Improving Inventory Management
嚜澠mproving Inventory
Management
Information Systems Optimization, Process Improvement and
Quality Control Methodologies
Du Nguyen
Ashley Benedict
Shands HealthCare
Shands at University of Florida
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Located in Gainesville, Florida
570-bed academic tertiary care hospital
142 intensive care beds
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Background
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In 2002, Shands at UF implemented an electronic
scanning and inventory management system.
New system keeps an accurate on-hand inventory
count and allows for automatic notification of critical
supply outages.
System automatically charges patients for supplies
used.
Eliminated manual ※piggy back§ product sticker
process.
Nursing*s buy-in was crucial.
Initial Nursing Buy-In and Utilization Agreement
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Prior to system implementation, Nursing agreed that
they would comply by scanning all patient chargeable
and critical supplies.
Chargeable supplies include approximately 800
different medical supplies.
Critical supplies are medical supplies that individual
Nursing units identified as being critical or necessary to
their patient population.
每 Nursing determines each item*s critical replenishment point.
2
How the Electronic Inventory Management System
Works
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The electronic system is interfaced with both the
hospital*s patient billing system and the offsite
warehouse*s inventory distribution system.
When a chargeable item is correctly scanned, the item
is charged to a patient*s account and also deducted
from the current inventory level.
When a critical item is correctly scanned, the item is
deducted from the current inventory level.
Once a critical supply reaches its replenishment point,
the system alerts the CDC to restock.
The critical supplies are brought up to the appropriate
Nursing unit.
Electronic Inventory System and Daily Counting and
Stocking of Supplies
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Counting of supplies occurs between 9 AM and 2 PM.
Inaccurate inventory levels in system are corrected by
counter.
Once count is completed for a particular unit, a
discrepancy report is generated for chargeable
supplies.
每 Report lists discrepancies between inventory level in system
and count.
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Simultaneously, order is sent to offsite distribution
warehouse.
Warehouse fills all orders.
Warehouse delivers supplies to hospital at 6 PM, 8 PM,
and 10 PM.
CDC staff stock supplies in the clean holding rooms
between 6 PM - 6 AM.
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Initial Problem
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Low scanning compliance throughout the hospital.
SICU and CICU has the highest utilization of supplies
每 In December 2003, SICU and CICU*s cost of medical supplies
not captured were $24,824 and $16,517 respectively.
每 These two units accounted for 38% of the total cost of medical
supplies not captured for December.
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Initial blame for poor scanning compliance was placed
throughout the supply chain.
Multi-Departmental Team Sets Objectives
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The newly formed team consisted of representatives
from four different departments
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SICU
CICU
Materials Management*s Central Distribution Center (CDC)
Management Engineering
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Project Objectives
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Determine causes for low scanning compliance and low
utilization of the current scanning and inventory
management system.
Recommend information systems, process flow, and
quality control improvements to increase the scanning
compliance and maintain accurate inventory levels on
CDC stocked supplies.
Estimate financial impact of improvements.
Recommendations & Impact
5
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