NHCL launched in 1997 to capitalize on two major devlopments in healthcare:

Hospitals forming local multi-hospital and clinic systems to deliver acute care and sub-acute care form multiple locations and venues. These "Provider" systems are sometimes called Integrated Healthcare Delivery Networks "IDNs".

The growing crisis in healthcare, in part evidenced by the cost pressures faced by IDNs, is likely to continue and even get worse. A fatally flawed supply chain contributes to these cost pressures, rather than providing solutions to these cost pressures.

In 1998 NHCL created its first "new logistics model" to deal with the many inefficiencies inherent in the healthcare supply chain. This model addressed both inefficiencies in movement of supplies as well as cost associated with utlization of support services, such as laundry, reprocessing, etc. This new model was revolutionary, and was met with strong resistance from all the major industry players such as manufactures, group purchasing organizations, and the IDNs themselves. Even so, this model launched to serve to IDNs in Fort Myers, FL, is still going strong and is a beacon for other IDNs to follow.

NHCL named its innovative model the "HUB & SPOKE Program" depicted below. The "HUB" is an Intergrated Service Center (ISC) dedicated to just one or two IDNs in a local market. The knowledge capital, alone, possessed by NHCL makes it a unique company. These skill sets include planning, designing, organizing, and managing the ISC.

Joint Ventured Integrated Service Center
	click to enlarge