AHRMM10 at Denver

Hey there everyone!


Summer is quickly approaching and it’s time to start thinking about our upcoming AHRMM conference in Denver Aug 1-4, 2010.

There is still time to register at http://www.ahrmm.org/ahrmm_app/conference/annualconf10/index.jsp

If you haven’t been to Denver before, you’re going to have a blast – Denver is one my favorite cities.

This will be my second AHRMM conference, and I look forward to seeing everyone this year. I will again be sharing my experiences “from the ground” in the AHRMM blog, hopefully with a more seasoned perspective.

After reviewing the brochure, I see the educational tracks will be very informative. Another great thing about AHRMM is learning about the current trends, issues, and best practices from healthcare supply chain colleagues around the country.

I encourage everyone to take advantage of the great networking opportunity and learn from folks from different areas of the supply chain. I personally hope to brush up on the latest in spend analytics, and maybe learn about the impacts of healthcare reform.

Until next time!

Danny

Academic Webinar: Hospital Supply Chain Management in the Future Healthcare Landscape

Wow – what a daunting task we all have ahead of us – to make sure we better connect all of the stakeholders in the healthcare supply chain to ensure better patient care and eliminate inefficiencies in the system.

Of course this is much easier said than done, but Ken Thomas highlights some great points about looking more globally and prospectively at future healthcare trends. Efficiency should be the goal of every part of the supply chain – from patients to providers to payers. Going forward, a successful healthcare organization will be judged by its performance in supply chain management. While we have various metrics today to rate hospitals, the dynamic nature of the industry will demand much stronger emphasis on efficiency in the supply chain.

At the end of the day, supply chain needs to balance patient care with the business objectives of the organization. I think many of us who have worked with Value Analysis in some capacity try to strike this balance every day. For example, when we try evaluate a safe, efficable product for patient use, we try to negotiate the lowest cost possible with our supply partners.

Ken notes that supply chain performance can actually impact patient care such as timeliness of diagnosis, delivery of therapy, and reduction of secondary effects. He believes that decreasing costs and improving efficiency will result in higher volume in patient care, and thus increasing revenue for an HCO.

I think that depends on the type of hospital and whether it is non-profit or for-profit.
We should have a collaborative patient-centric supply chain that addresses the clinical and non-clinical needs of all stakeholders.

Click here to read more about upcoming Academic Webinars or to order a copy of the Hospital Supply Chain Management in the Future Healthcare Landscape Academic Webinar on CD-ROM.

Academic Webinar: Physician Preference Item Management

I’m sure many of us cringe when we think about physician preference item management. After all, it is one of the toughest areas to focus on in healthcare supply chain.


Natalia Wilson offered a great perspective in this webinar because she has been involved in PPIM research, and is also a practicing clinician.

I could relate to this topic because I am currently working with a Teaching Hospital in Dallas, TX on PPIM in Orthopedics. We have decided to pursue a capitated pricing strategy for total hip implants. We are currently a sole-source, which doesn’t offer much leverage with price negotiations. After meeting with some of the physicians and VP Surgical Services, we have been given permission to “crack the door open” to achieve better pricing. While we realize the docs are not going to switch product, they will at least trial some competitive products to put pressure on our sole-source vendor to provide more savings.


We have followed much of Natalia’s suggested strategy of engaging our internal and external stakeholders, and have been fortunate to receive buy-in from our physicians. Many of you work with well-renowned physicians and do not have the luxury of strong engagement. That is why it is important to understand and support what brings value to your docs.


Natalia also mentioned one of the difficulties of PPIM is access to good data. I cannot stress enough the importance of good data. If nothing else, a physician is more likely to evaluate reports or statistics if they are backed up by supporting information. There are some good tools that can provide dashboards or benchmarking studies such as ECRI, MD Buyline, SpendLINK (UHC) or Spend Compass (Advisory Board).


Looking at the broader view of a PPIM strategy, however, Natalia summarized the evaluation of the following areas:
1) Management within Supply Chain
2) Role of Internal & External Stakeholders
3) Physician Engagement Strategies
4) Education and Communication


While I won’t go into any more detail of each of these, I did want to stress that Executive Support is crucial to Physician Preference Item Management. With the current economic malaise, HCO’s are looking at high cost areas in the supply chain, which may provide opportunities in PPIM that didn’t exist before.

Click here to read more about upcoming Academic Webinars or to order a copy of the Physician Preference Item Management Academic Webinar on CD-ROM.

Academic Webinar: Fundamental Shifts in the US Healthcare System

While most of us are probably focusing on our own functional roles within our organizations, it is easy to forget the big picture issues facing the healthcare supply chain.

Given the complexity of healthcare and the current political climate, I have personally started paying attention to issues and trends that may affect my company and part of the supply chain. I work for a GPO and they are again facing scrutiny from the Senate Subcommittee for supposed anti-competitive business practices. Of course I think any company or sector of healthcare is an easy target if they are large or profitable.

I thought Dr. Singh did a great job of discussing the major shifts (i.e. Demographics, technology changes, physician trends, etc.) that will be evolving over the next several years. One example he discussed was a shifting disease pattern and the continuously increasing cost of treatment. He suggested a shift from acute care to chronic care, which will put even greater strain in the supply chain in the coming years.

Another example that Dr. Singh referenced was a shifting technology focus. “Health care has not witnessed technology cost reduction”. I do not think anyone can necessarily make that generalization. Since I’ve been working with a large hospital in Dallas the past 2 years, I have seen them move from manual, paper-based ordering to utilizing EDI and also upgrading their MMIS system to Lawson. This is a perfect example of how technology has resulted in operational cost reduction.

