Mankato (Minn.) Surgery Center launched an effort to eliminate annual physical inventory counting variables, product nomenclature inconsistencies and consignment inventory identification inaccuracies.
Intalere highlighted how the ASC tackled these supply chain issues. Here are five takeaways:
1. The facility created an inventory efficiency workgroup to develop project parameters, establish benchmarks and fix two key issues: duplication of labor linked to correcting entry counts and incorrect inventory valuation.
2. The group determined the facility's item master list was the root cause of its supply chain problems, as 7 percent of products on the list had inconsistent nomenclature and misidentified products. The group devoted 60 hours to correcting these issues.
3. Inventory was overstated by 94.4 percent. The group calculated the correct inventory value by removing vendor-owned inventory from the consignment list.
4. Implant inventory was set at a falsely high quantity, so it was eliminated.
5. The ASC achieved 90 percent audit accuracy after correcting the item master list. It received Intalere's Healthcare Achievement Award for the project.
Learn more about the project here.