Knowledge Center

Increasing federal regulation compliance costs and declining reimbursements have compressed hospital profitability. This is leading hospitals to turn to Supply Chain to reduce direct costs for supplies, devices, drugs, and purchased services. Traditionally Supply Chain has aggressively pursued these cost reductions through price reduction tactics. These techniques, however, are yielding diminishing savings returns.

This paper explores nine different methods of replenishing a hospital storage area and compares and contrasts the steps nursing must progress through to retrieve the supplies they need for their patients.  

Dale L. Locklair, FAHRMM, CMRP Vice President of Procurement and Construction McLeod Health Florence, SC

This is an on-going operational excellence initiative and our results have certainly validated our approach and produced an immediate beneficial impact. The methodology we have implemented truly drives improvements and bottom-line results. We are very proud that the Executive Leadership at our organization has promoted the use of Purchasing’s approach in assessing and managing other areas of the organization.

This paper will present health care procurement strategies of four countries - the United States, Botswana, the United Kingdom, and China - as a means to evaluate volume aggregation under different health care delivery models.  

A well-conceived strategic sourcing program starts with an analysis of the total spend or operating expenses of the organization utilizing an “ABC” analysis and category/spend segmentation matrix. This analysis allows for the prioritization of the “sourceable” or “manageable” spend as distinct from other expenses such as taxes, depreciation and interest for which different strategies should be effectively applied.

This paper provides a case-study on what Banner has done to implement and continuously improve this initiative. Three key components to successful supply utilization savings are reviewed.

A review of inventory distribution methods utilized throughout health care including advantages, disadvantages, and considerations of best practice to assist with the selection of the correct method to be used in managing variable need supplies for a busy remote GI Lab. Download Article