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Lean supply chain demand flow project results


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Lean supply chain demand flow project results

  1. 1. Centralized Supply Chain Operation (Lean Supply/Demand Flow Program) Results/Impact: Impact on Mercy Hospital – Chicago, IL: Implementation Process Specific Improvements Key Tools & People Transformed Mercy Hospital’s supply chain operation into a competitive advantageby buildingvisually managed kanban/distribution systemthat is focused on Total Cost of Ownership and waste elimination.  Objective One: Save Critical Resources:Time and Money!  Objective Two: Remove silosand develop a unified data driven supply chain operation  Objective Three: Introduce and sustain standard work and lean processes that drivescontinuousimprovement  Reduce medical supply expense  Clinical end-users are completely removed from the supplies management business  Rapid 5 S (clean and organized)  Predictable/visual operation  High satisfaction from clinicians  Lean driven concept 1. Clinical hours spentin supply chain reduced by 28,000 hours a year 2. 30% less storagespacerequired on nursing units 3. New system supports all areas of hospital (notjustimpatient) with less resources 4. 97% overall fill-rate(from 82%) for entire hospital 5. Annual medical supply expense reduced by ~ $1 million 6. Warehousespacereduced by 50% 7. 33% Supply Chain staff efficiency (3.5 FTE savings) 8. Removed risk for replenishment errors by replacinga manual par cartto visual automated system 9. Increase instaff satisfaction –91% overall satisfactionrating  Item Master Readiness  House wide program introduction  5S work area  Data review/forecast  Mockup event with clinical participants  Installation  Training  Sustain (Metrics/Dashboard, Standard Work, and continued leadership support  Neat and orderly supply room  Concisereorder processes (no “eyeballing”supply quantities)  Eliminated excess and expired supplies fromall work areas  Unified supply chain driven by standard work  Significantreduction in time, space,cost, and other resources  BlueBin Inc.  Clinical Staff  Supply Chain Engagement Leader  Demand Flow Tech  Demand Flow Dashboard  Various Kanban Bins and Racks . 2525 South Michigan Avenue, Chicago, IL 60616-2477 Contact: Quincy Stanley ( PH: 312-567-2766 The Program: .