IT in supply chain management for healthcareindustry

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Healthcare supply chains use ICT actively

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Leveraging IT for shaping smarter supply Chain for Healthcare sector Presentation By Prof. Akhil Chandra, B.E.,IIT Roorkee , MBA (JBIMS) (Consultant Logistics and Supply Chain Management) Consulting Editor - Logistics Times akhilchandra06@gmail.com , 9810223277 (M )

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SUPPLY CHANGE MANAGEMENT Managing Upstream and downstream Value added Flows of materials, final Goods and Related Information among suppliers, the company, Resellers and Final Consumers VALUE CREATION BY COLLABORATING and customers) SUPPLIERS Company Resellers Customers Inbound Logistic Outbound Logistics

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Smarter Supply Chains of future in Hospitals shall bank upon Cutting edge of Information Technology coupled with Telecommunication, Internet and automation Technology delivering unprecedented flexibility and responsiveness across extended Value chain comprising of- Pharmaceuticals Wholesale distribution Medical supplies Hospitals and clinics Pharmacy

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Business Requirements Pyramid Cost C Assurance Of Supply A Quality/Regulatory Q Service S Innovation I

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Business Requirements/Evaluation Model A long-term capital investment should support A : Assurance of Supply Vendors’ tech. capability, org. stability & reliability of equipment Q : Quality Continuity of production and output quality consistency S : Service After sales service : availability of spare parts / technical support C : Cost Current and future competitiveness I : Innovation Flexibility for different products, upgradability to new technology R : Regulatory Regulatory compliance; Safety requirements; Environmental objectives

CRUCIAL ROLE OF A MATERIAL MANAGER IN HOSPITALS:

CRUCIAL ROLE OF A MATERIAL MANAGER IN HOSPITALS TASK OF MATERIAL MANAGER IS NOT ONLY TO CONTROL COSTS BUT TO CONTRIBUTE IN ENSURING PATIENT SAFETY QUALITY OF SERVICE EFFICIENCY RESPONSIVENESS TO PATIENT’S NEEDS SPEED INTERFACE TO TRAINING NEEDS OF OPERATIONAL STAFF SATISFY DEMAND AND SUPPLY MATERIAL MANAGER MUST TAKE INPUTS FROM DOCTORS AND NURSES

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New Supply Chain Management concept treats vendors as partners in overall success of supply chain in terms of ROI ( Example – Wal-Mart and Proctor Gamble) Let one supply chain compete with another supply chain but prevent competition within supply chain Concept of internal customer A good inventory management Program is always Patient (customer) centered While inventory is concerned with monetary issues, Hospitals are in the business of serving patients . They are a service industry. Technology’s emphasis must be on making the difference in quality of patient care . Cost effectiveness , time consciousness and safety are key drivers to of a patient centered approach. Products used in hospitals are time critical and many are temperature sensitive. Supply Chain must ensure availability of Right product, at right time, at right place and at right price to the end customer(patient)

Information Technologies for smarter supply chains :

Information Technologies for smarter supply chains Computers on Networking Backbones as Extranet and Intranet ERP (SAP-system application products-) with modules like MM,WMS, TMS,CRM, SRM etc. BAR CODE Technology/RFID Hospital Management Information system and predictive Techniques EDI through Extranets Internet-E-Commerce, E-Procurement, VMI medical transcription for text records converted by MT for medical reports recorded in speech form.

Information Technologies 1.Intranet and Extranet:

Information Technologies 1.Intranet and Extranet Intranet are secure communication system that take place within one company. Thus communication from store to buyer , buyer to distribution center and distribution center to store could be all accomplished through Intranets. Using Intranets, buyers can communicate and coordinate with store and distribution center personnel. Extranets An extranet is a collaborative network that uses internet technology to link businesse with their suppliers, customers or other businesses.EDI is a form of Extranet.

