Omnicell, Inc. (OMCL) has recently launched Central Med Automation Service, a subscription-based solution designed to revolutionize medication management within healthcare systems. This innovative service is tailored to help health systems establish and optimize centralized medication management for Consolidated Pharmacy Services Centers (CPSCs) and similar operations.
Central Med Automation Service aims to streamline medication dispensing from a central fulfillment area throughout the entire health system enterprise. This streamlined approach is anticipated to enhance inventory visibility, scalability, and patient safety. Traditional medication management methods often involve multi-vendor environments, which can lead to complicated workflows, unnecessary redundancy, and increased risks of errors. Pharmacy leaders frequently face challenges due to limited capital budgets, resources, and expertise, making it difficult to transform their infrastructure and achieve scalability over time.
Omnicell’s Central Med Automation Service is specifically designed to assist health systems in developing and executing a central fill strategy. The service provides the essential support required to ensure this environment meets both current and future medication management needs.
Central Med Automation Service seamlessly integrates enterprise-wide robotics, smart devices, and intelligent software with expert services. Within the Robotics & Smart Devices segment, the service incorporates the XR2 Automated Central Pharmacy System, which aims to improve inventory visibility, efficiency, and patient safety. In the software segment, Central Med Automation Service includes the Central Pharmacy Manager software. This software is designed to support centralized medication management workflows within a CPSC, encompassing tasks like medication ordering, receiving, picking, verifying, and restocking.
Moreover, Central Med Automation Service features an Inventory Optimization Service, a combination of software and expert services. This solution helps provide enterprise-wide inventory visibility and management of medication par levels, expiration dates, and usage patterns. Data-rich dashboards deliver valuable insights and streamline these processes.
The expert services offered as part of Central Med Automation Service include tailored guidance from Omnicell experts and dedicated on-site assistance for operating robotics and smart devices. Omnicell’s expert services leverage data analytics to generate operational performance metrics, facilitating informed decision-making and continuous improvement in efficiency.
Central Med Automation Service’s capabilities can be further expanded by adding several complementary robotics, smart devices, and software tools. These include Omnicell’s suite of pharmacy carousels and packagers, 340B program management software, and Central Pharmacy Manager Mobile Workstation.
The global medical automation market is experiencing significant growth, projected to reach a value of $44.44 billion in 2022 and is expected to witness a CAGR of 9.04% from 2023 to 2030, according to a report by Grand View Research. This growth is driven by factors such as the adoption of automated instruments by pharmaceutical companies, the increasing need for miniaturization, technological advancements, and the rise in demand for robot-assisted surgeries.
Omnicell’s recent development, Central Med Automation Service, is strategically timed to capitalize on this burgeoning market potential and is poised to contribute significantly to the company’s growth.
Earlier this year, Omnicell introduced XT Amplify, a multi-year innovation program designed to maximize value for hospitals, health systems, and post-acute care facilities that have invested in Omnicell’s XT Automated Dispensing System.
Year-to-date, shares of OMCL have risen 12.1% compared to the industry’s 10.6% decline.
Omnicell currently holds a Zacks Rank #3 (Hold).
Some other notable companies in the medical space include Intuitive Surgical (ISRG), TransMedics Group (TMDX), and Quest Diagnostics (DGX). While Intuitive Surgical and TransMedics are both ranked #1 (Strong Buy), Quest Diagnostics holds a Zacks Rank #2 (Buy).
Intuitive Surgical’s shares have surged 68.3% in the past year.
TransMedics’ 2024 EPS estimates have moved up 48.1% to $1.20 cents in the past 30 days.
Quest Diagnostics’ 2024 EPS estimates have increased 0.3% to $8.88 in the past 30 days.
