Within many healthcare organizations, the supply chain department operates in a silo disengaged from frontline caregivers. In the case of McLeod Health, this led to $3.2 million a year in lost revenue as a result of not capturing product usage at the point of care. To address this issue, McLeod’s senior leadership assembled a multidisciplinary team comprising administration, clinical leaders, finance, information systems and procurement, to analyze supply chain processes, identify points of revenue leakage and put processes and systems in place to address them.
By working together, the McLeod transformation team gained visibility into lost revenue and put into place measures to address it, implemented operational improvements to streamline workflows and reduce waste, and transitioned from a manual to automated procure-to-pay process to reduce errors, contain costs and improve contract compliance.
Dale Locklair, Senior Vice President of Planning & Facilities Management Group at McLeod Health, offers the following tips to healthcare organizations wanting to enact change through supply chain collaboration:
For more information, read the GHX white paper: Strategies for Healthcare Supply Chain Collaboration