Intranet and extranet:

Intranet and extranet

Information Technologies 2. ERP:

Information Technologies 2. ERP Enterprise Resource Planning Single data base for entire organization Popular ERP software's are SAP, Oracle, BANN, PEOPLESOFT,JDA SAP- A German Company ( System Application Products )

ERP (CONTINUED ):

ERP (CONTINUED ) ERP software is made up of many software modules. Each ERP software module mimics a major functional area of an organization. Common ERP modules include modules for product planning, parts and material purchasing, inventory control, product distribution, order tracking, finance, accounting, marketing, and HR.

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Data Warehouse On-Line Analytical Processing (OLAP) Bolt-On Applications (Industry Specific Functions) Sales & Distribution Business Planning Shop Floor Control Logistics Customers Suppliers Operational Database Customers, Production, Vendor, Inventory, etc. Legacy Systems Core Functions [On-Line Transaction Processing (OLTP)] ERP System Business Enterprise ERP System

Information Technologies 3.Bar Code and RFID for Visibility:

Information Technologies 3.Bar Code and RFID for Visibility

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RFID TAGS- ACTIVE AND PASSIVE REAL TIME VISIBILTY ACROSS VALUE CHAIN

RFID Applications in Hospitals For right patient , right drug , right dose, right route ,right time:

RFID Applications in Hospitals For right patient , right drug , right dose, right route ,right time Patient Tracking Surgery Asset Management On Line Inventory Management in storage cabinets Wait Time Monitoring Asset tracking for critical items like fusion pumps Tagging new born Laundry Management Document and File tracking Ensuring hand washing Access control in restricted areas

Information Technologies-4. Hospital Information Management System (HIMS) :

Information Technologies -4. Hospital Information Management System (HIMS) Modern hospital information systems typically use fast computers connected to one another through an optimized network.  These computers are programmed to collect, process, and retrieve patient care and administrative information from various departments like clinic , finance department , laboratory ,Nursing , pharmacy , radiology and pathology departments. ensuring better ROI and delivery of service . Part of decision support system.

Hospital Management –SW Modules:

Hospital Management –SW Modules Front Office Enquiry Bed Management Human Resource Patient Care system Laboratory X-Ray/Ultra sound Pharmacy Management Inventory management Billing and Recovery Operation Theater Financial Accounting Blood Bank Security Administration Reports Picture archival and communication system ( PACS )

Hospital Management Information system:

Hospital Management Information system

Predictive Analytics and Forecasting models in Health Information systems :

Predictive Analytics and Forecasting models in Health Information systems Big Data Analytics involving complex mathematical algorithms by BI involving data mining and data warehousing Optimal Hospital capacity utilization Predict seasonal Patient-nurse Ratio Improve patient waiting time especially for emergency departments Demand Forecasting (short term and long term ) Timely scheduling for hospital staff and managers for weekly and seasonal trends. LAST BUT NOT THE LEAST IT IMPROVES PATIENT SATISFACTION AND REDUCES STAFF TURNOVER COUPLED WITH BETTER ROI FOR THE HOSPITALS

Information Technologies 5.EDI:

Information Technologies 5.EDI EDI is mainly used for sending orders to suppliers and depot. Electronically computer to computer .In addition to Sales Data ,purchase orders , invoices and data about returned merchandize are transmitted from Retailer to vendor. Worldwide standard being EDIFACT which defines i ) information being exchanged Ii) Where and how that information must appear An advanced shipping notice (ASN) is an electronic document received by the retailer’s computer from a supplier in advance of a shipment. In advanced EDI Application, Internet enables suppliers to describe and show pictures of their products. Buyers can issue requests for proposals and then the two parties can electronically negotiate an order and specify product development

EDI Technology :

EDI Technology

Information Technologies 6.Internet-E-Commerce,E-Procurement :

Information Technologies 6.Internet-E-Commerce,E-Procurement E-Commerce – Amazon, Flipcart , Alibaba VMI E-Procurement Reverse Auction (not for critical items ) (In a typical auction the seller offers an item which they wish to sell. Potential buyers are then free to bid on the item until the time period expires. A reverse auction is different in that a single buyer offers a contract out for bidding (by either using specialized software or through an online marketplace).

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THANK YOU akhilchandra06@gmail.com

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