Feature | February 25, 2007 | Audie Lewis

Smoothing the Supply- Chain Speed Bumps

When every hour is rush hour, keep the inventory traffic moving seamlessly.


The climate of today's technology landscape within the healthcare arena seems to be changing at an ever-increasing rate. That can be either good news or great news depending on where you are in the need-to-purchase pipeline. Fortunately, for those needing to purchase inventory management systems, the climate will be like taking a trip to the Bahamas, metaphorically speaking. In other words, there have been a lot of worthwhile technological advances made within this arena during the past several years that have made these systems not only cost effective, but also extremely versatile and adaptable to just about any healthcare setting.
Given the continuing saga of nursing staff shortfalls across the industry coupled with the increasingly burdensome load of the healthcare paperwork trail, it would seem that the manufacturers of these inventory management systems have been designing them with loads of features and attributes that drastically reduce the labor-intensive tasks of the historically ugly supply chain. Ironically, these systems end up being the electronic “best friends” of the nursing staffs and physicians even though they are frequently “pushed” for purchase by administrative leadership.
So, what is it that makes these modern systems so attractive to both the healthcare providers and the administrators? The phrase that comes to mind is simultaneous benefit. That simultaneous benefit is derived from a wide arena of automated technologies within these inventory management systems that drastically improves the effective management of the supply side of the operational setting while reducing the work routines of the nursing staff and supply support personnel.
The Supply & Demand Chasm
Without a doubt, one of the key problems facing hospitals and health systems in controlling operational costs is that patient throughput is usually much lower than associated supply usage — in many cases, there is a significant difference between the amount of supplies actually used versus the expected number used. Unfortunately, in many healthcare treatment settings, this usage varies as much as 10 to 50 percent above expected utilization.
Does this inventory supply discrepancy sound like something you want to try and solve tomorrow? Good luck. And please don't ask the nursing staff to help. They are already being pushed to the limit!
So what can be done about it? One of the most common fixes to the leak in the supply chain is to place more inventory at the point of use. How does that help? In truth, it doesn't really help the loss of supplies but it does ensure that nursing and physician providers don't waste their valuable time looking for a much-needed supply item. And the patients probably don't have much patience waiting for a common supply item that isn't immediately available from the patient care setting.
Today's inventory management systems are capable of handling these types of problems and a host of similar supply-chain related issues that plague the efficiency and cost effectiveness of everyday healthcare. Manufacturers have produced a litany of helpful automated processes that create an ability to improve quality supply functions at the user level while simultaneously creating efficiencies within the work areas.

For example, Omnicell provides an implant tracking module that records lot and serial number info for surgical implants (i.e., in accordance with FDA requirements). Omnicell also has an excellent Web-based procurement application that automates and integrates the requisition and approval process, including purchase rules, approval gatekeeping solutions (that are hospital specific). Common gatekeeping automated attributes include negotiated pricing; proper routing of approvals for purchase; spending limits/budget control aspects; and other similar purchasing procedural processes.
Pyxis has a wide variety of specific applications as well, such as scalable bar coding technology that can be used with existing inventory management processes within a hospital or health system, allowing for inventory management and replenishment information to be processed electronically versus manual operations.
Pyxis also supports temperature-sensitive medication dispensing and monitoring. Both companies — and many others — have secure closed systems (automated cabinets) that individually track usage, replenishment and restock activities with state-of-the-art touchscreen technologies. All of these systems transmit information regarding on-hand supplies, par levels, usage histories, per patient and per procedural costs to and through the inventory management system within the hospital to include financial data streams.
The integration aspects of these sophisticated technologies allows for the seamless flow of information between all the critical support infrastructures to include financial, electronic data interchange, electronic commerce, inventory management and a host of similar venues.
The essence of inventory management systems is that they automate the supply chain so each and every “transaction” within the pipeline is visible and manageable to even the busiest of staffs. Fortunately, that visibility and manageability aspect creates a cost effective and efficient supply chain infrastructure that keeps everyone happy with the status of this very important patient care link. Inventory management systems also positively impact the quality of patient and provider care. Patients can feel and see the difference between a well-oiled machine and the
historical alternative.


Related Content

Feature | Inventory Management | Dave Fornell

Tracking cardiovascular device inventory in cath labs, electrophysiology (EP) labs and operating rooms (ORs) can be a ...

Home April 28, 2017
Home
Sponsored Content | Videos | Inventory Management

The supplies you use in your cath lab are complex and very valuable. Protecting your investment and uncovering new ...

Home February 17, 2017
Home
News | Inventory Management

February 15, 2017 — Better hospital supply chain management leads to better quality of care and supports patient safety ...

Home February 15, 2017
Home
Sponsored Content | Case Study | Inventory Management

The supply chain can serve as a critical strategic asset when addressing important initiatives tied to managing costs ...

Home February 07, 2017
Home
Webinar | Inventory Management

How healthy is your cath lab supply chain? Do you struggle with managing inventory across your cath lab supply chain? It ...

Home February 01, 2017
Home
Sponsored Content | Whitepapers | Inventory Management

Annual waste for high-value medical devices continues to grow at a rapid pace. With bundled payments putting increased ...

Home January 31, 2017
Home
Feature | Inventory Management | Dave Fornell

(Editors note: This article was written in 2014, and was updated with more recent information in January 2017.) ...

Home January 31, 2017
Home
Feature | Inventory Management | Jean-Claude Saghbini

The healthcare industry’s transition to value-based care leaves no room for waste, and yet we know that inefficiency in ...

Home October 28, 2016
Home
Sponsored Content | Videos | Inventory Management

With quality of care and cost efficiency at the top of your mind, there is no room in your hospital for waste from high ...

Home October 28, 2016
Home
Whitepapers | Inventory Management

As healthcare moves into the era of bundled payments, providers need to be especially focused on ensuring delivery of ...

Home October 18, 2016
Home
Subscribe Now