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Copyright © 2012

People, Places, Processes & Products that Influence the Supply Chain

 

INSIDE THE CURRENT ISSUE

December 2010

Products & Services

Healthcare Purchasing News December 2010 Cover


Getting on board

Five experts share 25 best practice tips for supply chain involvement in construction projects.


• The first things to be checked on the architects’ drawings are the size and location of the supply storage room throughout the facility. There will inevitably be corrections necessary. The tendency is to overlook their importance especially when the primary focus is on the space used for patient care.

• One should always look beyond the point of delivery of supplies to the nursing unit. The critical "last 100 feet" needs to be examined to ensure the final delivery of the supply to the point of use is as smooth and expeditious as possible.

• Remember you not only need to consider the delivery of supplies and equipment to the point of use, but you must also address the logistics and processes for the removal of waste (medical and otherwise), soiled linen and other materials and equipment. A lot of what goes in must also come out.

• Equipment storage must be planned not only for the immediate future and also for what may be necessary in the years to come. Those hospitals that did not address this in the past usually have equipment stored either in hallways or locations too remote for easy accessibility.

It is frequently overlooked that supplies do not go directly from the point of receipt to the points of storage or use. Therefore it is necessary to ensure that staging areas are considered. Examples of these are on the receiving docks, at points along lengthy transport routes to allow for partial loads to be dropped and at the using departments as a place to hold supplies prior to the put-away process. Without these areas your logistics flow will be compromised and labor costs increased.

– Michael Bohon, CPSM, CMRP, founding principal,
HealthCare Solutions Bureau LLC, Show Low, AZ


• Review operational practices (methods and systems) to lower costs during and after construction project. Don’t rest on laurels, look for others to share experiences and reduce costs. Facility project gives you the opportunity to shine.

Emphasize purchasing/acquistion skills to lower purchasing costs, including systems, hardware, finishes, terms and conditions, forward buy, direct purchase, etc.

• Get involved in selected related clinical activity that can offer significant cost reductions. Promote Six Sigma/Lean principles across the organization to influence others.

• Join groups conducting site visits to similar institutions. During informal conversations promote SCM and discuss alternatives. Pick up ideas at these sites and network for the good of the order.

• Hone your supply chain management skills and metrics, such as:

Resource productivity inventory turns, labor productivity, peer organization metrics, transportation, purchasing, etc.

Pick your vendors’ brains in medical/surgical supplies, pharmacy, laboratory, waste management, laundry, etc.

– James Dickow, president,
Dickow Consulting Group LLC, Mequon, WI


• Participate in weekly construction meetings and provide input.

• Assist with the selection of your equipment planning firm.

• Engage the assistance of your GPO for construction services, group buys, negotiations and volume aggregation.

• Establish and share standards with equipment planning firm.

Work with the ggeneral contractor, equipment planner and suppliers in tracking spending and savings through project end.

– Mark Kearschner, director, construction services, Premier Inc.


• Supply chain managers understand the need for prequalified vendor, designer, supplier, and consultant bid lists.

• Supply chain managers can insist on transparency by requiring open competitive bids.

• Supply chain managers can proactively develop a change order process that will likely reduce the number of change orders coming in.

• Supply chain managers can reduce supply chain complexity by insisting on – right at the conceptual design phase – life-cycle costing, building information management and integrated project delivery methods.

Supply chain managers can engage an independent LEED consultant who can identify the path of least resistance to accumulating LEED points for a building, which in turn will attract benefactors, achieve measurable energy efficiency, and act as a check and balance on both the design and construction execution phases of a project.

– Mark Victors, director, support services contracting,
GNYHA Services


• Ask to be included. Don’t take no for an answer. I have yet to find someone who couldn’t give me a reason that I shouldn’t participate in a construction project.

• Build a collaborative relationship with your construction and plant operations departments. Demonstrate that you have something to offer, and that you are willing to support the final objective.

• Don’t be obsessed with leading the process. Although there may be a few individuals who know enough about construction to truly be at the head of the table, such is the exception more than the rule. You will be most effective as a participant, sounding board and facilitator.

• Become knowledgeable on the subject. There are plenty of resources that can educate you on healthcare construction projects. Trade journals, online resources and just asking the right questions can make you feel comfortable with how the process works, the terminology that is used, etc.

Don’t be afraid or ask the tough – or easy – questions. A different perspective is a wonderful thing. If you are at the table and don’t understand why something is being done a certain way, raise the issue. Being the devil’s advocate is not a negative, and will actually benefit projects over time, especially as your knowledge and understanding increases.

– William Stitt, CHL CRCST CMRP FAHRMM, vice president, materials management, Robert Wood Johnson University Hospital,
New Brunswick, NJ


• Follow the announcements that your organization is expanding/renovating/building.

• Ask the vice president of facilities/construction if you can take an active seat on the team.

• Offer a strategy that will help the team, including standardized equipment specifications, negotiations and site support.

• Involve your GPO as early as possible.

Over-communicate your successes to the team.

– Cheryl Stoddard, executive director, construction services, MedAssets Supply Chain Systems

STORY

Supply chain’s simple, but everlasting constructive goals

Ridding building projects of pesty visitors

Five experts share 25 best practice tips