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Worth Repeating PEOPLE & OPINIONS

“It is imperative as a supply chain profes- sional that you disburse your inventory. Keeping all your medications and life- saving equipment in one location could prove to be a major problem. Should something happen to the on-site storage or distribution location, the well-being of individuals who depend upon those medications could be in jeopardy. This is why it is important to consider multiple distribution centers and diversify the risk.“ Dave Zamsky, Vice President, UPS Capital Marketing

“The biggest reason an electronic moni- toring system technology is necessary is that it allows for measurement and accountability. To improve hand hygiene, we need to give hospitals the tools to measure it and the clinical educational resources to interpret the data. One solu- tion does not fit all hospitals.” Jeff Hall, Compliance Program Director, North America, GOJO Industries

“The healthcare industry has moved. What took 10 years in the retail industry to achieve with standards adoption is taking only a few years in healthcare. The healthcare industry set clear goals and utilized lessons learned from other industries, which helped healthcare to accomplish the results to date.” Michael Pheney, Vice President, Healthcare, GS1 US

“Purchasing new surgical instrumentation is a growing percentage of any hospital’s budget. When you add on the ongoing costs of maintenance and repair the cost becomes even more significant. With the changing healthcare environment and the drive to reduce costs hospitals are looking for ways to reduce capital expenditure without adding risk to the patient.” Rachel Pocock, Marketing Manager, Synergy Health

“There can be little room or time for improvisation when it comes to missing, incorrect or improperly cleaned instru- ments at the bedside during a procedure. In most cases, the patient is placed in various states of analgesia, hence the urgency for completing the procedure as quickly as possible. When SPD is unable to provide dependable, reliable product to the clinician at the bedside, then the patient may suffer.” Richard Schule, MBA, BS, FAST, CST, FCS,

CRCST, CHMMC, CIS, CHL, AGTS, Director of Clinical Education for STERIS Corp.


Engaging 2014 HSRC-ASU Health care supply chain top trends

he US health care delivery system is experiencing an unprecedented rate of change. New financial models, characterized by pay for performance, bundled payments and co-management bring forth important opportunity for knowledge of product impact on clinical performance and for product-related sav- ings in the continuum of care. As improved product management and synchronization of products across service lines and settings of care become the standard for excellence in supply chain management, many of the Health Sector Supply Chain Research Con- sortium (HSRC-ASU) earlier-year trends are being accelerated in response.


I. Organizational strategy Economic & clinical value of supply chain management : Supply chain manage- ment plays an important role in meeting organizational mission, achieving clinical value, innovation, financial viability, cost efficiency, service line effectiveness and strategic advantage. Necessary is strategy for both excellence in business funda- mentals and optimal consideration of the product and its contribution to clinical quality, outcomes and value. Critical to support this is:

• An “episode of care” perspective by supply chain leadership

• Technologies that provide data, transpar- ency and support metrics in sourcing, contracting, utilization management, risk management and clinical outcomes from product use

• Service and support from external supply chain stakeholders that validate the integra- tion of economic and clinical value Supply chain and organizational integra-

tion: Pressures on health care organizations has led to consolidation through mergers, ac- quisitions and other forms of strategic align- ment. Business efficiencies, financial returns and support of clinical quality improvement from consolidation of supply chains have not been well demonstrated. Necessary for advancement is: • Management of the strategic fit between governance, infrastructure, culture, in- formation technology and purchasing strategies

• Involvement of supply chain leadership in senior level decision-making to assure that the evolving organizational design, technol- ogy standardization and metrics can meet the goals of integration

• Executive articulation of the value played by supply chain in meeting organizational

Figure 1: Drivers of Health Care Supply Chain Trends


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