GOC-AHRMM Meeting Minutes May 20, 2014

GOC-AHRMM Meeting Minutes
May 20, 2014
Longaberger Alumni House
1. Welcome & Introductions
2. President Report
a. Applied for 501C6 status, currently pending
b. National AHRMM Conference
i. August 3rd – 6th in Orlando
ii. Members planning to attend: Stephen Imes, John Ballard, Becky Walkinshaw,
Ashley Latta, Jack Moeller
c. GOC-AHRMM Website Update
i. Liz Wagner ([email protected]) has volunteered to manage the
website. Please let her know what information/updates you would like to see.
3. Treasurer Report
a. Balance as of 5/20/14: $2,538.01
4. Secretary Report
a. A new roster for 2014 has been created and is being used to send out group emails. If you
are no longer receiving these emails, please reach out to Ashley
([email protected])
b. Motion to approve March meeting minutes: Becky Walkinshaw and Alan Strickland
5. Event Planning Committee Updates
a. Looking for new locations to host upcoming meetings, please let the committee know if
your organization is can accommodate
b. Continuing to review all meeting topics that were submitted at the March meeting
c. Please send any meeting ideas to Stephen Imes ([email protected]) or
Tommy Higgins ([email protected])
6. Membership Committee Updates
a. Drafting an email to reach out to all Ohio members of National AHRMM
b. Looking for ways to increase membership numbers and participation
7. National AHRMM Updates
a. Cost, Quality, and Outcomes is the focus of the National Chapter
b. CMRP Certification
i. Test can be taken at this year’s National AHRMM meeting
ii. The test has changed –make sure you have up-to-date study materials
c. Visit the AHRMM website or reach out to Becky Walkinshaw
([email protected]) if you are looking for ways to become more involved
8. Break and Networking
9. Steve Thompson and Peter Casady Presentations (see notes below)
Steve Thompson: “Complexities and Limitations of the Health Care Supply Chain”
1. Background:
Steve Thompson joined Cardinal Health in 2006 and currently serves as Vice President of Supply
Chain Innovation. Based in Dublin, Ohio, he is responsible for championing the development of
Lean Six Sigma principled integrated inventory management solutions that connect healthcare
customers to their supply chains.
Thompson began his career with General Motors of Canada Ltd at one of GM’s first Lean
Enterprise facilities. Over a 15 year period, he held positions with GM and Delphi in
Manufacturing, Administration, Supply Chain Management and Communications & Corporate
Affairs. He joined Lear Corporation in 1999 as Materials Manager and attained his Lean Six
Sigma Black Belt and Master Black Belt Certifications. His last role prior to joining Cardinal
was Manager, Lean Manufacturing Systems for Lear’s North American Operations.
Thompson is a career long student of the Toyota Production System and has a bachelor’s degree
from the University of Windsor (Canada).
Steve Thompson
Vice President, Supply Chain Innovation
Lean Six Sigma Master Black Belt
7000 Cardinal Place, Dublin, OH 43017
614.553.4572 dir | 740.602.0265 mobile
2. Learning Objectives:
I will be showing the complexities and limitations of the Health Care Supply Chain and some of
the implications of the ACA and recent UDI laws. I will be discussing how the effects of natural
variation and demand amplification can be managed. I will be showing how the application of
Lean Six Sigma based inventory management solutions can be applied to reduce costs and
simplify work routines in order to support better overall outcomes.
3. Session Notes:
a. Hospitals are facing challenges due to changes in reimbursement – increasing number of
CMS patients, how are you going to make money in the future?
b. Patients should be the only variation in the system
c. Affordable Care Act :
i. Biggest challenge for healthcare organizations is that you can’t continue to
conduct supply chain operations the way you have been
ii. Also looking at charge capture and reimbursement
1. Is it costing us more to do the charge capture than we are being
reimbursed?
