McKesson Named Top-Tier Software Vendor by APPS RUN THE WORLD in the APPS and CLOUD TOP 500 Market Report

McKesson Strengths, Domain Expertise, and Key Differentiators

McKesson Pharmacy Systems provides pharmacies with the flexibility to choose suitable technology solutions. It offers advanced pharmacy management software, simplifying the initiation, operation, and expansion of pharmacy businesses. With an emphasis on efficiency and clinical orientation, the software is accompanied by an extensive array of value-added products and services. Through proprietary and third-party pharmacy operational solutions, it empowers businesses to identify opportunities for optimizing efficiency, boosting revenue, and gaining a competitive advantage in the market.

McKesson Recent Developments

In October 2022, McKesson Corporation inaugurated a cutting-edge pharmaceutical distribution center in Jeffersonville, Ohio, serving multiple states. Spanning 475,000 square feet, the facility utilizes advanced automation to distribute pharmaceuticals and healthcare products efficiently. The strategically located center, equipped with sustainability features, showcases McKesson's commitment to innovation, operational excellence, and employee well-being.

In 2021, McKesson Corporation launched the McKesson Rapid Returns Solution for Health Systems, presenting a tool to boost credit for returned pharmaceuticals and over-the-counter products. The solution streamlines credit processing, simplifies returns, and empowers healthcare organizations to prioritize patient care with increased efficiency.

McKesson Mergers and Acquisitions (M&A) Activities

In September 2022, McKesson Corporation is set to acquire Rx Savings Solutions for up to $875 million, enhancing its medication access solutions. The deal includes a $600 million upfront payment and up to $275 million contingent on RxSS' performance through 2025. RxSS, with a focus on prescription price transparency, serves over 17 million patients. Upon completion, RxSS will join McKesson's Prescription Technology Solutions business. The transaction is expected to close in the second half of Fiscal 2023, subject to regulatory review.

Following the acquisition of Medical Specialties Distributors, a distributor of infusion and medical-surgical supplies in June 2018, McKesson subsequently acquired Echo in 2019. Echo specializes in providing an application designed to facilitate medication management and streamline the process of ordering repeat prescriptions for delivery.

McKesson is strategically focusing on multiple growth pillars while undertaking a comprehensive review of its operations and cost structure. The company's acquisition of MSD aligns with two pivotal strategic growth areas: manufacturer services and specialty, providing a complementary addition to its existing low-cost site-of-care infusion platform.

McKesson Customers in ARTW Customer Database

Leveraging a rigorous data-centric research methodology, APPS RUN THE WORLD asks the simple question: Who’s buying McKesson applications and why? And we provide the answers – supported by decades of research – to our clients around the world. Our Customer database has over 100 data fields that detail company usage of McKesson and other enterprise apps by function, customer size, industry, location, implementation status, partner involvement, Line of Business Key Stakeholders and IT decision makers contact details. List of Verified McKesson HealthQx customers.

McKesson Key Enterprise and Cloud Applications

McKesson HealthQx

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McKesson Direct vs Indirect sales

McKesson Customers - Breakdown by Geo, Size, Vertical and Product

List of Verified McKesson Customers

No. of McKesson Customers: 275000

No. of McKesson Enterprise Applications Customers: x

No. of McKesson Cloud Customers: x

No. of McKesson Cloud Subscribers: 5 million

McKesson caters to a diverse clientele exceeding 200,000, ranging from physician offices, surgery centers, post-acute care facilities, and hospital reference labs to home health agencies, and occupational, and alternative health sites. Among its esteemed clients are LHP Hospital Group, Rideout Health, HomeTown Health, Blue Cross and Blue Shield of North Carolina, Tampa General Hospital, St. Mark's Medical Center, Abington (Pa.) Memorial Hospital, Baptist Healthcare System, Gulfcoast Oncology Associates, Marquette General, Novation, OSU Pathology Services, LLC., Safeway Inc., St. Joseph's Hospital Health Center, St. Rose Hospital of Hayward, Suburban Hospital Healthcare System, and VHA Inc.

McKesson Market Opportunities, M&A and Geo Expansions

In August 2020, McKesson's division, Supplylogix, implemented enhancements to its Pinpoint Order software, introducing the Inventory Segmentation feature. This addition extends the existing functionality of Pinpoint Order, offering users a dashboard to assess medication categories in groups of 10, along with their corresponding inventory costs.

McKesson Risks and Challenges

In 2020, revenues from ten of McKesson's largest customers, including Group Purchasing Organizations (GPOs), comprised approximately 51% of the company's total consolidated revenues. The largest among them, CVS Health Corporation, contributed approximately 20% to the overall revenue. The potential departure of CVS Health as a customer poses a substantial risk to McKesson's revenue and could have implications for the company's future trajectory.

McKesson Ecosystem, Partners, Resellers and SI

McKesson relies primarily on its direct sales force for the distribution of hospital information management systems, while its lower-tier physician practice applications are marketed through both its direct sales force and a network of value-added resellers.

McKesson has a network of about 100 resellers, which account for 20% of its software revenues.

McKesson Cloud Infrastructure Insights

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• McKesson Public Cloud and Infrastructure (IaaS)
• McKesson Platform (PaaS)
• McKesson Application Delivery
• McKesson Private Cloud and Data Centers

Research Methodology

Data used in research reports are derived from publicly available documents, continuous surveys of applications vendors, customers, resellers, Independent Software Vendors, systems integrators and other verifiable sources.

Vendor shares and market forecast results are based on a combination of existing databases as well as demand side and supply side research conducted throughout the year with validation from vendors, customers, channel partners and documentations such as earnings releases and 10Q and 10K filings, vertical industry studies, regional and country-level statistics from public and private institutions(i.e. colleges, universities, government agencies and trade associations).

For additional information on our methodologies, here's the link: