{"id":4708,"date":"2016-07-19T00:00:00","date_gmt":"2016-07-19T06:00:00","guid":{"rendered":"https:\/\/www.uchealth.org\/today\/2016\/07\/19\/the-99-percent-improvement-methodology\/"},"modified":"2019-12-10T15:39:23","modified_gmt":"2019-12-10T22:39:23","slug":"the-99-percent-improvement-methodology","status":"publish","type":"post","link":"https:\/\/www.uchealth.org\/today\/the-99-percent-improvement-methodology\/","title":{"rendered":"The 99 percent improvement methodology"},"content":{"rendered":"
<\/div>
<\/h5>\n

The lean approaches that helped Toyota improve engineering processes more than 75 years ago are still influencing productivity and efficiency in organizations today.<\/p>\n

\"improvements\"
Sean Minning, manager of Materials Management for UCHealth\u2019s Poudre Valley Hospital and Harmony Campus in Fort Collins, shows leaders of UCHealth\u2019s other material management departments the new stocking system his team implemented, which saves time and has improved customer service.<\/figcaption><\/figure>\n

UCHealth\u2019s Supply Chain, the Colorado-based health care system\u2019s internal distributor of almost all its medical supplies, recently used the \u201ckanban\u201d inventory control approach to improve service and satisfaction — and save time.<\/p>\n

“Our existing model just wasn\u2019t working,\u201d said Sean Minning, manager of Materials Management for UCHealth\u2019s Poudre Valley Hospital and Harmony Campus in Fort Collins. \u201cSo we ran our data and came up with a methodology that we wanted to try. \u2026 The outcome was a 99 percent reduction in service calls, a 99 percent improvement in stock outcomes, an increase in nursing satisfaction and about 20 to 30 percent time savings.\u201d<\/p>\n

Identifying the problem<\/strong><\/p>\n

As the distributor of medical supplies for UCHealth\u2019s northern Colorado region, with customers that include hospitals, labs, emergency rooms and urgent care centers \u2014 more than 160 supply rooms in and around Fort Collins, Loveland and Greeley \u2014 the Supply Chain team of more than 30 workers has a very important role.<\/p>\n

\u201cIf a nurse uses it and it\u2019s not a pharmaceutical, then we stock it, with a few exceptions,\u201d Minning said.<\/p>\n

As UCHealth grows, so does demand for materials. Supply Chain leaders, including Minning; Matt Putman, materials manager for Medical Center of the Rockies and Greeley Emergency and Surgery Center; and David Davis, director of materials management for UCHealth\u2019s Purchasing in northern Colorado; realized that improvements could be made in processes.<\/p>\n

To avoid making a large capital purchase for electronic equipment that may or may not have solved issues, the Supply Chain team opted to try a lean practice. Their goal was to not only improve product distribution without capital purchases but also increase nursing satisfaction.<\/p>\n

\u201cThis change wasn\u2019t just about the customer \u2014 it was about everyone,\u201d Minning said. \u201cIt was about both our customers and Supply Chain being able to do something that makes both of us more efficient.\u201d<\/p>\n

To test their new methodology, the team implemented the new practice in the GI labs at both PVH and MCR.<\/p>\n

The labs presented two major challenges: limited space to house supplies and supplies that don\u2019t come out of UCHealth\u2019s supply warehouse but rather are special-order products from multiple vendors. The result: The unit ran out of stock of some items, affecting customer satisfaction and adding legwork to the Supply Chain\u2019s employees who had to make regular service trips to the labs to restock items.<\/p>\n

\u201cAt one point I was going there a minimum of four times a week on recovery calls,\u201d Mining said about PVH\u2019s GI lab.<\/p>\n

The solution<\/strong><\/p>\n

The old system was in place because, well, it was just the way things were done, Minning said. The old way of stocking supply rooms meant that several different items could be in one bin, and Supply Chain employees had to count each item to determine whether more products needed to be ordered.<\/p>\n

\"improvements\"
The old way of stocking supply rooms meant that several different items could be in one bin, and Supply Chain employees had to count each item to determine whether more products needed to be ordered. It took up more time and space than the new process.<\/figcaption><\/figure>\n

Although each bin held multiple items, the system actually took more space because there needed to be room above each bin for the customer and Supply Chain employee to peer inside and see which products it held.<\/p>\n

