A Formula for Success Standards and Communication Product
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Transcript A Formula for Success Standards and Communication Product
A Formula for Success
Standards and
Communication
Product formularies help drive savings and
create standards for multiple items in a large
integrated delivery network.
Cheri Berri-Lesh, CMRP
Value Analysis Manager
A picture is worth a thousand words
Knee Brace in MMIS (Lawson)
Knee Brace in Visual Formulary
KNEE PULL UP WITH 1
STRAP ON TOP AND
BOTTOM
PATELLOFEMORAL
BRACING
HAS HINGES
211395
211399
211398
211399
211400
211401
211402
211403
211404
211405
211406
211407
211408
211409
BRACE KNEE LITE RT XS TRU PULL • Bifurcated (twopronged) strap pulls the
BRACE KNEE LITE RT SM TRU PULL patella into proper
BRACE KNEE LITE RT MED TRU PULL alignment reducing pain
associated with
BRACE KNEE LITE RT LG TRU PULL patellofemoral
BRACE KNEE LITE RT XL TRU PULL dysfunction
BRACE KNEE LITE RT XXL TRU PULL • Dual Durometer
BRACE KNEE LITE RT XXXL TRU PULL Buttress System
interfaces directly with
BRACE KNEE LITE LT XS TRU PULL the patella applying a
BRACE KNEE LITE LT SM TRU PULL consistent corrective
force to reduce pain
BRACE KNEE LITE LT MED TRU PULL
BRACE KNEE LITE LT LG TRU PULL • Independent anchors at
the thigh and calf
BRACE KNEE LITE LT XL TRU PULL prevent rotation of the
BRACE KNEE LITE LT XXL TRU PULL brace
BRACE KNEE LITE LT XXXL TRU PULL
Insurer
and
Delivery System
Operating
Revenue $3B
Integrated Delivery
Network
Member Governed
600,000 Members
25 Medical Centers
9,750 Staff
1,055 Providers
Reasons to Consolidate & Standardize
To achieve best contract pricing
Reduction in variation
No durable medical equipment license
Some Healthcare Common Procedure Coding System
(HCPCS) codes eliminated
Create standard process
Changing the culture of “if I want it, I get it” to one of
collaboration and standardization
How it Began!
Gemba Process Walk
Road to Reducing Variation
Representation of Initial Choices
Physician Attendance Varied
Partner Collaboration
Orthopedic Vendor Representatives
Key objectives included standardization & cost
savings
Partnered with Materials Management to captured all
product categories and annual usage
An opportunity to identify products improvement or
elimination
Identified products for item and cost savings
reduction
Orthopedics Soft Goods - Before
720 Items
300
265
250
200
181
150
BEFORE
112
100
42
50
43
31
30
16
Sh
ou
ld
er
ec
k
N
Le
g
an
d
H
Fo
ot
/A
nk
le
C
as
t
Sh
oe
s
Bo
dy
Ar
m
0
2008
$521,000
720 Items
Orthopedics Soft Goods - After
2008
$521,000
720 Items
250 Items
300
265
250
200
181
BEFORE
150
103
AFTER
112
100
50
2011
$419,000
250 Items
REDUCTION
42
14
49
43
30
44
19
31
16 17
4
0
Spend = 19.5%
SKU = 65%
de
r
Sh
ou
l
Ne
ck
Le
g
Ha
nd
Fo
ot
/A
nk
le
ho
es
Ca
st
S
Bo
dy
Ar
m
0
Manufacturers
From 84 to 29
Sample of Ortho Soft Goods
Visual Formulary
Expanding Use of Visual Formularies
More commodities added
◦ Wound Care: Advanced & Acute
◦ Cast, Padding & Splinting
◦ Medical Tapes
◦ Disposable vaginal speculum systems
◦ Infection Prevention
Product Standards & Formularies
Advance Wound Care - Before
Advance Wound Care - After
Cast, Padding and Splinting
Tapes
Disposable Vaginal Specula
Infection Prevention: Hand Products
Infection Prevention: Hand Products
Infection Prevention: Face Protection
Infection Prevention: Face Protection
Infection Prevention: Nonsterile Gloves
Partnering with Experts for
Visual Formularies
Orthopedic physicians, physician assistants &
technologists
Wound Care RN & University of WA Professor
Infection Prevention Team
Perioperative Services
Safety and Environmental Health Officer
Materials Management Specialists
The Benefits to a Visual Formulary
Standard
Work
Clear
Communication
Reduction in
Spend
Provides
Shopping list
Visual
Formulary
Benefits
Increases
Contract
Compliance
Patient & Staff
Safety
Rapid ID of
Errors or Defects
Summary
Challenges addressed
Consolidating needs of multiple physicians
Working with preferences versus needs
Seeking agreement
Large geographic area
Finding quality pictures
Formatting for ease of viewing
Summary
Steps/process created
Order history review
Collecting multiple product samples
Product demonstrations road shows
MMIS cleanup including description improvements
Formatting images
Entering into Excel
Engaging with staff & active listening
Summary
Key players involved
Materials Management
Participating departments
Vendors
Distributors
Physicians & nurses
Infection Prevention
Summary
Outcomes achieved
Established supply formularies
Visual communication tool used as shopping list
Defines best practices
Managed by Value Analysis Program
Reduced costs & SKU’s
Promoted Lean visual systems in other areas
Summary
Pre-requisites
Product familiarity
Engaged vendors and distributor
Engaged Materials Management staff
Support of Purchasing & Contracting Staff
Questions?
Contact information
Cheri Berri-Lesh
[email protected]