Why the Sup­ply Chain Mat­ters to Your Or­ga­ni­za­tion’s Suc­cess

From Pop­u­la­tion Health to Dis­as­ter Pre­pared­ness, Sup­ply Chain is your Strate­gic As­set

Modern Healthcare - - LATE NEWS -

Michael Schiller , CMRP Se­nior Di­rec­tor, AHRMM of the Amer­i­can Hos­pi­tal As­so­ci­a­tion

In the last decade, sup­ply chain has moved away from be­ing fo­cused solely on ac­qui­si­tion costs to be­come a core strate­gic part­ner within many health­care or­ga­ni­za­tions. The es­sen­tial link that ties to­gether all of the var­i­ous stake­hold­ers in the con­tin­uum of care, sup­ply chain is uniquely po­si­tioned to play a crit­i­cal role in pop­u­la­tion health man­age­ment pro­grams, dis­as­ter pre­pared­ness, and ful­fill­ing all di­men­sions ofthe CQO Move­ment and In­sti­tute for Health­care Im­prove­ment (IHI) Triple Aim.

What is sup­ply chain’s role in pop­u­la­tion health man­age­ment pro­grams?

MS: AHRMM as­sem­bled a task force of health­care ex­perts to ex­am­ine the cur­rent pop­u­la­tion health land­scape, de­ter­min­ing the scope and im­pact th­ese pro­grams are hav­ing on the phys­i­cal and be­hav­ioral health of peo­ple within their com­mu­ni­ties, defin­ing­sup­ply chain’s cur­rent role, and en­vi­sion­ing sup­ply chain’s strate­gic role mov­ing for­ward. Based on their re­search, the group de­vel­oped sev­eral guid­ing prin­ci­ples for oth­ers to em­ploy when im­ple­ment­ing their own pop­u­la­tion health man­age­ment ini­tia­tives:

• Sup­ply chain sits at this in­ter­sec­tion and is best suited to col­lab­o­rate with both in­ter­nal and ex­ter­nal stake­hold­ers - clin­i­cians, sup­pli­ers, and dis­trib­u­tors, iden­ti­fy­ing re­la­tion­ships oth­ers may not see that de­liver ben­e­fits that may have oth­er­wise gone un­rec­og­nized.

• Tech­nol­ogy is key to im­ple­ment­ing, man­ag­ing, and sus­tain­ing most pop­u­la­tion health man­age­ment pro­grams where in­for­ma­tion shar­ing and com­mu­ni­ca­tion be­tween var­i­ous par­ties is crit­i­cal to im­prov­ing the health of a pop­u­la­tion.

• Sup­ply chain pro­fes­sion­als are a pri­mary source of data and an­a­lyt­ics on which many pop­u­la­tion health man­age­ment pro­grams are mea­sured. Shar­ing ro­bust, ob­jec­tive, and sci­en­tif­i­cally grounded real-world data be­tween var­i­ous par­ties can be used to ed­u­cate stake­hold­ers on the need for change and se­cure their sup­port for th­ese changes.

What con­nec­tion can be made be­tween AHRMM’s Cost, Qual­ity, and Out­comes (CQO) Move­ment and the IHI Triple Aim?

MS: In 2008, the In­sti­tute for Health­care Im­prove­ment (IHI) es­tab­lished the goal of “im­prov­ing the in­di­vid­ual ex­pe­ri­ence of care; im­prov­ing the health of pop­u­la­tions; and re­duc­ing the per capita costs of care for pop­u­la­tions.” In 2013, AHRMM launched the Cost, Qual­ity, and Out­comes (CQO) Move­ment where cost, while im­por­tant, is no longer the pri­mary el­e­ment sup­ply de­ci­sions are based upon. Rather it is one of many el­e­ments to be con­sid­ered when or­ga­ni­za­tions take a holis­tic ap­proach to sup­ply chain.

As the Triple Aim con­tin­ues to be adopted by hos­pi­tals and health sys­tems as a frame­work for im­ple­ment­ing ma­jor im­prove­ments, AHRMM has es­tab­lished a clear and im­por­tant con­nec­tion be­tween AHRMM’s CQO Move­ment and the goals of the Triple Aim.

It out­lines how sup­ply chain can sup­port the use of data and an­a­lyt­ics, es­tab­lish col­lab­o­ra­tions across de­part­ments and com­mu­ni­ties, pro­mote preven­tion and im­ple­ment stan­dard­iza­tion and cost con­trol met­rics that are all needed to im­prove pa­tient safety, out­comes and sat­is­fac­tion, elim­i­nate prod­uct waste, and drive holis­tic, clin­i­cally in­te­grated, and strate­gic care within the value-based re­im­burse­ment model.

This ap­proach, call­ing for im­prove­ment of the pa­tient ex­pe­ri­ence, the health of pop­u­la­tions, and the re­duc­tion of per capita health­care cost needs to be im­ple­mented by all health­care stake­hold­ers, with sup­ply chain pro­fes­sion­als as co-own­ers within this de­liv­ery-of-care model.

In the light of the re­cent cat­a­strophic nat­u­ral and man-made dis­as­ters, how can health­care or­ga­ni­za­tions en­sure that they ef­fec­tively pre­pare for, re­spond to, and re­cover from those in­ci­dents?

MS: Dis­as­ter prepa­ra­tion and/or re­sponse goes be­yond the health­care fa­cil­ity walls and it calls for a col­lab­o­ra­tive and co­or­di­nated ef­fort to work to­gether to meet the needs of the dis­tressed com­mu­nity in a time of cri­sis and trauma. It in­volves co­or­di­na­tion with sup­pli­ers, dis­trib­u­tors, and group pur­chas­ing or­ga­ni­za­tions, com­mu­nity part­ners, and fed­eral and state re­spon­ders.

Sup­ply chain plays a crit­i­cal role in this ef­fort by as­sur­ing the un­in­ter­rupted, ef­fi­cient­move­ment of sup­plies and ser­vices to pa­tients. Ef­fi­ciency in emer­gency sup­ply chain man­age­ment means al­lo­cat­ing ad­e­quate re­sources to achieve the great­est ag­gre­gate ben­e­fit­for as many peo­ple as pos­si­ble.

AHRMM of­fers prac­ti­cal re­sources on th­ese topics for health­care or­ga­ni­za­tions and sup­ply chain de­part­ments.

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