This document summarizes supply chain management practices in the healthcare industry. It discusses that healthcare supply chains involve various stakeholders like producers, purchasers, and providers. It also outlines different modes of integration in healthcare supply chains like integration of processes, information, planning, and markets. Some best practices discussed are use of RFID technology, inventory management, procurement processes, information sharing, and revenue cycle management systems. The conclusion states that while improvements have been made, areas like inventory control, procurement, and information sharing require more focus from managers.
This document provides an overview of supply chain management in the Indian healthcare industry. It finds that supply chain expenses account for 25-30% of total hospital operating costs in India. Private sector hospitals dominate the market, accounting for 70% of the healthcare delivery market share. The document then analyzes and compares the key performance metrics and financials of several major Indian hospital chains, finding that Max Healthcare has the highest growth rate and strongest operating parameters. Finally, it discusses opportunities to improve supply chain management in hospitals through centralized procurement, inventory management, establishing long-term supplier contracts, and demand forecasting to reduce costs and risks of expiration and stock-outs.
The document defines logistics as the management of the flow of goods between the point of origin and the point of consumption to meet requirements. Logistics management plans, implements, and controls the efficient, effective, forward, and reverse flow of goods, services, and information to meet customer needs. The document outlines various sub-areas of logistics for different industries, including manufacturing, merchandizing, transportation, third party logistics, and government. It also lists objectives, activities, and responsibilities of logistics management such as inventory reduction, order processing, materials handling, and traffic management.
Material management Prof.Saurabh S. BhangeSaurabh Bhange
The document discusses material management. It defines material management as planning, organizing, and controlling the flow of materials from initial purchase through operations to distribution. The objectives of material management include minimizing costs, maintaining quality, and efficiently purchasing, receiving, transporting, and storing materials. Material management involves activities like procurement, inventory control, transportation, and disposal. It aims to ensure the right quality and quantity of materials are available at the right time and place for the right cost.
The document outlines the organization and objectives of nursing services. It describes the roles and hierarchy within nursing, including chief nursing officer, nursing superintendent, ward sister, and staff nurse. It also explains key aspects of nursing including the nursing process of assessment, planning, diagnosis, and care plans. The nursing services aim to provide preventative and therapeutic care for patients in a qualified, efficient manner according to WHO and INC guidelines and standards.
This document provides an overview of planning and marketing strategies for a proposed 300-bed corporate hospital. It discusses identifying patient needs, developing new services, satisfying patients, and marketing at different stages of hospital growth. Key aspects of hospital marketing include promoting quality treatment, medical tourism, major surgeries, and using social media. The roles of marketers in healthcare are also examined. Effective marketing techniques for hospitals include demonstrations, public relations, advertisements, media interviews, and using various modes of publicity.
Total quality management in healthcare organisationspoonam chaudhary
This document provides an overview of total quality management (TQM) in healthcare organizations. It discusses that TQM is a customer-centered and employee-driven approach to continuous improvement of processes to ensure high quality products and services. The document traces the history and development of quality control, quality assurance, and TQM in healthcare. It describes the key principles of TQM, including getting processes right the first time, listening to customers and employees, continuous improvement, and building teamwork. The document also outlines several tools that are commonly used for quality improvement in healthcare organizations under a TQM model such as flow charts, histograms, control charts, and cause analysis diagrams.
The document discusses material management in hospitals. It defines material management and explains that it aims to efficiently acquire, store, and distribute materials according to organizational goals. Materials account for a significant portion of hospital expenses, so effective material management can help contain costs. The document outlines various aspects of material management like demand forecasting, procurement, inventory control, and storage. It discusses methods of forecasting demand, different types of inventory analysis, economic order quantity, and key terms related to inventory management. The overall summary is that the document provides an overview of the principles and processes involved in effective material management and inventory control in hospitals.
This document discusses marketing techniques and management systems for hospitals. It covers identifying customer needs, developing programs and services to satisfy customers, and performing SWOT and PEST analyses. Various marketing strategies are presented, including the four Ps of marketing (product, place, price, promotion), addressing variables like patients, physicians, employers and lack of patient knowledge. The importance of marketing and management for hospital revenue generation is emphasized.
The document discusses logistics outsourcing and the differences between third-party logistics (3PL) and fourth-party logistics (4PL). It defines 3PL as outsourcing logistics functions like transportation and warehousing to external providers. 3PL providers range from basic to advanced, offering value-added services. 4PL providers go a step further by integrating the supply chain resources, capabilities, and technologies of multiple organizations. While 3PL focuses on individual functions, 4PL manages the entire supply chain for a client.
The document discusses security systems and services in hospitals. It outlines the need for security to protect patients, staff, equipment and property. It recommends a mixed security approach using both security personnel and electronic systems. A hospital security committee is proposed to oversee the security deployment and make policies to ensure safety for all within the hospital.
Supply chain management is an effective tool for business process improvement so every business student must have a basic knowledge of SCM & process of SCM.
1. A supply chain involves all parties involved in fulfilling a customer request, including suppliers, manufacturers, distributors, and retailers. Materials and products flow between these entities.
2. Supply chain management (SCM) aims to efficiently integrate these entities so that the right products are delivered to the right place at the right time while minimizing costs.
