St. Luke’s unveils new 330,000-square-foot Consolidated Service Center aiding supply chain, expanding pharmacy capabilities

Among 20,000 storage bins stacked high in St. Luke’s new Consolidated Services Center, measuring the size of six football fields, are six thousand medical and non-medical supplies, 28 robots working alongside St. Luke’s team members and a 60,000 square foot dedicated pharmacy space that includes a state-of-the-art sterile medical compounding room.

Equally as impressive as the CSC’s size is its capabilities and impact. The new CSC is streamlining St. Luke’s supply chain, supply distribution and allowing for the expansion of health system pharmacy functions—a critical player in providing safe, high-quality health care to the communities that St. Luke’s serves.

On Wednesday, July 23, St. Luke’s leaders, team members, Meridian city leaders, community and project partners gathered to celebrate the CSC’s opening.

Planning for the CSC began in 2016, construction began in March 2023 and was completed in spring 2025. “Today, the center is preparing and distributing medical and non-medical supplies, and medications daily to most of St. Luke’s eight medical centers, more than 370 clinics, and the many other support facilities in south central and southwestern Idaho,” said Adrian Wengert, vice president of supply chain and procurement for St. Luke’s. “The CSC will not only enhance how we manage our supply chain but also ensure we’re better prepared for the unexpected,” added Wengert.

Key features and benefits of the CSC

St. Luke’s has previously relied on third-party vendors and distributors for procurement, supply, storage and distribution. With these capabilities under one roof, the CSC will serve as a vital logistical hub for St. Luke’s, offering numerous system-wide advantages, including:

• Enhanced visibility and inventory oversight
• Improved demand planning and forecasting.
• Reduced reliance on third-party vendors.
• Streamlined ordering and fulfillment processes.
• Increased buffer stock capacity and storage flexibility.
• Expanded logistics capabilities and ancillary services for IT, clinical equipment and print management.
• Greater cost savings through reduced outsourcing.
• Improved responsiveness to external supply chain pressures.
• Standardization of supplies, pharmaceuticals, suppliers, and services.

Building resilience and efficiency in health care delivery

The onset of the COVID-19 pandemic in 2020 exposed weaknesses in global supply chains and highlighted the urgent need for greater control, efficiency, and resilience.

“Many health systems are just now realizing the strategic importance of a consolidated service center,” said Adrian Wengert, vice president of supply chain at St. Luke’s. “We’re fortunate that St. Luke’s was already planning for this before the pandemic. Thoughtful planning and extensive research, which included visits and tours to CSCs throughout the country, went into the facility we see in operation today, and one that will serve our communities well into the future.”

The CSC concept is known among U.S. health care systems – approximately 75 health care systems in the United States currently operate a CSC. In its planning stages, St. Luke’s leaders quickly recognized the myriad benefits of combining and collaborating between the supply chain and pharmacy.

Advancing pharmacy services and addressing drug shortages

Pharmacy services occupy approximately 60,000 square feet of the facility, providing St. Luke’s with significant new capabilities. From large-scale sterile medication compounding to direct negotiations with drug manufacturers, the CSC has enabled St. Luke’s pharmacy program to expand to better serve staff who provide direct care, and in turn, better care for patients.

“These enhancements will not only improve our service delivery but also reinforce our commitment to providing high-quality care,” said Kelley Curtis, St. Luke’s chief pharmacy officer. “Through the sterile medication compounding center, we will be centralizing intravenous medication compounding for all of our hospitals, and we have been able to integrate a new program that offers home infusion services to patients beyond our hospital infusion centers.”

Curtis is also pleased with other efficiencies, such as the implementation of a shared warehouse management program that allows supply chain and pharmacy to manage their inventories together, which is a first among CSCs in the United States. Equipment like a medication re-packager allows the health system to purchase frequently used medications in bulk and package them for distribution to St. Luke’s inpatient and outpatient pharmacies.

“The CSC reflects our long-term vision to build a more efficient, responsive, and sustainable health care system,” said Wengert. “It’s a proactive step toward ensuring we can continue delivering safe, high-quality care for generations to come – and toward our mission of improving the health of the people in the communities that we serve.”