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 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 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, Dec 30, 2009 @ 01:32 PM
The clock is ticking ever so quickly towards the New Year. The final post of 2009 is a look at attending an RFID conference in 2010 to hear real-life case study information on the benefits of RFID in healthcare. As RFID continues to gain significant traction in the healthcare supply chain, one of the leading authorities on RFID, RFID Journal Live, is again hosting a one day conference in January specifically on how RFID is used in healthcare. This conference could provide some valuable insights for hospitals considering the use of RFID technology in the new year.
While RFID is a technology its applications solving specific healthcare challenges continues its rapid growth. Two such applications are RTLS (real-time location tracking) and RTIM (real-time inventory management) as a means to track assets-the former for capital equipment and the later for managing consumable inventory. While the acronyms RFID, RTLS and RTIM are often confused, each has a distinct meaning and offers unique benefits for its specific application. Attending a conference-whether virtual or in person, could be the right venue to learn how best to understand the acronyms and apply the technology in your healthcare setting. Or, subscribe to our blog and we'll push that info to you in a few weeks. Whichever conference format you prefer, be sure to confirm the session agenda and speaker panel will provide the depth and breadth of information you need.
- Session Topics: At the top of most medical technology conference agendas is patient safety. To justify the expense of technology, patient safety improvements should be easily recognizable. In addition to better care, improved clinical workflow, reduced inventory costs, increased revenues, and regulatory compliance round out the important session topics you'll want to consider attending.
- Featured Speakers: Look for a variety of speakers that can offer different perspectives on how RFID is being used in various departments within a hospital, healthcare setting, or medical device and equipment manufacturer. Unless the conference is strictly clinical, speakers at different levels within an organization and representing clinical as well as administrative areas should be invited.
To compile a list of conferences, consider a Google search: RFID in Healthcare conferences
Download a presentation given at last year's RFID in Healthcare conference.
Happy New Year!
Posted by Colleen Terry on Wed, Dec 23, 2009 @ 12:30 PM
1. Check expiration dates on products and rotate as necessary
Keeping a keen eye on expiration dates has saved hospitals hundreds of thousands of dollars. Neglect it, and wasted dollars add up quickly. Establish a procedure that helps you to be diligent about expiration tracking, then rotate products using those with the earliest expiration date first. If you know you will not use the quantity on hand before they expire, call the manufacturer's rep and ask to have them swapped out before it's too late. Whether those products are on consignment or you own them-if they expire on your shelf you're most likely paying the bill.
2. Know what you have and how often you use them
Having an accurate count of inventory levels at all times can yield tremendous financial benefits in managing the dynamic flow of inventory in a busy department. However, all too often the task of tracking inventory gets pushed aside while more pressing matters are attended to. Many specialty departments feel the burden of escalating inventory costs when its budget time. If you don't have a handle on what's on the shelves and what gets used in a specified timeframe, then you likely don't know how much and how often items should be ordered. This, admittedly unglamorous, yet critical task is so important that it has a direct impact on your bottom line and the next 3 tips. Get this down and the CFO will be singing your praises.
3. Evaluate bulk buy opportunities before making the commitment
Device reps often have special bulk buy opportunities that could save the hospital thousands--or cost that if you haven't done your homework. Be sure to closely analyze the amount of product used on a monthly, quarterly, semiannual and annual basis. If your usage patterns support the quantity required in the bulk buy, you could bring your per unit cost down dramatically and save thousands. However, if you don't know what you use and how often, then executing a bulk buy could cost much more in the long run. Don't rush into what looks like a great offer, or you could be writing off outdated inventory.
4. Set target inventory levels and order against them
Tip #2 advised that you should know what you have and what you use. This mantra is important in setting realistic target inventory levels. Although this may take some time at first, it can save a bundle in the long run, so spend the time. First, know what you have on hand, study usage patterns and then determine the appropriate quantities that should be available at all times. This is your target inventory. Setting target inventory levels determines reorder points, smooths ordering patterns and reduces the cost associated with obsolescence. Setting target inventory levels is a dynamic process and needs to be reviewed often enough to accommodate spikes in procedure volume or new product trends.
5. Search for missing items right away
Ever wonder where that unused stent went after the procedure was completed? Did you even know it was missing? Specialty departments are busy; products get pulled from shelves for possible use, unfortunately, many items that are unused go missing and no one even knows about it. Again back to tip #2, if you know what you have, then you should know if something is missing. Hospitals have discovered items --still in their original packaging-in the soil room ready to be sent to the dumpster. Had they not known what they had, they wouldn't know to look for the missing item. One hospital admitted to losing the equivalent of one stent per month-that's about $2500 a month or $30,000 a year. Establish a tracking system so you always know what you have, it will save your bottom line, and maybe even your bottom!
Learn how one hospital trimmed its costs by proactively controlling inventory levels. Watch the video now.
With these tips, trimming your inventory costs can be as pleasurable as trimming the Christmas tree! Happy Holidays!