3. Uncertainty is inherent in supply chains and can cause fluctuations in inventory levels and backorders, even if customer demand remains steady. SCM strategies aim to reduce this uncertainty and its negative effects.
Supply chain management involves the flow of goods and information from raw materials to the customer. It includes procurement, production, and distribution. Key drivers are production, inventory, location, transportation, and information. The components are plan, develop, make, deliver, and return. Products, information, and funds flow between customers and suppliers. Supply chain management aims to coordinate activities among organizations to trade off costs, service, time, risk, and other metrics across the chain.
A materials manager is responsible for planning and coordinating the process of procuring materials, products, and services for a company. They work with various departments to develop specifications, locate qualified vendors, negotiate contracts, maintain purchase records, and ensure consistent supply of quality materials. The objectives of a materials manager are to procure raw materials at low cost while maintaining quality and continuous supply, minimizing costs, developing supplier relationships, keeping efficient records, and training staff.
This document provides an overview of medical audit, including:
- Definitions of medical audit and clinical audit
- The history and evolution of audit from the 1850s to modern clinical audit practices
- The need for and benefits of medical audit
- The six stages of the audit process: preparing, selecting criteria, measuring performance, making improvements, sustaining improvements, and re-audit
- Types of clinical audits such as statistical, disease-specific, death, and infection control audits
- Key aspects of implementing a successful audit such as identifying criteria and standards, collecting and analyzing data, and identifying and addressing barriers to change.
Codification is the systematic representation of items using abbreviated codes to identify equipment, materials, tools, and supplies. It provides accurate and logical identification while avoiding long descriptions. Codification systems typically use numbers, letters, colors or symbols to classify items into groups and subgroups. This allows for efficient purchasing, accurate record keeping, and simplifies inventory management. The document discusses different codification methods and standards used in industry.
The document discusses integrated logistics management and related concepts. It begins with definitions of logistics and integrated logistics. Integrated logistics management involves cross-functional teamwork, building channel partnerships, and using third-party logistics. The objectives of integrated logistics management are listed as rapid response, minimum variance, minimum inventory, movement consolidation, and life cycle support. Key factors in an effective logistics system include shippers, suppliers, carriers, warehouse providers, freight forwarders, terminal operators, and government regulators.
The document discusses the roles and responsibilities of nursing services in a hospital. It outlines the organization of nursing which focuses on patient care and education. Nursing services are categorized into nursing care, administration, and education. The roles involve ensuring quality care, staff management, monitoring performance, and maintaining standards. Different nursing approaches and methods like functional, team, and patient care are explained.
This document discusses inventory control and management. It defines inventory control as supervising supply levels to ensure adequate supply without excess. It has the objectives of [1] maintaining stocks at the lowest possible cost levels without disruptions, [2] balancing purchasing/stocking costs and supply, and [3] avoiding stock-outs. Various analysis methods are described for categorizing items based on factors like expenditure, criticality, availability and consumption to prioritize management. Proper ordering, storage, maintenance and information systems are needed to effectively control hospital inventory levels.
Hospital administration & Hospital AdministratorNc Das
This document outlines the key aspects of hospital administration. It discusses how hospital administration has evolved from poor houses to complex medical institutions. An effective hospital administrator must balance internal management with community expectations by maintaining positive relations with staff, patients, and other health organizations. The document then provides details on the administrative setup of Dr. RML Hospital, including the roles and responsibilities of the medical superintendent and other positions. It also describes the important skills, roles, and responsibilities required of a successful modern hospital administrator.
This presentation provides a comprehensive overview of the current pharmaceutical industry. It begins with a look at some of the changes facing the industry and then moves into a discussion on digital technology and its impact on pharmaceutical companies. From there, the deck explores two digital trends, mobile and eDetailing. The presentation wraps up with some examples of pharmaceutical companies their digital presence.
There are two main types of production systems: continuous and intermittent. Continuous systems produce standardized outputs in large volumes and have dedicated machinery. They require unskilled labor and mechanized material handling. Intermittent systems produce a variety of outputs in smaller batches and require changing machine setups. They employ skilled labor and less mechanized material handling. Continuous systems include flow and mass production, while intermittent systems are batch, job order, and project based production.
Glenmark operates manufacturing facilities across India, Europe, Africa, Latin America, and the Middle East. It sources raw materials both through acquiring smaller producers and major suppliers in India. Glenmark employs a logistics and distribution strategy that selects distributors based on market coverage, financial capacity, infrastructure, and customer feedback to efficiently distribute its 300 products globally, including 46 patented brands for international markets.
The pharmaceutical supply chain is complex and highly regulated. It involves multiple players from drug discovery and development to manufacturing and distribution. Ensuring patient safety is the top priority and challenge, as the supply chain is vulnerable to counterfeiting and issues regarding product quality. Emerging technologies around tracking and authentication aim to address these problems. Regulation and compliance add further complexity, as the industry works to balance costs and efficiencies with ethical and safety requirements.
Lean production aims to maximize customer value while minimizing waste. It originated from Toyota and focuses on eliminating sources of waste. Just-in-time (JIT) is a key element of lean production that seeks to provide the right part at the right place at the right time with zero inventory. JIT was developed by Toyota in Japan in the 1970s and has since spread worldwide. Bisleri uses JIT in its production process by reducing stocks and using a kanban signaling system between production line workers.
