Healthcare Supply Management in a Crisis. Laurel L. Junk Vice President, Supply Chain
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1 Healthcare Supply Management in a Crisis Laurel L. Junk Vice President, Supply Chain 4 March 2010
2 Largest U.S. Not For Profit Health System 8.6 Million Members 35 Medical Centers 430+ Med Office Bldgs 14,600 Physicians 167,300 Employees 2
3 H1N1 On the Job Training Situation Requires: Quick thinking and action Understanding of critical items Real time visibility to critical items Clear communication channels Challenges: New Supply Chain Vice President 30 year-old ERP systems Critical supply status unknown/inconsistent Tremendous media attention 3
4 KP Healthcare Continuity Management Clinical Workgroup Supply Chain Workgroup People/HR Workgroup 4
5 Fast Fact: KP Supply Chain Workgroup made up of 32 Material Directors from Hawaii to Washington, D.C. 5
6 Supply Chain Workgroup Operating Philosophy Protect as many patients, caregivers, members, and employees as possible - regardless of where supplies are geographically located at any point in time. 6
7 Supply Chain Workgroup Lessons Learned Critical Item Management Clinical Workgroup Integration Supplier Management Government Engagement Other Aha s What items matter? How does clinical practice impact usage? How can we work better with suppliers? How can we work better with the government? What else have we learned? 7
8 Supply Chain Workgroup Lessons Learned Critical Item Management Clinical Workgroup Integration Supplier Management Government Engagement Identification upfront Standardization across sites Inventory reporting and visibility Approved substitutes in advance Better safety stock quantification and monitoring Other Aha s 8
9 Supply Chain Workgroup Lessons Learned Critical Item Management Clinical Workgroup Integration Supplier Management Government Engagement Other Aha s Supply Chain Workgroup Leader key member Validated key assumptions and calculations for demand and usage Alignment on clinical practice Standardization of key risk mitigation strategies (e.g. N95s) Alignment on key regulation interpretation 9
10 Supply Chain Workgroup Lessons Learned Critical Item Management Clinical Workgroup Integration Supplier Management Government Engagement Executive contact lists maintained and available Build supply continuity into contract (e.g. out option for non-supply) Validation of alternative suppliers and/or channels Agreement on reporting needs and frequency Alignment of message Other Aha s 10
11 Supply Chain Workgroup Lessons Learned Critical Item Management Clinical Workgroup Integration Supplier Management Government Engagement Stronger partnership with Environmental Health & Safety department Advance planning and alignment on approach Visibility / flexibility to segment supplies Standardization of response Other Aha s 11
12 Supply Chain Workgroup Lessons Learned Critical Item Management Clinical Workgroup Integration Supplier Management Communicate, communicate, communicate! Practice makes perfect When the chips are down, don t panic Shared purpose solves many problems Government Engagement Other Aha s 12
13 Earthquake in Haiti Benefits Quickly leveraged support structure and participants for needs Leveraged supplier relationships and shared sense of purpose Helped focus support response and outpouring of willingness to help 13
14 Thank You! Questions? 14
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