Welcome to AHRMM's health care supply chain Lexicon. This database contains terms used throughout the health care supply chain field. Simply click on the link to access the entire definition.

AHRMM thanks Kate Vitasek and Supply Chain Visions for their contribution of certain terms to the Lexicon. Terms supplied by Supply Chain Visions are used with permission. Supply Chain Vision’s Glossary of Supply Chain Management Terms appears on the Council of Supply Chain Management Professionals website. AHRMM also acknowledges Michael B. Neely with Perimeter Solutions Group for his role in developing health care-specific terms.

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  • S&OP

    See Sales and Operations Planning.
  • Sacred Cows

    Those items and processes that are held to be "untouchable" within the hospital environment which often result in the unnecessary expenditure of dollars and time.
  • SAE

    Society of Automotive Engineers
  • Safe Harbor Rules

    A legal ruling which allows group purchasing organizations to accept payment (contract administration fees) from suppliers. A practice which is otherwise illegal under the Robinson-Patman Act anti-price discrimination laws.
  • Safety Net Hospital

    A safety net hospital or health system provides a significant level of care to low-income, uninsured, and vulnerable populations. Safety net hospitals are not distinguished from other providers by ownership ¿ some are publicly owned and operated by local or state governments and some are non-profit. Rather, they are distinguished by providing access to care for people with limited or no access to health care due to their financial circumstances, insurance status, or health condition
  • Safety Stock

    The inventory a company holds above normal needs as a buffer against delays in receipt of supply or changes in customer demand.
  • Salable Goods

    Products which are available for sale to customers as differentiated from items which are parts or assemblies that are not generally sold independently. In the retail environment salable is differentiated from ¿unsalable' which denotes goods which are damaged, spoiled or past pull date.