The document discusses various aspects of production systems including their characteristics, inputs, outputs, controls, product design process, and process planning. It describes production systems as manufacturing subsystems that design, produce, distribute, and service products. They have specialized functions at different levels and need renovation over time to adapt to changes. The key aspects covered are input-output relationships, types of control like feedback and forward control, objectives and importance of product design, steps in the design process, factors affecting process design decisions, types of process designs, and major process decisions around process choice, vertical integration, resource flexibility, customer involvement, and capital intensity.
This document summarizes a study on supply chain practices in the pharmaceutical industry. It finds that the pharmaceutical supply chain is very fragmented, complex, and global. It operates in a competitive environment while also needing to ensure high regulations for patient safety. An effective supply chain can reduce costs and increase efficiency. However, it also faces risks like counterfeiting and needs strong risk management practices. The document outlines Pfizer's successful risk management efforts and FoxMeyer Drug Company's risk management failure which led to bankruptcy. Overall, the pharmaceutical supply chain is highly complex and regulated, with high costs of success or failure.
Pharmacy is the science and practice of preparing and dispensing drugs. The name is derived from the Greek word for drug, "pharmakon". Pharmacy began in Australia with the supply of medicines by military surgeons and traders in the 1820s. The first pharmacy was established in 1825 in Launceston. Formal separation of medicine and pharmacy occurred in 1908 with the Pharmacy Act. Most early medicines were natural compound mixtures until the 1900s when manufactured drugs like aspirin and phenacetin emerged. The development of antibiotics and antipsychotics in the 1940s-50s revolutionized drug treatment. Pharmacy education moved to the University of Tasmania in 1978 where it is now ranked highly.
Pfizer is the world's largest pharmaceutical company by revenue. It has over 103,700 employees worldwide and had $67.42 billion in revenue in 2011. In India, Pfizer has over 3,000 employees and a manufacturing facility in Thane, Maharashtra. The pharmaceutical industry is forecast to have 5-8% annual growth to 2015 despite economic challenges. Companies are focusing on supply chain management and cost cutting to drive efficiency. Effective management of transportation, inventory, expiration dates and recalls is important for pharmaceutical supply chains.
This document discusses logistics and supply chain issues in the pharmaceutical industry. It notes that the pharmaceutical market is growing significantly and R&D spending is over $100 billion annually. Proper supply chain management can yield large cost reductions and improvements in key metrics. Some key issues include maintaining temperature control of perishable drugs, crisis management for epidemics, incentives for reducing inventory, counterfeiting, outdated manufacturing sites, and the complex network design needed to control vast product portfolios globally. Logistics has become increasingly important as it represents a larger portion of total costs, and innovative technologies may help address some of these challenges.
The document provides an overview of operations management. It discusses what operations management is, its key functions like production and operations, and why studying it is important. It also summarizes some of the main areas operations management covers such as process design, quality management, forecasting, and product design.
Production/operations management (POM) involves planning, organizing, and controlling the production process. As part of management, the key functions of POM are to optimize resource utilization, make decisions about production, and ensure goals are aligned with the overall organization's strategy. The POM manager seeks to effectively plan, organize, control, and model human behavior during the conversion of raw materials into finished goods.
The pharmaceutical industry is classified into drug discovery and manufacturing groups. Drug discovery involves the research and development of new drug molecules and takes 3-6 years at a cost of $0.5-1 million. Manufacturing produces active pharmaceutical ingredients, generics, and biologics through production, quality control, and other departments. Leaders in research and development are usually PhDs while manufacturing roles require degrees in fields like chemistry, pharmacy, and biotechnology.
Production and Operations Management- Chapters 1-8vc_santos
This document provides an overview of operations management. It defines operations management as planning, coordinating, and controlling resources to produce products and services. It discusses the differences between manufacturing and service operations. It then covers major historical developments in operations management from the Industrial Revolution to modern concepts like supply chain management and e-commerce. Finally, it discusses operations strategy and how firms can compete based on factors like cost, quality, time, and flexibility.
The document discusses the Indian pharmaceutical industry. It provides an overview of major players, the Indian and global scenarios, future outlook, and areas for boosting competitiveness. The industry has grown significantly over time and India is now a top producer and exporter of generic drugs globally. The outlook remains positive with the market expected to reach $74 billion by 2020 and become one of the top ten markets worldwide. However, further investment in R&D and addressing regulatory issues can help strengthen the industry.
The Indian pharmaceutical industry has grown significantly over the past few decades from a market dominated by foreign companies to becoming a major exporter and the 4th largest producer by volume globally. It meets 95% of domestic medical needs through companies manufacturing generic drugs and drug intermediates. The industry is projected to grow at 8% annually to $34 billion by 2012, higher than global growth, driven by factors like rising incomes, health awareness, and increasing treatment of medical conditions. The government provides various incentives and export promotion initiatives to support the industry's continued growth and ability to capture opportunities in outsourcing and the global market.
The global sales of medicines reached $942 billion in 2011, a 5.1% increase from the previous year. This total is expected to reach $1.5 trillion by 2020 due to population growth and an aging population. However, the pharmaceutical industry faces issues such as losing $148 billion annually from 2012-2018 due to drugs going off patent and rising research and development costs of $800 million to $4 billion to bring a new drug to market. The Indian pharmaceutical industry has grown substantially over the past few decades but faces threats from increasing regulation and low-cost competition from other countries.
