply chain challenges.
Hospitals are under pressure to justify spend, reduce leakage and demonstrate contract adherence, increasing scrutiny on pricing clarity and cost predictability.

Tariffs are influencing sourcing decisions

  • 65% are diversifying suppliers or nearshoring.
  • 46% are accelerating automation and digital transformation.
  • 36% are increasing inventory reserves.
Sourcing strategies are being reassessed in response to cost and availability uncertainty, creating opportunity for suppliers that offer diversification, flexibility and supply transparency.

Takeaways for distributors and manufacturers

Across all findings, one pattern emerges: Uncertainty is cascading through hospital supply chains and upstream to suppliers.
Exceptions will remain high.

With most not very prepared for shortages, hospitals will continue to rely on substitutions and urgent orders to maintain care continuity.

Reducing uncertainty is a competitive advantage.

Clear availability data, proactive communication and reliable fulfillment differentiate suppliers.

Integration constraints are real.

With 75% lacking full system integration, suppliers that simplify connectivity and documentation workflows will face fewer operational barriers.

Amid these ongoing pressures on health systems, suppliers that reduce uncertainty — both operationally and financially — will earn trust and preference.  
Pharmacy survey report view on tablet

pills-two-a

Full survey report

Download the full survey report, The Visibility Crisis in Health System Pharmacies, to understand how health systems are navigating visibility, shortages and financial pressure. 

Download the full survey report