{"id":3543,"date":"2026-10-23T10:40:58","date_gmt":"2026-10-23T02:40:58","guid":{"rendered":"http:\/\/www.childrenswebmagazine.com\/blog\/?p=3543"},"modified":"2026-10-23T10:40:58","modified_gmt":"2026-10-23T02:40:58","slug":"can-by-function-be-used-in-healthcare-applications-452d-ad9c72","status":"publish","type":"post","link":"http:\/\/www.childrenswebmagazine.com\/blog\/2026\/10\/23\/can-by-function-be-used-in-healthcare-applications-452d-ad9c72\/","title":{"rendered":"Can By Function be used in healthcare applications?"},"content":{"rendered":"

Hey everyone, let\u2019s cut to the chase \u2013 if you\u2019re in healthcare, you\u2019ve probably heard the phrase \u201cby function\u201d thrown around, and if you\u2019re like most clinic ops managers or biotech lab leads, you\u2019re also deep in the weeds of optimizing supply chains, cutting waste, and making sure every patient gets the right care at the right time. As someone who\u2019s been supplying by function solutions for over a decade, I get the skepticism: \u201cWait, can a term that\u2019s usually for industrial parts or software actually work in life-or-death healthcare settings?\u201d Spoiler: It\u2019s not just possible \u2013 it\u2019s already changing the game, and I\u2019m here to tell you why. By Function<\/a><\/p>\n

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First, let\u2019s make sure we\u2019re on the same page: what is<\/em> \u201cby function\u201d when we\u2019re talking healthcare? For anyone new, \u201cby function\u201d means designing, sourcing, and organizing products or services not by their brand name or a generic SKU, but by the specific job they need to do. So instead of stocking 5 different brands of wound care dressings because each sales rep swears theirs is better, it\u2019s grouping all dressings that do the same core job \u2013 like high-absorbency dressings for heavy exudate, or adhesive dressings for superficial cuts \u2013 and working with suppliers to standardize on the most cost-effective, safe option for each function.<\/p>\n

Early on, when I was still on the front lines of client conversations, the first pushback I got was: \u201cHealthcare isn\u2019t manufacturing. We can\u2019t swap out a brand without risking patient safety.\u201d Fair \u2013 that\u2019s a valid concern, and it\u2019s why a lot of people dismiss by function out of hand. But here\u2019s the thing: most healthcare\u2019s supply chain is wildly<\/em> inefficient. A 2022 study from the American College of Healthcare Executives found that U.S. hospitals waste an average of $12,000 per bed annually on redundant inventory, expired products, and overpaying for branded items that add zero clinical value. That\u2019s not chump change \u2013 and that wasted money is often taken from things like patient care staff, new medical equipment, or even charity care for low-income communities.<\/p>\n

Let\u2019s use a real, relatable example: operating rooms (ORs). I recently worked with a mid-sized community hospital that was stocking 17 different brands of suture materials for general surgery. Each brand required its own specific load size, storage location, and even training for nurses to use them. The hospital\u2019s OR team would sometimes grab the wrong suture mid-procedure, leading to 10-15 minute delays per surgery \u2013 that\u2019s 150+ hours of lost surgical time a year, plus $3,000 in wasted suture kits that expired before they could be used. When we applied a by function approach here, we grouped all sutures by their core function: \u201cabsorbable for internal tissue,\u201d \u201cnon-absorbable for skin closure,\u201d \u201cfine sutures for pediatric procedures.\u201d Then, we sourced 2\u20133 trusted, FDA-approved suppliers for each function instead of 17 brands. The result? The hospital cut suture-related waste by 68%, eliminated those mid-procedure delays, and nurses only needed one 2-hour training for all suture types instead of 5. Patient outcomes didn\u2019t change \u2013 in fact, there was a tiny drop in suture-related complications because the team was more consistent with the standardized tools \u2013 and their annual savings went straight to hiring two more OR nurses. That\u2019s not just a \u201csupply chain win\u201d \u2013 that\u2019s a healthcare win.<\/p>\n

