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Copyright © 2012

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

 
 

INSIDE THE CURRENT ISSUE

August 2011

People & Opinions

Worth Repeating

"Reducing supply cost helps offset unreimbursed care, and we are also working with our high-cost implant vendors to help share in the social responsibility of caring for these patients by requesting the donation of implants where WellStar receives no reimbursement."

Anthony Trupiano, vice president, supply chain, WellStar Health System

"Patient monitoring really has been an evolution. Connectivity is accelerating, which is allowing us to bring [once] disparate pieces of patient care information together and then disperse it to caregivers in a meaningful way. Our key vision right now is clinical information logistics – that is, helping [caregivers] get the information they need at the right time."

Derek Wagner, chief marketing officer, patient care solutions, GE Healthcare

"An average-sized U.S. hospital purchases 1 million vials, bottles, and ampoules, and creates about 14 tons of pharmaceutical-related waste each year. Currently, two-thirds of hospitals are out of compliance with federal, state, or local laws with regard to tracking and disposing of pharmaceutical waste. Most are managing the segregation manually, which can be expensive. For example, many hospitals dispose of items under the ‘black-waste’ level at $2 to $4 per pound versus the ‘white-waste’ category at 2 cents per pound. Manual sorting can also be hazardous, by compromising staff safety, and can be unreliable, causing potential OSHA and legal liability exposure."

Dave Swenson, RhP, vice president marketing, dispensing technologies, CareFusion

"For maximum efficiency and privacy, patient charting should be conducted at the bedside. The AE community has taken note and is allowing space for bedside carts in new patient room design, but that leaves an even greater number of hospitals out there that have smaller patient rooms with no plans to renovate in the near future."

Shannon Kennedy, marketing director, Stanley InnerSpace

 

February 2012
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SMI’s got game

by Dennis Orthman, CMRP

With a sports theme serving as a common platform, over one hundred healthcare supply chain industry thought leaders gathered at the SMI Spring 2011 Forum in Dallas to continue their work on shaping the future of the healthcare supply chain industry. SMI Members, comprised of executives from both healthcare providers and suppliers, utilized SMI’s traditional combination of small group interaction process and general sessions to share insights, engage in pointed discussions, and develop solutions. Topics covered at the Forum ranged from strategic sourcing to change management to the complexities of competing for the Malcolm Baldridge Award.

Reflecting the industry’s challenge with addressing the various impacts of healthcare reform, the SMI Forum was "kicked off" by a keynote address from Emily Friedman, an independent health policy analyst and highly regarded industry speaker. Friedman offered her perspectives on the many changes and challenges that healthcare should expect to see as healthcare reform programs begin to take hold while our nation simultaneously continues to experience demographic shifts. Friedman encouraged the SMI members to be innovative when dealing with the expected rapid, large scale changes, all the while entertaining the audience with a variety of humorous anecdotes to drive home her points.

Teri Gallagher

Leaders from Advocate Health System in the Chicago market built on the keynote message by then sharing with the SMI members their playbook for taking on the challenges of reform. Both Mark C. Shields, M.D., Vice President for Medical Management and Senior Medical Director of Advocate Physician Partners, and Thomas M. Lubotsky, Vice President Supply Chain shared details of the strategic changes that Advocate Health System and its supply chain division have undertaken. Among the significant changes they discussed for Advocate has been the engagement of physicians, where physicians are strategically aligned with the health system and are now involved and actively engaged in areas where they traditionally were not involved. For Advocate’s supply chain, this means that the doctors are now an integral part of the supply chain team. This strategic organizational shift has led supply chain leaders and staff to undertake a series of changes. "It is as much about re-thinking as it is re-engineering!" said Lubotsky. The value of the supply chain function is expanding under the reformed environment, Lubotsky advised, as product selection and product performance become even more important. "We are entering the era where analytics and decision support are critical supply chain functions," Lubotsky said.