One of the my biggest takeaways from Dr. Singh’s presentation is that we should all have a 10-15 year view instead of a 2-3 year view, keeping in mind all of the different shifts. We tend to be reactive in our roles instead of proactive. It is amazing what we can learn from someone from the outside looking in.

Click here to read more about upcoming Academic Webinars or to order a copy of the Fundamental Shifts in the US Healthcare System Academic Webinar on CD-ROM.

Academic Webinar - Supply Chains and the Surgical Suite: Measuring the Impact of Best Practices on Financial and Operational Performance

Dr. Vicki Smith-Daniels and Dr. Dwight Smith-Daniels have conducted extensive research into improving the financial and operational performance in the OR suite. One of the main reasons for their research is the lack of empirical evidence in the healthcare supply chain industry. To broaden the scope of their research, they looked at the manufacturing industry for evidence of best practices. Manufacturing uses an evidence-based approach and incorporates practices such as lean manufacturing or Six Sigma.


Measuring performance and quantifying the results is difficult - especially since many healthcare organizations rely on distributors, GPOs and/or consultants to provide tools and resources for performance measurement. In addition, best practices tend to be limited to one hospital provider or system, rather than a group of providers.

The research has shown that some of the important elements of high performance supply chains in the surgical suite include physician engagement, value analysis, analytics, and IS Integration. Clinical collaboration is essential in best practices because the stakeholders include end-users, physicians, as well as supply chain staff.

Through one of the online polls conducted, we learn that two of the greatest factors in surgical suite improvement include inventory monitoring and custom procedure packs. Since the results were taken across several hospital organizations, it allows us to start building evidence toward a best practice.

The presenters stressed that practices over time build capabilities which breed better performance. Successful supply chain strategies will move from short-term focus to long-term sustainability.

Click here to read more about upcoming Academic Webinars or to order a copy of the Supply Chains and the Surgical Suite: Measuring the Impact of Best Practices on Financial and Operational Performance Academic Webinar on CD-ROM.

AHRMM09 - Wednesday, July 22, 2009

As I prepare for my trip home, I wanted to say what a great conference this was for me as a first-time attendee. One of the last sessions I attended was 'More Best Practices in Materials Management', which really outlined some of the high points for a successful supply chain strategy.

Since this was my first time, I could not gauge what the attendance level was compared to previous years. I am guessing that there may have been a few less attendees after conversations with my peers. I think one of the successes of AHRMM is that the networking and education offered is easily applied into our daily jobs, which really makes the entire span of healthcare a better place. I am glad that the things I've learned and continue to learn in this setting allow me to have a direct impact at my job.

I wanted to say thanks to all of the sponsors, exhibitors, facilitators, and other attendees - everyone working together made this experience worthy of our time. And a special thanks to Tracey Heusner, who let me gab continuously the last few days!

I wish everyone good luck and safe travels - see you next year in Denver!

AHRMM09 - Tuesday, July 21, 2009

After a full day of supplier exhibit, I noticed the traffic was down a bit as I was working the UHC booth over the lunch hour. I think most folks probably got around to meeting with their suppliers on Monday. I did like the setup for the supplier exhibition because I got to exchange some business cards, and then talk to many reps either at the hotel bar or at the Buccaneer Bash.

Speaking of the Bash, I was happy to see a large turnout. I really didn’t know what to expect since this was my first conference. I was not able to stay for long as my group had dinner reservations, but everyone seemed to be having a good time.

I caught a couple of the morning sessions at the convention center, but took a break in the afternoon to exercise, and catch up on email. I think most of us can relate to full mailbox!
Only half a day left on Wednesday and then it’s back to the real world!

AHRMM09 - Monday, July 20, 2009

Wow- I hope everyone had as an eventful day as myself. After finally arriving to the hotel at noon, I quickly proceeded to check-in and attend the supplier exhibition.

It was great catching up with some old colleagues and supply partners. The exhibition was impressive and it was a great mix of providers, suppliers, and GPOs. Lunch was also appreciated after rushing from the airport.

While I missed the opening speaker, the feedback was that Ross Shafer did an outstanding job. I did attend some of the educational sessions and they were both standing-room only. This tells me that the topics are very relevant to what's going on in supply chain.

Tonight several of the exhibitors will be hosting receptions and dinners, which I hope you can attend. (I will be with my UHC colleagues and some our members)

So far it looks like this year's AHRMM is off to a great start-looking forward to the days ahead!

AHRMM09 - Sunday, July 19, 2009

Hello AHRMM attendees,

Welcome to Tampa! While I am actually still in transit, I hope everyone has safe travels. If you are a first time attendee, be sure and attend the New Member Orientation, which starts at 5pm today.

The conference will provide great opportunities for networking, education, and catching up on the latest in healthcare supply chain.

I hope to connect with as many folks as possible. Feel free to contact me claus@uhc.edu.

Introducing Danny Claus

Greetings fellow AHRMM09 attendees!

I wanted to first introduce myself — my name is Danny Claus, and I am from Dallas, TX. I currently work for University HealthSystem Consortium (UHC) in a consultative role onsite at Parkland Hospital. My primary job goal is to identify and help implement non-salary cost reduction.

I’ve been working in healthcare supply chain for almost 9 years in various capacities between Novation, VHA, and now UHC. I received my CMRP certification in 2008.

I am looking forward to attending my first AHRMM conference this year and hope to meet other supply chain professionals, as well as catch up with old friends & coworkers. I will be writing about my experiences on the AHRMM blog so please check back.

In addition to networking, I am eager to attend several of the educational tracks that AHRMM offers to expand my supply chain background. I have included AHRMM in my professional development plan, and would also like to get involved with my local chapter.

I hope everyone enjoys a great conference – see you in sunny Florida!