The document summarizes Memorial Health University Medical Center's asset management initiative. It discusses implementing a Real-Time Location System (RTLS) and Enterprise Asset Management System (EAMS) to better track medical equipment and integrate financial data. This improved visibility and reduced rental costs and maintenance expenses. For example, mobile asset management expenses decreased 39% year-to-date in August 2010 compared to the previous year. Continuing objectives include further analyzing data to guide leadership, determining if RTLS can track patients, and developing new return-on-investment models to impact the healthcare asset management industry.

1. ASSET MANAGEMENT INITIATIVE
Memorial Health University
Medical Center
“More of What Matters”
AL HARDY
Capital Purchasing Agent for Asset Management

2. Overview
• Project History
• Results
• RTLS

4. Project History
• Because where matters in more than just
RTLS… We needed a better way to
understand the condition of our assets and
how to minimize their effect on our cash
flow
– Create potential to drive policy changes and
business practice improvements by:
• Integrating financial information from infrastructure,
Biomedical, Moveable Assets, Rentals, and Capital
Replacements
• Standardizing and speeding up processes
• Making accountability more apparent

5. Project History
• 2 initiatives surfaced that would help us gain knowledge
of the status of our Assets
– Real-Time Location System, RTLS
– Enterprise Asset Management, EAMS
• RTLS
– Develop in-house Mobile Asset Program
– Reduce Rental Cost
– Capital Planning
• EAMS
– Maintenance data – Biomed and Facilities on one platform
– Maintenance tech evaluation of equipment
– Capital Planning

6. Project History: Before
Biomed UHS
Life Cycle and Ownership Cost
Rental cost
Patient Safety
Asset Location
Asset Availability
PM Completion
Asset Assessment
Similar communication with the
same nursing staff
Life Cycle and Ownership Cost
Rental cost
Patient Safety
Asset Location
Asset Availability
PM Completion
Asset Assessment
Similar communication with the
same nursing staff
HECS AIMS
No integration… no visibility… conflicting information

7. Project History: After
Biomed Mobile Assets
Life Cycle and Ownership Cost
Rental cost
Patient Safety
Asset Location
Asset Availability
PM Completion
Asset Assessment
Similar communication with the
same nursing staff
Integration, Visibility, Conflicts Identified and Corrected

8. Results: Capital Planning
Quick Assessment, Reports, and Analysis
Asset
Number
Model
Number
Manuf. Age Useful Life Total Maintenance
Cost from Installation
to Date
Original
Cost
Maintenance
Cost >75% of
Original
Acquisition
735021 Phoenix Gambro 7 5 $ 12,281 $ 14,000 88%
735023 Phoenix Gambro 7 5 $ 13,924 $ 14,000 99%
735024 Phoenix Gambro 7 5 $ 14,026 $ 14,000 100%
735025 Phoenix Gambro 7 5 $ 12,285 $ 14,000 88%
735027 Phoenix Gambro 7 5 $ 11,052 $ 14,000 79%

9. Results: RTLS
NOTES:
Hospital ended contract with outside Asset Mgt. Provider in late 2009.
YTD expense includes additional in-house staff to manage mobile assets
YTD expense includes RadarFind monthly service fee
YTD reflects reduced rental costs
August Year-to-Date: 39% Reduction in Total Mobile Asset Mgt. Expenses
June 2007
$555,584 August 2007
$730,646
June 2009
$632,924
August 2009
$846,058
June 2010
$407,258
August 2010
$513,252
0
200000
400000
600000
800000
1000000
1200000
1400000
Jan Feb Mar Apr May June Jul Aug Sep Oct Nov Dec
Cummulative
Spend
Month
Outsourced vs. In-House
Total Mobile Assets Cost
2007 2008 2009 2010

10. Results: Rental Costs 2010

11. Results: Rental Costs 2010
• For September, we expect to see an increase
– We transitioned to a new vendor
– Some equipment items needed to be maintained from
both the outgoing and incoming vendors
• For October, we expect to see a decrease
– Transition should be complete
– New model will allow vendor to let us run a
fee-per-use program for tagged items–
a more cost-effective approach

12. Continuing Objectives
• Fully exploit the data and further develop
expertise to carry out Leadership’s Goals
• Analyze, review, and indicate to leadership
where the data and practical application
leads
• Determine whether RadarFind will provide
the performance required for
Patient Tracking

13. Continuing Objectives
Operational Relationship
Biomed Mobile
AssetsLife Cycle and Ownership
Cost
Rental cost
Patient Safety
Asset Location
PM Completion
Asset Assessment
Similar communication with
the same nursing staff
Maximizing the logistical and material relationship of these 2 departments is the key to Asset
Visibility and capturing the spectrum of cost, use, and replacement of capital equipment.

14. Continuing Objectives
 Develop new ROI models
• EXAMPLE:
Invest $5,200 to tag 79 PulseOx units over 3 yrs.
Anticipated Results: $109,000 in equip. not lost
(40% of PulseOx units lost/missing since Aug. ‘05)
 Work closely with software providers
• Possible for Memorial to develop program that could
impact the business model of typical asset
management providers. We must be aware of
changes coming from healthcare asset mgt. industry

15. Summary
• Project History
• Result
• Continuing Objectives

16. Questions ?
Quote of the Day: Invisible? Intangible? Insensible? Regardless, Quantify, Harness, Manage, Profit.

17. Al Hardy’s Background
• Personal and Professional
• 20 Years in Asset Management
• Current Saving across all acquisitions in 2010 - $3,000,000
• Facilities
• Biomed
• Imaging and PACS Management
• Purchasing
• Asset Ledger
• Logistics
• Publications and Appearances
• Public Speaking
• Essays
• Newspaper Columns
• 1 Book
• Poetry
• 1 Unpublished Novel