Posted by Carola Endicott on Thu, Jun 24, 2010 @ 04:38 AM
At WaveMark we have come across many examples of inventory and supply chain systems in healthcare which require a person to count products by hand. The goal of these manual counts is to determine the daily requisitions for cycle counts or for an annual physical count. In our earliest days back in 2005 we worked with a customer in a Cath Lab in Utica, NY where we validated the ability of an RFID-enabled cabinet to accurately count its contents. We printed out a report generated by the cabinet and then the two of us proceeded to count the entire contents of the cabinet - about 200 medical supplies - coronary stents and balloons. Every week we thought we had found an error in the cabinet. And every week, we found both of us were wrong. We recounted and finally one after another, we matched the automated count. Besides providing statistical validation of the ability of RFID tags to be read by a specially outfitted cabinet, this also provided a window into an area for enormous improvement opportunity. That lab went from one RFID-enabled cabinet to 10 in order to expand this capability to all of their high value products and they went from spending 2 hours a day compiling their order to 15 minutes.
Since that time, we have accumulated many stories of humans who can't count accurately, or if they do , take a long time to do so. In one busy Cath Lab in Iowa we found that they were spending an hour and a half every morning counting stents and balloons on hand in order to place an order into their Materials system. This cumbersome system was very time consuming and error-prone because a human being was doing something humans aren't good at - counting. The time and accuracy gained from RFID-enabled cabinets allowed them to reduce their "just-in-time" stock and spend valuable human beings' energy on activities more suited to their natural talents.
In another example, the WaveMark inventory management software powered by the cabinets reduced the daily counting chore to the point where the inventory person was able to take on inventory duties for an additional department, work previously done by a nurse who spent half his time counting and ordering. By allowing the nurse to go back into the procedures where he was most valuable, the hospital was able to save money and increase employee satisfaction.
We are fortunate to live in a time when technology takes on the chores that are tedious, leaving more time for human beings to focus on activities that are more interesting, valuable, and, even sometimes, fun.
This is only a small part of one Cath Lab's inventory. This photo represents $500,000 in inventory. RFID enabled cabinets provide accuracy and peace of mind.
Posted by Colleen Terry on Wed, Mar 31, 2010 @ 09:46 AM
No matter what decade you're in, reducing costs will never go out of style. And, no matter what your industry, reducing inventory levels can have compounding side affects. So, how do you accomplish one without adversly affecting the other?
While the healthcare industry has the added challenge of reducing costs, while improving patient safety and care, many hospitals have found success by implementing RFID solutions. Using RFID to track inventory and usage levels of individual products -in real-time- has proven to reduce specialty department inventory costs and improve patient safety. Can this be true? Here are 4 real world examples of inventory reductions in hospitals, after implementing RFID for the real-time tracking of critical medical supplies:
- A Midwest hospital identified a 25% reduction in inventory levels by comparing current target inventory levels against proposed levels based on actual product usage.
- A Northeast hospital was able to bring consigned and paid stock down from $400,000 to $100,000 in just a few months.
- A New York hospital has seen an overall inventory reduction of 33%, despite the fact that some SKU's actually increased.
- A Southeast hospital closed the gap of on-hand inventory levels and target inventory levels by almost 100%, by using real-time automated replenishment.
With more and more healthcare providers seeing black when it comes to inventory carrying costs, RFID is earning a prominent place in the hearts of hospital administrators.
Learn more about how RFID can improve the bottom line at your hospital, while improving patient care. Download case study.
Posted by Colleen Terry on Wed, Mar 24, 2010 @ 07:51 AM
The bill has been signed, yet the country is divided on the methods, outcome, and success of bringing affordable healthcare to all. So, what do providers and suppliers think? How will the reform affect their bottom line?
While the landmark legislation promises to bring healthcare to some 32 million currently uninsured, the heated question remains how much this benefit will cost the individual consumer and industry --notably pharmaceutical and medical suppliers. For providers, the reform potentially means more customers with the resources to pay for services rendered and supplies used. With reimbursements a troubling concern for many hospitals, the reform may alleviate some of the financial pressures for hospitals administering care to the uninsured. Yet, how much will caring for this influx of newly insured cost the provider? A potentially dramatic increase in customers requires more clinicians, more space, and more supplies. What are hospital administrators saying? How will clinicians be affected by the reform?