This presentation covers the Introduction to Healthcare & different Products, Role of Pharmaceutical in Healthcare, Drug Details, What a drug is made of ?, Classification of drugs, Product Life Cycle of a Drug, Drug Development Phases, Regulatory Framework & various Regulatory Bodies
The healthcare supply chain involves three main stakeholder groups - producers, purchasers, and providers. An integrated healthcare supply chain is characterized by the coordination of operational processes, information flows, planning processes, and intra- and inter-organizational processes across these groups. While supply chain management practices have reduced costs in other industries, their adoption in healthcare has been limited. Barriers include organizational culture, lack of leadership, and power dynamics between stakeholders. Implementing best practices around education, inventory management, procurement, and information sharing could help healthcare supply chains operate more efficiently while maintaining quality of care.
The Healthcare Supply Chain1. Outline and explai.docxoreo10
The Healthcare Supply Chain
1. Outline and explain the concept of a supply chain.
2. How is a healthcare supply chain different from many other types of supply chains?
3. Discuss and give examples of categories of items involved in and functions provided by the healthcare supply chain.
4. Relate discuss and provide an example where the value chain integrates with healthcare supply chain operations and management.
5. Distinguish the functional areas of the value chain in the healthcare supply chain.
6. Relate the processing of cotton into a medics surgical supply item with the functional areas of the healthcare supply chain
7. Evaluate the benefits of improved healthcare supply chain operations and management in terms of a healthcare organization, patient, a community, and from the health industry standpoints.
Chapter 1:
The Healthcare Supply Chain
Learning Objectives:
Outline and explain the concept of a supply chain and supply chain management.
Discuss and give examples of categories involved in the healthcare supply chain.
Explain the concept of the Value Chain.
Distinguish the functional areas of the Value Chain in the healthcare supply chain.
‘Follow the Cotton Ball’ – Relate the processing of cotton into a medical/surgical supply item to the functional areas of the healthcare supply chain.
Consider the benefits of improved healthcare supply chain management.
Introduction
The healthcare supply chain plays a large role in the production of healthcare services.
Providing the right item, at the right time, at the right place and with quality into healthcare providers’ able hands are the focus of the supply chain.
3
Supply Chain Management (SCM)
Supply chain management is the integration of the flows of products, information, services and finances from the point of origin to the final customer.
Supply chain management is an important area of growth for healthcare organizations for several reasons; the most obvious being the cost associated with mismanagement of the supply chain.
The Supply Chain
A supply chain is an interconnected network of people and organizations that are involved in the production of products and services.
Every organization is part of a supply chain, whether they produce a product or a service.
5
Logistics
Logistics management “ is that part of supply chain management that plans, implements, and controls the efficient, effective forward and reverse flow and storage of goods, services and related information between the point of origin and the point of consumption in order to meet customers' requirements."
In the healthcare sector logistics is often referred to by an older name for logistics: materials management.
Materials Management
Material management in healthcare is the procurement , storage, inventory control, quality control and operational management of supplies, pharmaceuticals, equipment and other items used in the delivery of patient care or the management of the pa ...
A Collaborative Product Commerce Approach To Value Based Health Plan PurchasingKate Campbell
This document discusses how collaborative product commerce (CPC) techniques, which are forms of supply chain management (SCM), are being applied to health care purchasing with the goals of controlling costs and improving quality. It describes the health care supply chain and identifies five national health initiatives that use CPC techniques like incentives and disincentives to influence supplier behavior. However, it also notes that CPC approaches face barriers like resistance to change, limitations of information systems, privacy regulations, lack of commitment and issues with sustainability.
Endüstri Mühendisliği - Yöneylem teknikleriyle Sağlık Tedarik Zinciri Modellemesidir. Maalesef dünya bu yöntemleri taşıyacak kadar deterministik değildir. Zaten sonraki aşamada fiili model denemesi planlanmış.
Analysis Of Economic And Business Factors Influencing Disruptive Innovation I...Sheila Sinclair
This document analyzes economic and business factors influencing disruptive innovation in telehealth. It discusses how health economics, technology adoption costs, and system economics impact the adoption of new telehealth technologies. Main factors that influence technology adoption are identified as new technology costs, usability, perceived value, competitive systems, costs of existing systems, and type of users. The document also analyzes different telehealth technology models and their progression from conventional healthcare to remote teleconsultation to individual telehealth engagement.
This document summarizes a study that examined the effect of supply chain management on the quality of health services in Jordanian private hospitals. The study aimed to measure the impact of dimensions of supply chain management (relationship with suppliers, specifications and standards, delivery, after-sales service) on dimensions of health service quality (responsiveness, trust, safety). A questionnaire was distributed to procurement officers at 36 private hospitals in Jordan. The results showed that relationship with suppliers, specifications and standards, and delivery/after-sales service had a significant effect on quality of health services. There were no differences found due to gender, education, age, or experience.
