Concord Hospital implements Logi-D automated point-of-use inventory management system to support Lean initiatives and improve stockless supply chain
January 17, 2014.
Concord, NH – Concord Hospital has completed Phase 1 implementation of 2BIN-iD, an RFID-enabled kanban replenishment system invented by Logi-D Inc., a leading provider of point-of-use supply chain automation technologies. Currently automating replenishment in 38 storage areas, 2BIN-iD supports Lean methodologies while facilitating Concord Hospital’s stockless supply chain model.
This supply chain transformation is in response to the regional medical center’s initiative to streamline its logistics practices and increase the efficiency of its supply replenishment processes. By implementing 2BIN-iD, Concord Hospital is improving order accuracy, recovering valuable resource time, optimizing inventory levels, and increasing the visibility of its supply usage.
In selecting 2BIN-iD, the internationally recognized RFID-driven two-bin (kanban) system for inventory management, Concord Hospital is building on its reputation for adopting leading technology. The gains from this project are of immediate benefit to Concord Hospital. In addition to realizing a 13% reduction in inventory levels and recovering 23% of the floor space used for storing supplies, 2BIN-iD projects a 63% decrease in stock wastage, and optimization of the inventory environment for both materials management and clinical personnel.
The impact of implementing 2BIN-iD extends to the hospital’s back office needs; by introducing 2BIN-iD into its stockless low-unit-of-measure (LUM) model, Concord Hospital is now able to more effectively capture actual supply demand and feed this demand to its LUM service provider. Accurate real time point-of-use demand capture is fundamental to an efficient LUM model, and by achieving this accuracy through 2BIN-iD, Concord Hospital will generate substantial gains.
Central to the hospital’s decision to implement 2BIN-iD was therefore accuracy of demand capture and reporting capabilities built into the solution. The Logi-D platform goes beyond simply collecting accurate data. As Jodean McLean, Materiel Management Application Analyst, states, “LogiDATA-ID creates value from the data by converting it into actionable reports, thus enabling Concord to make informed decisions about inventory management on a daily basis allowing us to optimization our overall organizational resources.”
Donna Millette, Director, Lean Operations at Concord Hospital, comments on the process implications of the Logi-D implementation: “This Lean RFID-enabled two-bin system will help us accelerate our adoption of Lean practice throughout the facility; it is an ideal system for Concord that fits into our widely varied workflows most appropriately. Logi-D’s products and niche software will also help us focus on continual optimization and error elimination.”
“Resources in healthcare organizations are limited,” explains Richard Philippe, founder and CEO of Logi-D, “and insight into accurate consumption data can help healthcare administrators meet the challenges of overextended resource allocation. We bring to our client hospitals the tools necessary to streamline traditionally labor-intensive activities, prevent corrective costs endured by typical errors in manual practices, and ensure optimal supply chain operations. It is by delivering these fundamentals that Logi-D continues to help hospitals react to economic constraints.”
Concord Hospital is currently implementing Phase 2 of its 2BIN-iD implementation, which will outfit the remaining general supply storage areas with automated replenishment capabilities. Additionally, Concord Hospital has elected to expand replenishment automation to its high-value supplies through implementation of CC-iD, Logi-D‘s item-level traceability solution.
About Concord Hospital
Concord Hospital, a regional medical center, is one of the busiest acute care hospitals in New Hampshire, with 295 licensed beds and 230 staffed beds. For 12 consecutive years, Concord Hospital has been recognized as one of the “most wired” medical facilities in the U.S. by Hospitals and Health Networks magazine, the journal of the American Hospital Association.
Logi-D is a leading provider of point-of-use supply chain automation technologies serving hospitals and healthcare organizations seeking to measurably reduce operating costs and improve revenue capture. For more than a decade, Logi-D has been helping its customers to optimize logistics processes and increase supply chain operational efficiency. Its iD-SUITE of solutions integrates cutting edge technologies with Lean methodologies in order to provide unparalleled workflow efficiency and data integrity. Logi-D is a recognized leader in inventory management, clinical traceability, cost capture and patient charging capabilities through its CC-iD and PC-iD modules, as well as the pioneering inventor behind the internationally recognized RFID-enabled two-bin replenishment concept known under the 2BIN-iD brand. Also encompassing comprehensive transformation services from conception to completion, and optional internationally-recognized high density storage solutions, the Logi-D offering optimizes inventory, substantially improves productivity, and lowers overall costs, resulting in an industry leading return on investment. For more information about Logi-D, please visit www.logi-d.net.
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For more information about Logi-D, please visit www.logi-d.net
1-888-628-8804, ext. 278