Meanwhile, healthcare suppliers have been quite vocal in their concerns, as it appears they may bear the brunt of the cost through increased taxes on drugs and devices. The supplier fear and concern is that this legislation may very well stifle innovation --as the imposed tax is likely to have devastating affects on smaller drug manufacturers and medical device suppliers--and potentially threaten patient safety and care. Do the suppliers see any good in this reform?
There is still so much to learn and understand about the impending legislation that most lay people are taking a wait and see attitude. Want to weigh in on the discussion? Share your views here.
Posted by Colleen Terry on Wed, Mar 17, 2010 @ 10:02 AM
While some may prefer a pot of gold, most of us would rather a bank of knowledge to help in choosing a healthcare IT vendor. A thorough review, evaluation and understanding of the healthcare technology offering can save thousands of dollars, improve clinical workflow and prevent lots of headaches down the road.
KLAS, an organization dedicated to helping healthcare providers make informed technology decisions by reporting accurate, honest, and impartial vendor performance, provides this information to providers, at no cost. While KLAS offers a convenient service to providers at the right price, their scope is limited by the breadth of their researchers and depth of provider participants.
Combine what you learn from KLAS, peers, and your own evaluation to make a smart decision by considering these important vendor qualities:
- Vendor reliability, trustworthiness and follow through-talk to peers, search the web and read reviews on vendor performance to ensure you are partnering with a responsive, professional and progressive organization.
- Product/Service/Solution features and functionality-read product reviews, visit showcase sites, view product demonstration webinars, or get a trial version to fully understand the feature set and how it will be implemented and used in your specific setting.
- Training- a top notch vendor will offer initial training, whether on-site, via phone or as a digital training session. Find out what will be covered and if it can be customized to your situation.
- Systems integration-be sure to understand how the new solution integrates with your existing systems to maximum your financial benefit and improve workflow.
- Post sales support-- in the form of on-going training, technical assistance and product maintenance. In some cases, your purchase may include both hardware and software, and understanding the upgrade path, maintenance plan, and technical assistance for each is critical.
To read vendor reviews currently available in KLAS, click here.
To add a vendor to KLAS and provide feedback, click here.
To learn more about how peers can assist in choosing a vendor, read this article.
Posted by Colleen Terry on Thu, Mar 11, 2010 @ 03:02 AM
IDN Summit just released the leading submissions of this year's Search for Supply Chain Excellence in Healthcare Awards. This elite award recognizes the leading healthcare systems in the US who are advancing patient care with cutting edge initiatives as judged by their healthcare peers. This award provides a substantive example of the powerful affect an optimized healthcare supply chain can have on cost containment and patient care.
While each of this year's 5 finalists focused on Strategic Sourcing, the range within was quite varied, including internalizing the supply chain, developing an e-sourcing auction, strategic partnership with a supplier, and more. The commonalities in the success of each of the winners is summarized:
- Clearly defined goals and objectives; a very specific problem area was identified, analyzed and then optimized.
- Firm buy-in from executive management and all parties across departments to be affected.
- Actively engage the Clinical stakeholders in the process; clinical support and feedback are paramount to ensuring success of the project which ultimately impacts the patients.
- Cooperatively work with suppliers, manufacturers and vendors to ensure best product, pricing and placement.
- Clinical process improvements and workflow optimization are direct outcomes of the above.
While these submissions only represent a small fraction of the opportunities and innovations for improvement, they demonstrate that significant cost savings and quality improvement opportunities abound in the supply chain arena. Why not take a look at your supply chain and choose a specific area of focus?
To help in deciding, read how this hospital achieved cost containment, patient safety and regulatory compliance, with the automation of product usage tracking and hospital systems integration through optimized inventory management and control.
Read each of the finalist submissions here.
Posted by Colleen Terry on Wed, Mar 03, 2010 @ 08:05 AM
The annual ACCA Cardiovascular Leadership conference gets underway next week at the Sheraton Atlanta Hotel in Atlanta, GA. Always a hot topic, healthcare reform opens the door's to this year's conference.