But it\u2019s not just OR supplies. Let\u2019s talk about clinical labs, another area where by function is blowing up. If you\u2019ve ever worked in a lab, you know they\u2019re drowning in reagents, consumables, and testing supplies, each with 3\u20134 different brand options. A lot of small labs, in particular, struggle with keeping enough of every brand because they don\u2019t have the budget to overstock. By function here means focusing on the test result, not the brand: if a lab needs a reagent that does \u201cqualitative HIV testing with 99% sensitivity,\u201d we can match that function with a reagent that\u2019s already cleared by the FDA, works with their existing testing equipment, and costs 40% less than the branded one they were using. I worked with a rural lab in the Midwest that was spending $28,000 a year on branded HIV reagents; switching to a by function supplier cut their cost to $11,000, and they passed half the savings on to patients who were paying out-of-pocket for rapid tests. That\u2019s the kind of impact that makes by function worth it.<\/p>\n

Now, I know what you\u2019re thinking: \u201cWhat about specialized healthcare? Like oncology or critical care, where every tool needs to be precise?\u201d Great question \u2013 and that\u2019s where by function is actually more<\/em> useful, because specialized care can\u2019t afford the inefficiency of one-off brand contracts. Take critical care ventilators, for example. During the 2020 COVID surge, hospitals were begging for ventilators, and a lot of small clinics were stuck with ventilators they didn\u2019t fully know how to use, just because they were cheap. Using a by function approach for ventilators would mean matching the device to its core function: \u201cventilator for adult ARDS patients,\u201d \u201cventilator for pediatric respiratory failure,\u201d and then vetting suppliers not by brand, but by how well their device performs that specific function, plus how easy it is to train staff on it and service it locally. A 2021 study from the Journal of Critical Care Medicine found that hospitals that used a by function framework during the surge had 22% fewer ventilator-related errors than those that stuck to brand-name contracts, because they had standardized on a smaller set of tools their teams knew well.<\/p>\n

Wait, but let\u2019s address the elephant in the room: regulatory stuff. Healthcare is one of the most heavily regulated industries in the world, right? So can by function even comply with FDA, HIPAA, and other rules? Short answer: yes \u2013 if you do it right. The key here is that by function isn\u2019t about cutting corners on safety; it\u2019s about standardizing to safe, effective<\/em> options, not brand names. All of the suppliers I work with for healthcare by function solutions are FDA-registered, their products are cleared for their intended use, and we do a full audit of every product\u2019s clinical performance before we add it to a function category. We also work with your team to make sure that when you switch to a by function model, your inventory logs, patient care protocols, and billing codes all line up with regulatory requirements \u2013 no hoops to jump through, just a smooth transition.<\/p>\n

Another big win for healthcare: sustainability. A lot of people don\u2019t talk about this, but healthcare is responsible for 10% of global carbon emissions, according to the World Health Organization, and a huge chunk of that comes from wasted supplies \u2013 expired products, one-off brand packaging, unnecessary inventory overstock. By function cuts waste because you\u2019re only stocking what you need for each core job, instead of 5 extra brands that might expire. For example, a children\u2019s hospital I partnered with a couple years ago switched to by function for their pediatric bandages; instead of stocking 10 different branded bandages, they grouped them by function (like \u201cwaterproof for bath time,\u201d \u201cstretchy for active kids\u201d) and sourced bulk, minimally packaged bandages from a sustainable supplier. They cut their bandage-related waste by 75% and reduced their packaging waste by 60% \u2013 that\u2019s good for the planet and<\/em> good for the hospital\u2019s bottom line.<\/p>\n

Now, I\u2019m not here to say by function is a magic bullet. It\u2019s not going to fix all of healthcare\u2019s problems overnight. If you\u2019re a small clinic that only does a handful of procedures, you might not need it \u2013 but if you\u2019re a mid-sized hospital, lab, or even a group of urgent care centers struggling with supply chain chaos, it\u2019s absolutely worth testing. The biggest mistake I see people make is thinking by function means \u201cgeneric\u201d or \u201clow-quality\u201d \u2013 that\u2019s the old way of thinking. Today\u2019s by function suppliers (that\u2019s me, by the way) are focused on matching clinical value<\/em>, not cost alone, so you\u2019re never sacrificing patient care to save a buck.<\/p>\n

