Geisinger Ordering Process Acknowledged
The Geisinger Supply Chain Services system was acknowledged by Healthcare Purchasing News as the premier materials management department of the year. In addition, the organization received an award from the Premier healthcare alliance for Supply Chain Innovation.
These accolades acknowledged a program that had been able to reduce unnecessary spending by $30 million over a three year period. The changes in the system further supported the means to recall pharmaceuticals or devices with problems, as well as preventing duplication of stock.
Notably, the healthcare provider is in the midst of significant growth. It provides care for many residents of northern and central Pennsylvania. Some of this growth has further accelerated the need to ensure an efficient supply chain. An additional goal is the reduction of non labor costs.
Some of the key components of the organization’s effort include creating a centralized process to order capital equipment and medical supplies. The organization formed teams to evaluate the supply chain that included members from key departments such as surgery, radiology, and cardiology. The pharmacy also deployed a new system for inventory management.
These programs eliminated additional spending of $10 million each year. For example, rebates from manufacturers saved the system $2 million. Linen costs were decreased by consulting with nursing staff. Other cost savings were reaped secondary to the decreased time required to locate recalled products, which also improves patient safety.
June 30, 2008 Related topics: Supplies, Supply chain/SCM, Standardization, Policies & Procedures, Cost savings, Materials Management