Hospitals In Focus podcast

How Hospitals are Helping Tackle the Drug Shortage Crisis

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For the past 15 years, drug shortages have been a persistent problem for hospitals and the
patients they serve – and extreme cases can even lead to rationing, delaying, or canceling
treatments or procedures.

Tackling the drug shortage crisis is a complicated issue requiring creative solutions. That’s where
Civica comes in – a non-profit pharmaceutical company created by hospitals and health systems
to address these critical shortages.

In this episode, Chip speaks with Civica’s Senior Vice President for Public Policy Allan Coukell
about why the company was formed, the challenges they are tackling, and how it plans to help
patients into the future. Topics include:

  • The state of hospital drug shortages in the US today
  • Taking the bull by the horns: how a non-profit company created by hospitals is helping
  • patients.
  • The success of Civica's model:
    • Long-term purchase and supply contracts directly with hospitals that add stability
      to the market.
    • Maintaining an approximately 6-month buffer inventory of every drug.
    • US sourcing whenever possible.
    • Intensive quality oversight of suppliers.
    • A single cost-plus price, available to every purchaser.
  • How the company got into drug production.
  • Policy solutions to ease drug shortages.


Allan Coukell, Senior Vice President. Public Policy, Civica Inc.


Civica currently delivers 80+ drugs, all chosen by US hospitals for being at risk of shortage, with
more than 140 million containers delivered to hospitals over five years, serving 60 million

It currently works with 1,500+ hospitals from 55-member health systems, like HCA Healthcare,
Mayo Clinic, Common Spirit & US Department of Veterans Affairs.

Learn more here:

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