Why automate the operating room supply chain ?

The perioperative sector is the highest consumer of medical supplies in most hospitals, and accounts for key revenue generating activity. Serving as a profit-generating nucleus, it is crucial that its supply chain processes are efficient and its storage areas well organized in order to minimize the downtime between surgical procedures, and maximize this revenue opportunity.

Automation represents a significant opportunity to achieve quantifiable gains by improving workflows, increasing charge capture and releasing valuable resource time by addressing the following problems:

Risk of noncompliance with FDA UDI regulations

time-consuming activities

Many hospitals undertake various initiatives to improve the traceability of high-value supplies and implantable devices. These efforts often rely heavily on manual sticker transfers or barcode scanning and are prone to human error. Now, more than ever, hospitals are under pressure to adhere to FDA regulations that require better management of unique device identification (UDI) and to gain control over supply traceability.

Clinical involvement in replenishment activities

It has been observed and documented that clinical involvement in supply chain activities is extensive and increasing, and ineffective workflows are a common byproduct. Searching for missing products, responding to disruptive stockouts and expediting urgent orders are time-consuming activities, and significantly compromise clinical productivity.

Disorganized storage areas

A storage practice impacts the dependability of a product location. Ever-changing and duplicate locations erode the accuracy of demand assessments, lengthen picking time – and ultimately delay treatment times. Coupled with stockouts stemming from manual supply needs assessments, and medical supplies that are difficult to locate (because they are missing or information about their location is imprecise or out of date), this represents a common area of focus for quantifiable gains.

Fragmented supply management processes

Replenishment activities in the OR tend to be divided among departments and positions, and management of its inventory is frequently based on the knowledge and experience of personnel; when not supported with material management tools, it becomes virtually impossible to manage supplies efficiently. This fragmentation of processes disrupts the supply chain flow, which in turn greatly reduces its efficiency and contributes to increasing its related costs.

Cost of excess safety stock and expired products

Stock wastage is also a common concern in the OR, as supplies tend to accumulate in the front of shelves, resulting in insufficient overview and inaccessible supplies expiring in the back.

Inefficient charge capture and case picking procedures

Reliance on outdated physician preference cards results in picking and returning unnecessary supplies and adding procedural downtime to search for missing items; this inefficiency can lead to costly wastage. In addition, lost charges often result from confusion over which items are chargeable and low compliance in manually recording items, thus missing several revenue capture opportunities. Factor in the new provisions outlined in the Accountable Care Act, and the missed opportunities for VBP reimbursement represent a substantial impact on the operating margin

Why choose Logi-D?

Over the years, Logi-D has helped many healthcare institutions improve their operating margin, cash flow and productivity. Our innovative OR suite of solutions offers industry-leading ROIs and has delivered remarkable gains. The OR solution suite offers an integrated, automated supply chain, which, based on best practices and proven technologies, enables hospitals to not only secure the gains associated with improved inventory management but also to capture accurate case costing. Its proven track record is a testament to its capability to improve OR performance and deliver quantifiable gains.


 What we deliver

  • Inventory management through lean solutions that use RFID technologies
  • Automated case picking tools
  • Computerization and ongoing optimization of preference cards
  • Centralization of logistics activities with non-clinical personnel
  • Reduction in inventory value and waste
  • Release of personnel time
  • Automation and optimization of case costing and charge capture
  • Reduction of storage footprint and enhanced inventory environment