The new system uses a high-density storage strategy. By organizing a product in a linear fashion \u2014 the product in the front of the bin to be used first and the row behind being the emergency stock \u2014 shelving can be vertically closer because the product is always front facing. And if the front part of the bin is empty, the Supply Chain employee knows to reorder. It\u2019s all or nothing \u2014 no need to count individual stock. This cuts ordering and stocking time by a minimum of 25 percent, Minning said.<\/p>\n

Those extra minutes are now used to do extra cleaning and rotation, he added.<\/p>\n

The new design also lends itself to a more efficient rotation system. Once the new stock has arrived and is ready to be put on the shelves, the emergency stock is moved forward and a new emergency allotment placed in the back.<\/p>\n

\u201cThis simple and inexpensive fit-to-space kanban solution removes nursing from the task of managing inventory and ensures that supplies are always there, eliminating both stock-outs and the resulting hoarding that often takes place,\u201d Davis said.<\/p>\n

For the process to be successful, it\u2019s important that both the hospital unit and Supply Chain do their parts, said Brenda Lynch, nurse manager for PVH\u2019s GI Lab. She said that her staff has committed to keeping maximum supply levels in procedure rooms instead of hoarding products in fear of not having enough. Hoarding, Lynch said, can lead to increased costs due to products expiring and having to be discarded.<\/p>\n

This commitment resulted in adequate inventory and significant cost-savings. But, she said, the new system has helped to improve the department\u2019s culture. Staff are no longer stressed about not having adequate supplies on hand, Lynch said.<\/p>\n

\u201cIt\u2019s huge for a department\u2019s culture when you have everything you need at your fingertips,\u201d she added. In addition, since the clinical staff was involved in the reorganization process, they know where supplies are and they are confident they will be there when they need them.<\/p>\n

Sharing the success<\/strong><\/p>\n

\"improvements\"
Sean Minning, manager of Materials Management for UCHealth\u2019s Poudre Valley Hospital and Harmony Campus in Fort Collins, discusses the new system of stocking where his team only has to see an empty bin in the front to realize they need to reorder a product. There has been about a 30 percent time savings in areas where the new methodology has taken over.<\/figcaption><\/figure>\n

The transition to the new methodology will continue to be implemented throughout PVH and MCR in the coming year, Davis said. As UCHealth constructs and opens new hospitals and remodeled units, the system will be incorporated into their designs.<\/p>\n

Such was the case for PVH\u2019s remodeled Neonatal Intensive Care Unit that opened in May. It was designed with two supply rooms at each end of the unit, both having the new stock system.<\/p>\n

\u201cIt is well organized and labeled nicely,\u201d said NICU nursing assistant Dawnielle Edmonds. \u201cIt took a bit of getting used to, but you can see the items better, it looks better and there seems to be more room. And our everyday-use items are on both sides of the unit, which saves us steps.\u201d<\/p>\n

The new stocking system also will be incorporated into UCHealth\u2019s new hospitals coming to the Longmont, Greeley and Highland\u2019s Ranch areas.<\/p>\n

Materials Management departments at University of Colorado Hospital and Memorial Hospital also are considering how the new system may be beneficial. Though both regions have slightly different ordering systems and supply room configurations, leaders from those regions visited PVH on July 14 to see if they could take anything away from the changes Supply Chain has made.<\/p>\n

\u201cI\u2019m gaining some organizational ideas that we might be able to blend into what we are doing,\u201d said David Rowley, materials manager at UCH. \u201cWe have limitations with the inventory management system we use, but there may be some future ideas.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

The lean approaches that helped Toyota improve engineering processes more than 75 years ago are still influencing productivity and efficiency in organizations today. UCHealth\u2019s Supply Chain, the Colorado-based health care system\u2019s internal distributor of almost all its medical supplies, recently used the \u201ckanban\u201d inventory control approach to improve service and satisfaction — and save time. […]<\/p>\n","protected":false},"author":2164,"featured_media":2928,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"","_relevanssi_noindex_reason":"","footnotes":""},"categories":[8],"tags":[4828,511,98,222,212],"class_list":["post-4708","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-neonatal-care","tag-neonatal-intensive-care-unit","tag-pharmaceuticals","tag-poudre-valley-hospital","tag-womens-care"],"acf":[],"yoast_head":"\nThe 99 percent improvement methodology - UCHealth Today<\/title>\n<meta name=\"description\" content=\"The lean approaches that helped Toyota improve engineering processes more than 75 years ago are still influencing productivity and efficiency in organizations today. 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