Opening keynote speaker, Jack Lewin, MD, CEO, American College of Cardiology, will offer an insider's view of the healthcare reform agenda, including how current legislation could affect your organization. Addressing the tough issues-from disparities to cost-effectiveness to physician payment-Dr. Lewin reviews ACC tools and initiatives to help you implement evidence-based guidelines, measure quality and improve patient care. Also, hear how to prepare yourself to face the increased scrutiny of the CMS Recovery Audit Contractor (RAC) program.
One of the few conferences focused on the issues and concerns relevant to cardiovascular administrators, here are 4 reasons you should consider attending ACCA this year:
•Pre-conference tour of CDC with a guided tour from Belinda Minta, MPH, MBA, Program Consultant, Division for Heart Disease and Stroke Prevention, CDC - Health Perspective on Heart Disease and Stroke Prevention.
•Listen to top keynote speakers address pressing healthcare issues including healthcare reform and new reimbursement models.
•Network with other administrators and build relationships with a peer group that can become your sounding board and think tank as you face future challenges.
•Browse the exhibit floor to learn about new technologies, products, and listen to poster demonstrations hand-picked by editorial staff for their relevance in providing valuable insights to cardiovascular administrators.
Memorial Healthcare System in Chattanooga, TN will be presenting a poster on how RFID in healthcare is helping to reduce costs and improve care in the cath lab. To learn more, read this article.
Visit the ACCA Conference page for event details.
Posted by Colleen Terry on Thu, Feb 25, 2010 @ 07:11 AM
The Healthcare Information and Management Systems Society, and co-sponsor American Society for Quality, introduced the Stories of Success! case study program to share quality and patient safety improvement success stories.
The Stories of Success project is focused on linking the use of HIT with two major national initiatives to generate change, The Joint Commission National Patient Safety Goals and the National Priorities Partnership recommendations for national focus for improvement activities. Stories of Success! showcases outstanding accomplishments in the adoption and use of information technology to achieve improved patient safety, quality, effectiveness and efficiency. The chosen case studies highlight the fulfillment of the national priorities established by the National Priorities Partnership (NPP) and The Joint Commission's National Patient Safety Goals (NPSG).
Six "Tier 1" applicants (the most informative submissions aligned with the Stories of Success! purpose) were chosen, one of which highlights the use of RFID to manage inventory of critical medical supplies. Read the Mercy Medical Center case study and learn how RFID is improving patient safety in their Cath and EP labs.
"With the submissions we received, those who are using IT every day showed us and identified how technology helps support the six priorities of National Priorities Partnership and The Joint Commission's national patient safety goals and priorities. These from-the-field examples, focused on national quality and performance improvement, pinpointed technology's positive impact on the lives of patients," said Louis H. Diamond, M.B.Ch.B., F.A.C.P., F.C.P. (S.A.), chair of the HIMSS NPP/JC (National Priorities Partnership/The Joint Commission) Work Group that is leading this project.
Read about the Stories of Success project
Read the chosen case studies
To learn how RFID can help your facility improve patient safety, read the Mercy Medical Center case study.
Posted by Colleen Terry on Wed, Feb 17, 2010 @ 01:02 PM
Oftentimes, inventory management strategies are forgotten on the collegiate steps. However, the lack of visibility and control of inventory will surely get the MBA-types excited, but for the wrong reasons.
In a nutshell, inventory is money. Too much inventory and cash is tied up, affecting future purchases. Too little and you may be losing customers or paying a premium to rush orders. The absence of good inventory management practices could also lead to theft, damage, lost products, obsolescence and worse, a compromise to patient safety.
If you are experiencing any of the following, it may be time to rethink your inventory management strategy.
- Overstocks-too many products sitting on the shelf. If you don't have a method to understanding demand and usage, then you can easily be left paying for products that will never be used/reimbursed.
- Understocks/increased backorders-not enough product or product still in transit. If you don't have what you need, when you need it, then patient care levels may diminish.