The document discusses the U.S. healthcare provider supply chain from a medical device perspective. It notes that healthcare costs in the U.S. are the highest in the world and are expected to continue rising faster than inflation. The Patient Protection and Affordable Care Act is driving major changes in how entities operate by implementing value-based healthcare. The goals are to improve care and population health while reducing per capita costs. This is causing shifts in how medical device companies, healthcare providers, and payers function and do business.
Whitepaper - Supply Chain and the InternetTodd Tabel
The document discusses the healthcare supply chain, describing its key organizations, processes, and information flows. The organizations include clinical providers, healthcare providers, distributors, manufacturers, GPOs, and e-commerce providers. The processes span selecting products, requisitioning, ordering, manufacturing, transporting, receiving, inventory management, distribution, consumption, payment, charging, and reporting. For the supply chain to function optimally, information must flow seamlessly between these organizations as products move through each process. However, current systems often do not integrate information well across the entire supply chain. The document examines opportunities for e-commerce solutions to help address these issues.
How To Implement A Successful Healthcare Supply Chain Following Covid-19_.pdfAnil
Supply chain management in healthcare is one of the most challenging processes – it has to function across many touch-points while keeping patient safety as its top priority.
Healthcare Reform and 21st Century Healthcare Information Systems.docxbkbk37
The document discusses several initiatives associated with healthcare reform and their implications for 21st century healthcare information systems. It analyzes initiatives like telemedicine, patient portals, and bundled payment techniques. It evaluates the challenges of each initiative, such as high costs and limited resources. It also assesses the impact of the initiatives on leadership, strategic planning, and enterprise systems. Finally, it predicts increasing adoption of major standards and health information management systems over the next five years.
BJC HealthCare and Medtronic won awards for innovative supply chain initiatives in healthcare. BJC partnered with Cardinal Health and Cook Medical to centralize medical device inventory, providing visibility and reducing costs. Medtronic developed a program to manage hospital cath labs end-to-end, creating cost savings and improved outcomes for providers. Both winners demonstrated collaboration across the healthcare value chain can improve efficiency, lower costs and enhance patient care.
Chapter 4 Information Systems to Support Population Health Managem.docxketurahhazelhurst
Chapter 4 Information Systems to Support Population Health Management Learning Objectives To be able to understand the data and information needs of health systems in managing population health effectively under value-based payment models. To be able to discuss key health IT tools and strategies for population health management including EHRs, registries, risk stratification, patient engagement, and outreach, care coordination and management, analytics, health information exchange, and telemedicine and telehealth. To be able to discuss the application and use of data analytics to monitor, predict, and improve performance. The enactment of the Affordable Care Act (ACA) brought about sweeping legislation intended to reduce the numbers of uninsured and make health care accessible to all Americans. It also ushered in an era in which changing reimbursement and care delivery models are driving providers from the current fragmented system focused on volume-based services to an outcomes orientation. As a result, the health care system now taking shape is one in which value-based payment models financially reward patient-centered, coordinated, accountable care. Against this backdrop, providers' increasing use of evidence-based medicine and growing capabilities in managing volumes of clinical evidence through sophisticated health IT systems will mean that treatments can be tailored for the individual and interventions can be made earlier to keep patients well. Furthermore, patient engagement is fast becoming a critical component in the care process, particularly in the area of population health management (PHM). Health care providers' interest in improving population health appears to be increasing because of the sudden ubiquity of the phrase, because many are participating in accountable care organizations (ACOs), and because even hospitals not participating in an ACO increasingly have incentives to reduce their number of potentially unavoidable admissions, readmissions, and emergency department visits (Casalino, Erb, Joshi, & Shortell, 2015). In this chapter we'll not only seek a common understanding of PHM but also explore how the advent of shared accountability financial arrangements between providers and purchasers of care has created significant focus on PHM. We'll also review the core processes associated with accountable care and examine the strategic IT investments and data management capabilities required to support population health management and enable a successful transition from volume-based to value-based care. PHM: Key to Success Although the ACO model is still new and evolving, approximately 750 ACOs are in operation today, covering some 23.5 million lives under Medicare, Medicaid, and private insurers. Although not all ACOs have demonstrated success in delivering better health outcomes at a lower cost, many have achieved promising results (Houston & McGinnis, 2016). As such, significant ACO growth is expected. In fact, it is predicte ...
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Part IV Best Practices in Healthcare Analytics Across the Ecosystem
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17 Overview of Healthcare Analytics Best Practices Across the Ecosystem
Dwight McNeill
Analytics in healthcare is old and new. Science has been a strong underpinning of healthcare in the research devoted to the discovery of causes and
treatments of disease. However, delivering this knowledge from the bench to the bedside to optimize the care of every patient has been an ongoing
challenge. Although treating sickness, that is, the interaction between a patient and her caregivers, is the raison d’être of healthcare, the industry is
more complex than that. The American way of healthcare requires large doses of payment, finance, regulation, research and development, and
administrative and business supports. Healthcare is a huge part of the U.S. economy, accounting for 18% of GDP at a spending rate of $8,500 for every
man, woman, and child.1 (http://content.thuzelearning.com/books/McNeill.2947.17.1/sections/ch17#ch17end01) And it is big business. Annual hospital expenses are
approaching $1 trillion, and physician services are more than $0.5 trillion. Both of these categories of providers amount to more than 50% of spending.