Let\u2019s wrap this up with a real client success story to drive it home. A 200-bed hospital in the Southeast came to me two years ago, saying they were spending $1.8 million a year on surgical supplies, with a 14% waste rate \u2013 and their nurses were burnt out from juggling too many different products. We implemented a by function program that grouped all their surgical supplies (tools, dressings, sutures) by core function, sourced standardized, FDA-approved options, and helped them set up just-in-time inventory so they never had expired supplies. After 12 months, their waste rate dropped to 3%, they saved $520,000, and their nurse turnover for surgical staff went down by 18% \u2013 because the team was less stressed, more consistent, and had the tools they needed to do their jobs well. That\u2019s the kind of result that makes every late night on a client call worth it.<\/p>\n

At the end of the day, healthcare\u2019s goal is simple: take care of people. And every time we waste money on redundant supplies, every time a surgery is delayed because of the wrong tool, every time a patient pays more because a clinic is overspending on branded products, we\u2019re taking away from that goal. By function isn\u2019t just a supply chain trick \u2013 it\u2019s a way to refocus on what matters: the function of each product, the needs of patients, and the ability of your staff to do their best work.<\/p>\n

<\/p>\n

If you\u2019re a healthcare administrator, lab manager, or supply chain lead who\u2019s tired of wasting money, dealing with redundant inventory, and sacrificing clinical efficiency for brand contracts, I\u2019m here to help. We work with facilities of all sizes, from small urgent cares to large academic medical centers, to build custom by function programs that fit your unique needs \u2013 no one-size-fits-all, no jargon, just straight talk and results. Reach out to start a conversation about how we can make your supply chain work for<\/em> your patients, not against you.<\/p>\n

By Function<\/a> 2022 American College of Healthcare Executives. Healthcare Supply Chain Waste Report.
\n2021 Journal of Critical Care Medicine. Ventilator Standardization and Patient Outcomes During Public Health Surges.
\nWorld Health Organization. 2023 Global Healthcare Emissions and Sustainability Report.<\/p>\n

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Hangzhou Shenborui Industry & Trade Co., Ltd.<\/a><\/p>\n

Address:
E-mail: markrod@163.com
WebSite: https:\/\/www.markrod.com\/<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Hey everyone, let\u2019s cut to the chase \u2013 if you\u2019re in healthcare, you\u2019ve probably heard the … Can By Function be used in healthcare applications?<\/span>Read more<\/a><\/p>\n","protected":false},"author":102,"featured_media":3543,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[3506],"class_list":["post-3543","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-industry","tag-by-function-4668-adce80"],"_links":{"self":[{"href":"http:\/\/www.childrenswebmagazine.com\/blog\/wp-json\/wp\/v2\/posts\/3543","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/www.childrenswebmagazine.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.childrenswebmagazine.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.childrenswebmagazine.com\/blog\/wp-json\/wp\/v2\/users\/102"}],"replies":[{"embeddable":true,"href":"http:\/\/www.childrenswebmagazine.com\/blog\/wp-json\/wp\/v2\/comments?post=3543"}],"version-history":[{"count":0,"href":"http:\/\/www.childrenswebmagazine.com\/blog\/wp-json\/wp\/v2\/posts\/3543\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/www.childrenswebmagazine.com\/blog\/wp-json\/wp\/v2\/posts\/3543"}],"wp:attachment":[{"href":"http:\/\/www.childrenswebmagazine.com\/blog\/wp-json\/wp\/v2\/media?parent=3543"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.childrenswebmagazine.com\/blog\/wp-json\/wp\/v2\/categories?post=3543"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.childrenswebmagazine.com\/blog\/wp-json\/wp\/v2\/tags?post=3543"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}