Hospitals Weigh ROI of RFID and RTLS for Smarter Medication Management

Drug shortages continue to create significant financial and operational strain on hospitals, impacting both patient care and workforce efficiency. In a video interview with Pharma Commerce, Boyede Sobitan, global healthcare strategy lead, and Annika Matas,

senior director of product management and business operations, supplies and sensors—both with Zebra Technologies—they describe how hospitals are increasingly forced to adapt to these challenges, often in unsustainable ways.

From a patient care perspective, the absence or delay of critical medications forces hospitals into difficult positions. Some have had to borrow drugs from neighboring institutions just to meet immediate needs. This creates not only logistical hurdles but also ethical concerns about equitable access to treatment.

Operational inefficiencies compound the problem. Sobitan noted that hospital staff sometimes misplace or unintentionally withhold highly sought-after drugs, leading to further shortages within the facility. Additionally, issues such as hospital diversions can exacerbate availability challenges, reducing reliability in already stressed systems. These situations underscore the importance of better inventory management and stronger oversight practices.

The impact extends beyond patient-facing concerns. Matas highlighted that nursing staff, whose primary role is to deliver direct patient care, often become entangled in logistical work. Nurses are spending increasing amounts of time tracking down medications, coordinating with pharmacy teams, or delaying procedures until necessary drugs arrive. This redirection of focus not only reduces staff efficiency but also heightens burnout risks in an already overstretched workforce.

Indirect costs quickly add up. Delayed treatments, longer hospital stays, and disruptions in surgical schedules strain financial resources and diminish overall hospital productivity. Ultimately, drug shortages create a ripple effect: patients experience delays in care, frontline staff face increased stress and inefficiencies, and hospital systems bear additional financial burdens.

Addressing these issues requires more robust supply chain solutions, improved communication between pharmacy and clinical teams, and greater systemic efforts to mitigate shortages before they impact patient safety and operational stability.

They also dive into the ways RFID and RTLS technologies can provide real-time visibility into medication inventory for hospital pharmacy teams; factors should hospitals consider when evaluating or implementing these systems to manage their medication inventory; the role these technologies could play in strengthening hospital supply chain resilience against future disruptions; and much more.

A transcript of their conversation with PC can be found below.

PC: What factors should hospitals consider when evaluating or implementing RFID and RTLS technologies to manage their medication inventory?

Sobitan: The cost and ease of implementation. The average age of plants for a lot of hospital varies across the US. There are some newer hospitals that are going up with newer wings that are able to build RFID and RTLS technology into that system, and then some will have to get retrofitted.

I think a lot of the analysis goes into the cost of implementation, which has to be weighed against the cost of errors or the cost of lost inventory and other things. Those are the main considerations that I'm primarily hearing [in terms of] implementing this technology.

I think now more than ever is a time where hospitals are considering the real ROI of investment in such technology, as we're experiencing a lot more shrinkage and reimbursements, so eliminating and preventing as much waste as possible; more of the strategic thinking, forward-thinking hospitals are thinking about that. How do I get as much cost and waste out of my system as possible? And those hospitals are the ones that are heavily considering or implementing these solutions.