The next highest spending area is for prescription drugs, which amounts to 10% of spending.
Healthcare is both an informational and a personal business. It is personal because it deals with people, and communications and relationship skills
are fundamental to making change happen. It is informational in that it is about discovery, measurement, improvement, and running a business.
Analytics is the high octane fuel to feed the thirsty information engines. It holds the promise to improve people’s lives, increase revenues and reduce
costs, and to change the very nature of what healthcare is and what it can be.
Part IV (http://content.thuzelearning.com/books/McNeill.2947.17.1/sections/part04#part04) is on best practices and includes eight case studies of leading
organizations in healthcare analytics. These are bellwether organizations and represent the best of the art and science of analytics as of 2012. The case
studies are inclusive of the settings where analytics is practiced including providers, payers, and a life sciences company. It includes both the public
and private sectors.
The chapters in part IV (http://content.thuzelearning.com/books/McNeill.2947.17.1/sections/part04#part04) address the “whats” and “hows” of analytics
to support organizational strategies and goals. The whats include the domains of the content of analytics, including clinical, business, and marketing
purposes. The hows include the function.
This paper explores the emerging role of mobile operators in eHealth: the GSMA presents opportunities for mobile operators to play a significant role in integrating systems, organisations and people across the health system, effectively integrating mobile into the health patient pathway.
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healthcaredeliverysystemchanges.docx
Summary
1175 Words
Running Head: HEALTHCARE DELIVERY SYSTEM
THE U.S. HEALTHCARE DELIVERY SYSTEM 2
Healthcare Delivery System
Patience Nehikhare
Grand Canyon University
December 22, 2019
The U.S. Healthcare Delivery System
There is a rapid change within the healthcare system in the United States. The
changes that have occurred were made for the purpose of improving quality,
rewarding value and not volume, as well as integrating and coordinating the care
(Seshamani & Sen, 2018). As such, this paper will seek to put into consideration
current healthcare laws within the U.S. and the nurse’s role within this continuously
changing environment; the manner in which quality measures and pay for performance
affect patient outcomes. Furthermore, the emerging trends in the healthcare system,
professional nursing leadership, and management roles will be discussed.
The Emerging Health Care Laws and their Effects on Nursing Practice
One of the most crucial healthcare legislat ions that has been enacted in the United
States since the inception of Medicare and Medicaid in 1965 is the Affordable Care
Act (Obama, 2016). The ACA was enacted in 2010. Issues relat ing to affordability,
ease of access, and the care quality within the United States healthcare system were
some of the driving factors that formed the list of many t ime spanning challenges
that compiled the init iat ion of this legislat ion. Between 2010 to 2015 there was a
decrease in the number of uninsured cit izens in the U.S. by forty three percent as an
effect of the Affordable Care Act.
The payment systems in healthcare are undergoing some changes and the access to
care has also improved (Obama, 2016). The ACA promotes preventive healthcare
models that put emphasis on quality care, primary care, and the funding of community
health init iat ives (Lathrop and Hodnicki, 2014). Millions of previously uninsured cit izens
are also provided insurance coverage and also some healthcare areas that need
reforms so as to meet the needs of patients’ improved healthcare outcomes are
highly focused by the act. The act has an effect on nursing practice in several ways.
The first effect is that the act creates a high demand for healthcare professionals
that are sufficiently trained to provide healthcare services that are up to the acts’
standards. The second effect is that Advanced Practice Registered Nurses (APRNs)
who hold the Doctor of Nursing Practice (DNP) are required to be prepared so that
they can meet the increased needs through the provision of leadership skills in
community health centers. These professionals are also held accountable for direct ing
and advocating for future init iates as well as ser.
A Study of Healthcare Quality Measures across Countries to Define an Approach...iosrjce
This document summarizes a study that examines healthcare quality measures across different countries to define an approach for improving healthcare quality. It discusses factors such as increasing population growth and changing disease patterns that pose challenges for healthcare systems. It also reviews healthcare quality definitions, metrics like structure, process and outcomes, and approaches some countries use to enhance quality, including developing quality strategies and addressing various quality domains.
Use of information_and_communication_tecanisur_rehman
This document describes a study protocol to investigate how information and communication technologies (ICT) can support innovative work practices in healthcare. The study will use a multi-method approach to measure the current impact of ICT on work practices and develop new models of ICT use to support work practice innovations. The research will focus on three large commercial ICT systems being adopted in Australia and other countries. The goal is to provide evidence on how ICT can support new models of care delivery across multiple healthcare organizations and facilitate the spread of innovative work practices.
DHL_LSH_Europe_Whitepaper_MedicalDevices_WebIan Moore
The document discusses the challenges facing the European medical device supply chain. It notes that the industry is facing pressures from the transition to value-based healthcare with more decision makers involved, intensifying cost pressures from payers looking to reduce costs, and stricter regulations. The supply chain must transform to address these challenges by becoming more efficient and tailored to better meet the needs of all decision makers while also reducing costs.
The document discusses opportunities to improve healthcare supply chain management. It notes that supply costs represent up to 40% of hospital expenses. While inventory management has traditionally focused on tracking physical supplies, supply chain management (SCM) aims to optimize the entire process of procuring and delivering supplies from vendors to patients. Capturing the full benefits of SCM requires greater collaboration across groups and more complete data on total product costs. Initial focus areas for hospitals include pricing and contract management, which often provide quick savings through issues like multiple vendors, expired contracts, and price validation.
