Regional Healthcare System

Home Regional Healthcare System

Regional Healthcare System

Client is a comprehensive regional healthcare system servicing communities in the Northeast United States.

Project Objectives/Challenges

Client faced several issues in its supply chain operation:

Point of Use Supply Management and Replenishment was not controlled universally through the organization
Inventories were not managed optimally
Key data files required scrubbing and the existing Material Management Information System was underutilized

Management sought an independent assessment of its supply chain operation in order to optimize materials management, achieve economies of scale, reduce duplication of effort, and improve patient satisfaction.

What Sedlak Did

Placed a team consisting of Inventory Management, Process Flow and Healthcare Supply Chain Operations experts on site for a week of intense interviews.

Used observational tours, personal interviews and analysis of requested data sets to identify process improvement opportunities and hard dollar savings.

Delivered a detailed Game Plan to address specific opportunities related to:

Inventory management and cash flow optimization
Point of Use replenishment improvement
Inventory Reduction
FTE optimization
MMIS cleanup

Results

Game Plan recommendations were expected to achieve:

$120K One-time Cash Flow improvement and $50K annual savings from implementation of Logical Unit of Measure (LUM) programs
Implementation of two-bin replenishment in nursing areas and other departments reduced labor and waste
Storeroom inventory reduction of 3-5%
Ongoing FTE labor cost reductions of $30-$50K per year
MMIS Operational improvements of >$100K per year based on error reduction, elimination of multiple supply chain interventions, minimization of annual inventory variances and write-offs

What can Sedlak do for YOU?

Contact Us Today

Explore Other Success Stories

AboutHealth

AboutHealth engaged Sedlak to identify potential opportunities for the AboutHealth owners to consolidate the distribution of their medical supplies.

VWR International

VWR International is a global laboratory supply and distribution company who reached out to us for assistance in developing an appropriate facility concept and material handling solutions design for combined operations in a new greenfield distribution center. Our design for the facility layout and operations plan maximized the effectiveness of the proposed material handling system and included a two-stage implementation plan that balanced investment with planned growth.

Vitacost

Our client, Vitacost.com, an e-commerce company that sells vitamins and supplements, had a west facility not performing as expected. Not only did we deliver an improvement plan for their west facility, but we offered a project management plan, including a timeline, budget and vendor for their Midwest facility as well.

The Palm Tree Group

Sedlak assisted in the requirements development, cost and benefit evaluation, vendor selection and implementation project management of a new ERP/WMS system for The Palm Tree Group. Our team managed the successful, on-time and on-budget implementation of Palm Tree Group’s entire information support systems, including full integration, volume, stress testing and user acceptance testing prior to readiness assessment and go-live.

Regional Healthcare System

Our client, a regional healthcare system, needed a supply chain strategy to optimize their cash flow, reduce and manage their inventory, improve their point of use replenishment, optimize their FTE and clean up their MMIS. Our recommendations, after a lengthy assessment of their supply chain, could potentially save the company a $120K cash flow improvement and a savings of hundreds of thousands of dollars per year.

Perrigo

Sedlak recommended an optimum network configuration to Perrigo, a distributor of pharmaceuticals and nutritional products, identifying the best flow of products throughout multiple facilities within their network and providing them with a sensitivity analysis of solutions to increase their understanding of the impact other possible acquisitions and changes might have on their business.

PEL Supply

Needing optimization of its distribution network, PEL Supply turned to Sedlak. We recommended operational enhancements focused on improved throughput, service and costs and provided a facility expansion plan providing optimal size, layout and equipment with specifications and bid packages for the building, material handling equipment and systems and documents outlining supporting IT systems and technologies.

Large Academic Healthcare Institution

Sedlak made recommendations to our client, one of the largest academic institutions in the U.S., specializing in advanced biomedical research and graduate-level education in healthcare and the life sciences, which were projected to achieve or $1 million in operating cost savings.

Large Academic Healthcare Institution

Sedlak's analyses and recommendations for our client, a large academic institution, dramatically reduced their need for new transportation vehicles and delayed the necessary capital expenditure for the smaller number of vehicles that were eventually required.

GlaxoSmithKline (GSK)

We recommended a preferred 3-DC option and a preferred 4-DC Option to a multinational pharmaceutical, biologics, vaccine and consumer healthcare company, each equally reducing transportation expenses. In addition, we recommended network options that maintained targeted service levels for both.

Blood Systems, Inc.

Sedlak reduced distribution network costs by 30% for a large provider of blood and blood products and then supported the alignment of the organization and four of their affiliates to the new integrated distribution approach.