- Product obsolescence-products exceeding their expiration life (or have been recalled) are still on the shelves. If there is no means to accurately track lot and serial #s of products, then inventory write-offs will increase and patient safety is compromised.
- Theft/Waste/Loss - the removal, authorized or not, of product from receivables inventory. If you don't have a way to monitor where product is stored, when it is used, and for whom, then charge capture rates decrease.
Preventing stock-outs without overstocking products requires a disciplined process and an information system that can dynamically manage this balance. Optimizing inventories can be accomplished with visibility and accuracy of information in the healthcare supply chain.
To learn how RFID can ensure the availability of the right products at the right time for the right person, read this case study.
Posted by Colleen Terry on Wed, Feb 10, 2010 @ 12:18 PM
RFID has gained significant traction in the healthcare market. Many publications are dedicated to delivering content about RFID, while others report regularly on the technology. By knowing the identity, location and conditions of assets, tools, inventory, people and more, organizations can optimize workflow and reduce operational costs. Bookmark these 4 sites to learn more about RFID in healthcare:
RFID Journal For eight years, RFID Journal has been the trusted source that potential users of the technology turn to for objective information. The Web site features thousands of free news articles, as well as opinion pieces, expert views, videos, white papers and more. RFID Journal hosts the RFID in Healthcare events in January and September, with its flagship event -RFID Journal Live--in April, having a special Healthcare track.
RFID Monthly RFID Monthly covers recent industry developments, including industry commentary and thought leadership articles as well as a summary of relevant news flow. Healthcare has been an increasingly important area for RFID adoption as more hospitals and providers consider investing in automatic identification technology for asset management, operating room inventory management and specimen tracking. RFID Monthly offers a quick and easy summary on the latest industry and healthcare news and comment.
Switchboard Media Is a community dedicated to providing educational content and news items to its visitors and subscribers. The website offers a section dedicated to healthcare, along with ROI success stories. You can also ask the expert to have your questions answered.
RFID in Healthcare Consortium The RFID in Healthcare Consortium (www.rfidinhealthcare.org) is organized under the auspices of The RFID Educational Foundation, a non-profit charitable educational institution. The vision of the RFID Healthcare Consortium is to globally advocate the safe and effective use of wireless-based technologies in healthcare delivery.
The following sites offer an in-depth look at the technology, how it works, standards, and more.
Aim Global
MIT Auto-ID Center
EPC Global
To learn more about how RFID is used in hospitals, watch these videos.
Posted by Colleen Terry on Wed, Feb 03, 2010 @ 07:11 AM
The RFID in Healthcare show in Dallas last week highlighted many uses of RFID. As in past years, the emphasis was again on asset tracking and using active and UHF tags. There was, however, one presentation that excited attendees with its proven success in using item-level HF RFID tracking to streamline workflow for clinicians.
The implementation of RFID for hospital inventory management has provided this particular hospital with the automation and information necessary to enable clinicians to be better clinicians.
Streamlined Clinical Processes = Better care for patients
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Nurses and techs are now confident when the physician asks for a particular product, they will have it readily available. Automated RFID tracks product usage and recommends par levels, ensuring the right products are always available. Prior to RFID, nurses and techs sometimes had to leave the procedure room - making multiple trips daily to other buildings or down the stairs - in search of a particular product needed for a case
- Clinicians are able to stay in the room longer with patients, post-op. Physical counts are completed every 20 minutes by the RFID cabinets and procedure rooms are easily restocked using an automated restocking report - even 2 - 3 times per day, freeing nurses from the duty of counting products before and after each procedure
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Nurses can confidently pull any product from the shelf and be relieved of the constant worry of an expired or recalled product reaching a patient. Automated expiration and recall management, with built in safety alerts, is available with RFID. 
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Documenting cases is accurate and fully automated with the integration of RFID inventory control with other hospital systems. Nurses are no longer burdened with manual data entry; just a wave the box sends product barcode and serial/lot # to the appropriate hospital information systems for billing, replenishment and clinical documentation
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Job satisfaction for nurses has improved dramatically. Nurses are happier being nurses and not worrying about supplies.
Read a case study article on how RFID is improving patient care through nurse satisfaction.