In addition to hearing from industry leaders, SMI members also participated in a number of separate interactive small-group sessions. Interactive lunch sessions were held where smaller groups of SMI members actively participated in taking "deeper dives" into industry hot topics like Envisioning The Next Generation Supply Chain Executive or Purchased Services – Under Control or Out of Control?. " Our members always rate these sessions high, as they enjoy the free-flowing exchange of ideas and opinions," said Tom Hughes, SMI’s Executive Director. " There is nowhere else in our industry that executives have the opportunity for such active peer-to-peer exchange."

Small group interaction continued later in the day as well, with four SMI Initiative Teams making maximum use of the valuable face time. Three Initiative Teams continued their work exploring the cutting edge topics ACOs and Supply Chain, Healthcare Supply Chain Uniquenesses and Differences, and Comparative Effectiveness Research and Supply Chain. In collaboration with the Center for Innovation in Healthcare Logistics, SMI also launched a fourth initiative at the Forum. This new initiative is focused on testing and validating a CIHL-created decision support tool that helps providers forecast the operational impacts of supply chain standards adoption. Both SMI and CIHL hope this software tool will be finalized by the Fall of 2011, helping to propel industry adoption of data standards to new heights.

The action-packed first day of the SMI Forum also featured a lively general session presentation with questions and answers about the Malcolm Baldridge Journey. Introduced by SMI Chairperson John Gaida of Texas Health Resources, this session focused on the pathways that organizations can take in pursuit of the Malcolm Baldridge National Quality Award and how the journey helps organizations develop the tools and disciplines needed to produce exceptional results. Sherry Bright of Goonan Performance Strategies provided the SMI Members with background on the award and the journey required, while Mike Rosenblatt, Corporate VP of Supply Chain at SSM Health Care, shared with his fellow SMI members the details of his organization’s journey that led to their receiving the Baldridge Award in 2002.

Day two of the SMI Spring 2011 Forum featured more interactive small group sessions, with members participating in a variety of sessions led by industry leaders on topics like The Business of Pharmacy: Operational Efficiency, Patient Safety & Financial Performance and Optimizing the Last Mile of the Healthcare Supply Chain. Following these member-led sessions, the leaders of the four SMI Initiative Teams provided the membership with updates on their progress.

The closing session of the Forum was an excellent panel discussion by SMI’s key collaborators on the impact of healthcare reform beyond providers and suppliers. Leaders from Healthcare Purchasing News, AHRMM, CIHL, HIDA, GS1 Healthcare US, and Gartner Research explored and shared their thoughts on the ripple affects that reform is having on their sectors.

While the SMI Fall 2011 Forum is not until November, the SMI members will continue their work on the various initiatives via webinars and conference calls, showing the industry once again that SMI’s Got Game!

SMI member presentations at the 2011 AHRMM meeting

SMI members have a prominent role in the upcoming AHRMM conference. Member presentations include:

  • The Perfect Department Index: How to Measure a Department’s Progress Beyond The Perfect Order, presented by Stewart Layhe and Phil Pettigrew of Denver Health

  • Health Leadership Transformation of the Supply Chain Executive, co-presented by Jay Kirkpatrick of HCA’s Nashville Supply Chain Services

  • What Is So Unique About the Healthcare Supply Chain,presented by Rosalind Parkinson of Ohio State University Medical Center, Keith Johnson of Coloplast Corporation, and Dennis Orthman of SMI

  • Optimization of Distribution and Receiving in Healthcare, co-presented by David Hargraves of UPMC

  • A Levels, Requirements, and Impact Evaluation Model for GS1 Adoption in Healthcare, co-presented by Ron Rardin of CIHL (The Center for Innovation in Healthcare Logistics – an SMI collaborator)

  • A New Approach to Technology Management in Supply Chain, co-presented by Bill Stitt of Robert Wood Johnson University Hospital (a pending SMI member)

  • GS1 Implementation Simplified Using Vertical Value Streams: Important Lessons for Hospitals as They Move Forward, presented by Stewart Layhe and Phil Pettigrew of Denver Health

Several more SMI member organizations are represented on the conference agenda including Cleveland Clinic, Iowa Health System, Johns Hopkins Health System, Johnson & Johnson, Mayo Clinic, Owens & Minor, and Sentara Healthcare.