Computerized Physician Order Entry Systems Market.pdfKumar Satyam
The realm of healthcare has undergone a significant transformation with the advent of digital technologies, and one such innovation making waves is the Computerized Physician Order Entry (CPOE) system. According to the latest report by TechSci Research titled "Computerized Physician Order Entry Systems Market – Global Industry Size, Share, Trends, Competition Forecast & Opportunities, 2028", the Global Computerized Physician Order Entry Systems Market witnessed a valuation of USD 1.65 billion in 2022, with a projected Compound Annual Growth Rate (CAGR) of 6.22% during the forecast period from 2024 to 2028. This comprehensive report provides valuable insights into market dynamics, drivers, trends, and key segments, offering a holistic view for stakeholders and industry participants.
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2. ConQuest, IIM Shillong Consulting Club
Supply Chain Management in Healthcare
Anurag Gupta and Anurag Singh, IIM L
Introduction
The global healthcare industry is one of the world's largest and fastest growing industries,
comprising various sectors: medical equipment and supplies, pharmaceutical, healthcare
services, biotechnology, and alternative medicine sectors. With extreme pricing pressures on
today’s healthcare providers, delivering high-quality medical care while reducing costs is a
top strategic priority. To achieve this objective, healthcare service providers’ efforts have
been focused primarily on eliminating waste in clinical operations. While these are valid and
important ways to reduce healthcare costs, one area that consumes nearly one-third of all
hospital operating budgets often remains overlooked - the healthcare supply chain. When it
comes to expenses, supplies are second only to labor, with millions of products moving along
the supply chain every day through manufacturers, distributors, Group Purchase
Organizations (GPOs) and healthcare providers to patients.
Figure 1: Breakup of annual operating expense used to support healthcare supply chain costs
Sample size = 204; Source: 2009, Nachtman and Pohl
While the adoption of SCM practices has been successful in many sectors, the healthcare
industry has not seen major improvements from these practices (McKone-Sweet et al., 2005).
Today, healthcare managers and industry experts understand that the efficient management of
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3. ConQuest, IIM Shillong Consulting Club
materials can not only reduce operating cost, but increase the quality of care (Schneller et al.,
2006).
Healthcare Supply Chain
The healthcare supply chain involves the flow of many different product types and the
participation of various stakeholders. The main purpose of the healthcare supply chain is to
deliver products in a timely manner in order to fulfill the needs of providers. Based on their
functions, stakeholders in the healthcare supply chain can be divided into three major groups:
producers, purchasers, and providers.
Figure 2: A healthcare supply chain configuration.
Source: Burns, 2002
The role of producers is to manufacture medical products such as surgical supplies, medical
devices and pharmaceuticals. Purchasers include distributors, wholesalers and Group
Purchase Organizations (GPOs). Distributors and wholesalers hold inventory for producers
to facilitate delivery of products. GPOs sign purchasing contracts with producers in order to
achieve economies of scale by aggregating the volume of member providers. Healthcare
providers represent those at the end of the supply chain with the function to serve patients
and include, among others, hospitals, integrated delivery networks (IDNs), physicians,
clinics, nursing homes and pharmacies (Burns, 2002).
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4. ConQuest, IIM Shillong Consulting Club
In the past, a hospital that managed its purchasing costs well could operate efficiently. Today,
the cost of materials management can exceed 45% of a hospital’s operating budget, with
nearly 30-35% attributable to supply costs alone. Recent studies show that a significant
portion of the costs associated with supply chains in the health care sector can be reduced by
implementing effective supply chains.
The application of supply chain management practices in the health care sector not only
relates to physical goods like drugs, pharmaceuticals, medical devices and health aids but
also to the flow of patients (Beier, 1995).
Integrated Supply Chain in Healthcare
In hospitals, integrated supply chain strategy should be consistent to maximize patient care.
The hospital supply chain enables this strategy by ensuring product availability, minimizing
storage space, maximizing patient care space, reducing material handling time and costs for
all medical staff and minimizing inventory. Hospital supply chain has to ensure proper
linkages to clinical systems, revenue cycle, IT and clinical operations. The supply chain often
is viewed as a “back dock” support service that provides the products and services
required by clinical departments. To be fully effective, it must be an integrated link in the
chain of clinical and non-clinical operations (Achryulu et al., 2012).
Health supply chains can be characterized by different modes of integration:
1. Integration and co-ordination of processes
2. Integration and co-ordination of information flows
3. Integration and co-ordination of planning processes.
4. Integration of intra- and inter-organizational processes.
5. Integration of market-approach.
6. Integration of market-development.
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Figure 3: Different stages of supply chain integration
Considering health service providers, supply chain management often refers to the
information, supplies and finances involved with the movement and acquisition of goods and
services from the supplier side to the end user with major emphasis on two aspects, firstly, to
enhance clinical outcomes and secondly to optimize costs. In doing so supply chain
management puts a strong emphasis on the integration of processes. Considering the
healthcare sector, these processes refer to physical products like pharmaceuticals, medical
devices & health aids and processes associated with the flow of patients. In both these cases,
an intensive co-ordination and integration between operational processes might lead to a
better health supply chain performance. Information technology and the deployment of e-
business are closely linked to the co-ordination and integration of operational processes.
