Supply Chain World Volume 10, Issue 6 | Page 58

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Increasing supply chain visibility
“ Due to supply disruptions caused by the pandemic , many hospital systems increased inventory to mitigate the impact of back orders , manufacturer allocations and lengthening lead times . The push to build inventory often causes space constraints , reduces cash flow , and increases the risk of waste and obsolescence . The more inventory on-hand , the harder it is to manage . To address these issues , Northside implemented software that integrates inventory optimization algorithms with supply dimensions and storage requirements to continuously optimize par levels and storage capacity based on usage and clinical preference .
“ Northside is investing heavily in wireless technology to automate the management of supply inventories . For instance , inventory for cardiology catheterization supplies are housed in smart cabinets which utilize radio frequency identification ( RFID ) technology to track the movement of each item , use predictive analytics to auto-replenish stock , and ensure the correct charges are captured for supplies consumed on each procedure . In other clinical areas , Northside has deployed an inventory solution that uses precision scales to monitor and replenish supply inventory based on real time data at the point of use .
“ Northside has also automated the surgical implant process by rolling out an AI based application that combines both provider and supplier transactions into a single portal . The benefits are pricing transparency , mitigation of product recalls and expirations , contract compliance , elimination of paper-based processing , and reduction in purchasing resources required to manage the process .
“ To increase utilization of physical assets , Northside is implementing a real time tracking system ( RTLS ) to track and manage moveable medical equipment such as IV pumps and beds . RTLS utilizes active and passive RFID tags to provide visibility into the location of each piece of equipment . Knowing where assets are located on a real-time basis will allow for optimal utilization and form the basis for right sizing the equipment fleet and reducing equipment rental expense . RTLS will also mitigate the risk of lost or stolen equipment as well as reduce the time and effort required to take periodic physical asset inventories .
“ And finally , Northside ’ s Business Intelligence team is developing an application that measures supply spend by surgical case , service line , provider , and facility . Analytics generated by the application will provide valuable insights into inventory utilization , physician preferences , and procedural variations across the system .
Enhancing resiliency
“ Removing blind spots by increasing visibility into supply chain transactions through process transformation , category management , analytics and automation is making Northside a more resilient organization . Resilience allows us to more quickly pivot resources to address disruptions while maintaining the operational integrity to ensure continuity of patient care . Northside expects to further expand supply chain analytics and automation by incorporating additional AI and block chain capabilities as they mature and become available .” ■
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