Standardization and codification play crucial roles in hospital settings to ensure efficient operations, effective communication, and quality patient care.

1. Inventory Control:
Standardization & Codification

2. Standardization
 According to ISO “standardization is an activity giving
solution to repetitive application essentially in the
sphere of science, technology and economics. Aim at
the achievement of the optimum degree of order in
each context.

3. Standardization
 Standardization plays a crucial role in facilitating
communication, interoperability, and reliability. It
helps to:
 Ensure Quality
 Enhance Safety
 Facilitate Interoperability
 Streamline Processes
 Promote Innovation

4. What to standardize?
 Usually starts with a core product as the foundation.
 Various features are added, these may differ
according to the country market.
 Can also involve modular design, where various
features are packaged as modules, different assembly
combinations in different markets.
 100% standardization is rare.

5. Objective of Standardization
To achieve maximum overall economy. This may be
in terms of cost, human effort, construction of
essential material and judicious choice of raw
material.
Reduction in materials cost, reduction of storage
and inventory.
Indigenization and import substitutions.
Improvement in quality.

6. Continued…
Availability of standardized materials, reduction in the
cost of maintenance and services.
Elimination of wastes and scrap.
Achieving higher productivity and higher profit.

7. Criteria for International
standardization
 Improvement in universal technical
communication and mutual understanding;
 Facilitation of international exchange of
goods and services;
 Removal of technical barriers to trade;
 Transfer of technology.

8. Continued…
 Uniform terminology is created
 Sizes and dimensions are co-ordinated and adapted
 Variety is reduced
 Function requirements and characteristics are specified
 Unambiguous testing methods are established

9. Advantages of standardization
Cost reduction
Improved quality(reliability)
Global customers(mobility)
Synergy and Brand equity
Centralized R & D

10. Drawbacks of standardization
Lack of uniqueness
Vulnerability to Trade barriers(more barriers, less
standardization)
Strong local competitors

12. Definitions
 Codification in an industry is the systematic concise
representation of equipment, raw materials, tools,
spares, supplies etc.in an abbreviated form employing
alphabets, numerals, colours, symbols etc.

13. Benefits
 Important factor in indenting, purchasing and issuing
activities.
 Wrong identification results in wrong purchases.
 Words description can be used but they are too
long,totally inadequate and Prone to errors.

14. • Accurate and logical identification.
• Avoidance of Long and unweilding
description.
• Prevention of duplication.
• Product Simplification.
• Efficient Purchasing.
Benefits

15. • Minimizing of clerical work.
• Efficient Purchasing.
• Accurate ane reliable accounting and
recording.
• Easier computerisation.
• Better alternative selection
• Simplifies Costing
Benefits

16. Stages of Scientific Codification
 Identification – To know the type of material in detail
 Classification – Description, Nature, Source or origin.
 Codification – As per the requirement and the system

17. Special Characteristics
 Simple
 Brief
 Flexible
 Unique
 Layout should be easy to handle
 Self Decoding
 Objective Oriented

18. Unambiguity
Saving of efforts
Space saving on forms
 Ease of classification,
 Mechanization

19. Characteristics of Codes
Code should be Simple.
Code should be unique.
Coding should be compact, concise and consistent.
Code should be sufficiently flexible to meet future
demands

20. Objectives of Codification
 Accurate and logical identification
 Prevention of duplication
 Standardisation and reduction of varieties
 Efficient purchasing
 Easy computerization

21. Basic System
 Arbitrary system
 Numerical System
 Mnemonic system or alpha numeric system
 Decimal system
 Brisch system
 Kodak system

22. Brisch System
 Concieved by Mr.E.G.Brisch with J.Gombinski.
 Divides all facets of organisation into number of main
categories according to nature of business.
 The first block gives major classification e.g packing,
raw materials etc.

23. Brisch System
 The second block gives next level of classification
based on the type of materials.
 The third block gives the lowest level of classification
normally the specifications.

24. Brisch System: 8 digits example

25. • Originated by Eastman Kodak Company.
• Based on numerical system of codification
and combines all good other points.
• The system employs ten digit codes.
• The Materials are classified according to
Purchase categorisation rather than their
nature.
• Divided into few broad classification called
Basic Classification.
Kodak System

26. Kodak System
 The basic classification is restricted to 100.
 Each class is then further divided into sub classes.
 Eg – 40(Cutting Tools)0(drills)
 Each sub class is again further sub divided
 Eg – 400-00

27. Colour Coding
 Here colours are used to identify the content.
 Generally is used for Pipelines, Rawmaterials,
lubricants etc.

28. Advantages
 Provides absolute clarity to the supplier as to what is
required by the buyer.
 Eleminates need to create company‘s specifications.
 Allows accurate comparison of quotes.
 Variety reduction
 Allows buying from more than one manufacturer.

29. Advantages
 Reduces inspection and quality costs.
 Allows firm to enter into a running contract.
 Ensures interchangability of Parts.
 Routinises procurement efforts and reduces clerical
work.
 Reduces procurement lead time.

30. THANK
YOU……