Different studies have advocated the importance of information technology in healthcare
sector (Breen and Crawford, 2005; Harland and Caldwell, 2007) and it is not a matter of
surprise that many studies on health care supply chains focus on the role of e-business
technologies across hospital supply chains (Siau et al., 2002). Similar to the co-ordination and
integration of operational processes, information technology in the healthcare sector is related
to both physical products as well as to the flow of patients within and between health service
organizations (Lowell and Celler, 1998). The use of information technology-oriented
applications can be found in the areas of procurement, inventory control and materials
planning. One of the well-known examples of an IT application being used in Health sector is
Electronic Patient Record Systems which has significantly contributed in improving the
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integration and smoothening of processes within and between health service delivery
organizations.
The application of supply chain management practices in healthcare setting is almost by
definition related to organizational aspects like building relationships, allocating authorities
and responsibilities, and organizing interface processes. Different studies have highlighted
the importance of organizational processes when applying supply chain management
practices. Moreover, recent studies reveal that elements like organisational culture, the
absence of strong leadership and mandating authority, as well as power and interest
relationships between stakeholders might severely hinder the integration and co-ordination of
processes along the health care supply chain (McCutcheon and Stuart, 2000). Healthcare
supply chain integration is not only related to the integration and co-ordination of planning
processes but this can also be linked to joint “market development” and offering new “care-
products”. Product co-development is a recognized phenomenon in the field of supply chain
management and within industrial supply chains many joint efforts are made to develop new
products across suppliers, customers and organisational units. Additionally, healthcare
service providers have taken the initiative in different countries to develop new care-products
in close collaboration with each other. Clearly, the above mentioned modes of integration
cannot be considered in isolation. Studies in the field of industrial companies indicate that
organizations often go through several stages of integration, starting with a transparency
stage via a commitment/ coordination stage to a full integrated stage encompassing all the
different modes of integration addressed above (Ballou et al., 2000; van der Vaart and van
Donk, 2008). The ongoing transformation within the health care sector towards greater
integration and more process-oriented health care chains requires a shift in strategy, structure
and control mechanisms. As such, the supply chain orientation within the health care sector
can be regarded as a complex social change process.
Best practices of Healthcare Supply Chain
The best practices of Healthcare Supply Chain are summarized in the following table:
Table 1: Best practices of Healthcare Supply Chain
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Areas Recommended Best Practices
Increase training on SCM principles such as executive support,
Education communication within internal departments, information systems and
measurement systems
Use of cold storage infrastructure for storage and transportation in
Transportation & Logistics
pharmaceutical industry, a major player in healthcare
Use computer software applications for calculating reorder points and
Inventory Management quantities based on demand forecast and safety stock levels
Increase inventory turns to hold less capital at a given time
Increase automated ordering process by using electronic means (EDI,
Internet)
Procurement and Contracting
Comply with GPO contracts to achieve cost savings
Standardize products to reduce number of contracts and transactions
Apply total quality management in hospitals and integrate a smooth
running strategy for their supply chain management. Hospital
Quality Management integration with internal and external customers is realized as
important factors in implementing and empowering the overall
integration process in quality management system in hospitals
Use of Radio Frequency Identification (RFID) technology, which will
continue to make inroads thru track-and-trace solutions, first, as asset
Using RFID technology
and inventory management tools, then gravitating towards personnel,
patient and clinical monitoring devices
Use of RFID technology can also help in keeping the track of such
Recalling drugs
products along the entire chin
Use technology solutions and healthcare consulting services to cover
the full spectrum of a healthcare service provider's revenue cycle
needs from improving patient access processes to reducing claims
Revenue-Cycle Management
denials.
System and Decision Support
Use decision support system to integrate financial, clinical and
System
administrative information and distribute that data enterprise-wide for
timely analysis and decision-making that might positively impact
future performance
Share inventory related information with vendors for better planning.
Information should include: sales data, backorders, and on-hand
Information Sharing & inventory; it should also be accurate and accessible in a timely
Collaboration/Cooperation manner
Involve physicians and other providers in the product selection
process through collaboration and cooperation
Conclusion
This article provides insight about supply chain management practices in the healthcare
sector. Although many health care organizations have recognized the importance of adopting
supply chain management practices, the application of techniques, methods and best practices
originally developed in an industrial setting clearly is often problematic. Improvements have
been made in the healthcare supply chain, primarily in the area of education but areas
such as inventory control, procurement processes, and information sharing require more
attention from supply chain managers. Improvements in all these areas can become
possible with the aid of information technology, along with collaboration and
cooperation of stakeholders. The supply chain management best practices can greatly help
material managers with their continuous improvement efforts, while maintaining quality
of care. Finally, the adoption of new emerging technologies, such as radio frequency
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identification (RFID) and its benefits to the healthcare industry are also explored to identify
innovative alternatives to material management in the healthcare sector.
REFERENCES
Nachtman, H. and Pohl, E.A. (2009), “The State of Healthcare Logistics: Cost and Quality improvement Opportunities,”
Center for innovation in Healthcare Logistics, University of Arkansas.
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