2. Reimbursement focus is moving away from inputs and starting to focus
on outputs which has never been a focus in the past
d. UDI
i. Should be similar to buying a car; if you buy a new or used car you will receive a
recall notice. Hospitals are 30 years behind industry in this aspect.
e.
f.
g.
h.
i.
j.
k.
ii. Hospitals should not accept non-standardized bar codes as healthcare providers
drive GS1 standards
55% of total hospital cost is labor and around 30% is “stuff” (supplies)
Correlation between patient outcomes and time at the bedside - How do you make this
happen? Reduce all the other tasks that nursing and other staff are doing
i. Nurses spend around 25% of their time conducting supply chain transactions, i.e.
checking out toilet paper and charging it to a patient
A 350 bed hospital typically has 30,000-50,000 individual stocking locations
i. 3-6% of annual spend is in expired product
Inventory Management
i. Par optimization - “Great for a day, but starts to vary over time”
1. Departments are always going to have the max in their bins
a. “First in, first out” has turned into “first in, still here”
ii. Primary sources of variation
1. Demographics
2. Census
3. Professional practice (includes disease states and professional practice –
based on census)
4. Seasonality – this is normal overtime. Seeing a trend in patients
presenting for surgeries/healthcare at the end of the quarter
iii. Emotional stocking strategies – a lot of disruption & very unstable!
Six Sigma and LEAN
i. LEAN principles
1. Kanban – “signal lamp”
a. A check is an example of a Kanban as it is a signal to do
something
i. Includes a date, signature, account number, to field,
quantity, and authorization
b. Numerous types of Kanbans
i. Two-bin Kanban (based on averages)
1. Need to understand our lead times, never know
because it is never the same, always have a
buffer (safety stock)
2. Need to learn how to manage for variation
ii. Pick and Go
1. Designing a lean process/automated process
2. Of the 30,00 – 50,000 locations, here are the
100 we need to review
3. 40% reduction in management labor (paying
people to do materials management)
4. 80% increase in nurse time, nearly an hour a day
Take control of OR spend
i. Moving to a rep-less model, how do you manage this?
Radio Frequency Identification (RFID)
l.
i. WaveMark has been acquired by Cardinal Health
ii. Area of concern: the most expensive and life savings items are coming from
trunk stock
1. This is an expensive method of distribution
a. Bought as consigned items, paying way too much for this. The
reason you pay more – paying for everything that was stolen or
became expired/obsolete
b. UDI allows you to see each item all the way through an
organization
Bull-Whip Effect: Snap a whip and it gets crazier as it goes (Demand Amplification)
i. Logical unit of measure takes a lot of variation out of the supply chain system
ii. There is more consistency when using a logical unit of measure
iii. Have to look at your cost curve and compare it to the standard distribution
iv. Supply chain doesn’t start at the loading dock
Peter Casady: “The UDI Rule: Are You Ready?”
1. Background:
Mr. Casady brings over 25 years of experience working in the medical device field. Champion
Medical Technologies, the company he founded in 2005, has helped hundreds of hospitals
nationwide improve inventory management and meet Regulatory Compliance. Champion was
awarded a prestigious Chicago Innovation Award for their innovation in patient safety. For the
past three years, Mr. Casady has been dedicated to educating healthcare providers on the
importance and impact of the UDI Rule.
Peter I. Casady - CEO & Co-Founder
CHAMPION MEDICAL TECHNOLOGIES
765 Ela Road - Suite 200
Lake Zurich, IL 60047
Toll Free: 866-803-3720
Mobile: 224-578-2305
www.ChampionMT.com
Jason Rolfe
Regional Sales Manager
c: 302-981-6284
e: [email protected]
www.championMT.com
2. Learning Objectives:
This presentation will provide information regarding the following:
• What is the UDI rule and how does UDI specifically benefit hospitals
• How will UDI reduce cost for healthcare?
• How will UDI improve patient safety and recall management?
• Learn how UDITracker® helps hospitals achieve UDI benefits while bridging the
gap between MMIS and HER
The goals of this training session are for participants to learn how to:
• Meet the objectives of the UDI Rule
• Automate the recall process
• Improve quality assurance for Rep delivered inventory
• Maximize device usage data to make smarter business decisions
• Link the supply chain to patient care data to eliminate waste
• Utilize RFID technology to protect high value inventory
3. See slides for session notes