VIEWS: 7 PAGES: 2 POSTED ON: 3/23/2012
1 | Make every attempt to have your surgeons SURPLUS use it…PERIOD. SURGICAL INVENTORY: 2 | Contact your distributor or manufacturer to return it Over the past 14 years of specializing in disposable surgical supplies, we have found that there are a lot of stipulations with To Trash, your vendors, i.e. not taking back open boxes, not authorizing a return of product that has been in your facility for more than 30-90 days, etc. When this is the case, the facility is back to or Not to square one and has no other choice but to explore alternative options. 2 | Share these items within your health system Trash? Realize, however, if you are dealing with a product conversion or system contract change, it is likely that your sister facilities are changing product lines as well. Though sharing your surplus surgical inventory lists with your sister facilities is nice in theory; how often do you have time to deal with another facility’s surplus issues? Especially when you have your own. 4 | Sell your surplus to a third party Some facilities lean on the experience of third parties or David Johnson, Surgical Acquisitions Manager, West Coast “resellers” when faced with surplus surgical supplies. These Medical Resources, Inc. (WestCMR), Seminole, Florida companies have programs in place that allow you to recoup a respectable portion of your initial investment in these supplies. n any industry, surplus inventory is a touchy subject and is “Disposable, single-use surgical supplies” are considered to be I often an overlooked part of the "supply chain." Management’s plate is full and, unfortunately, they may turn a blind eye to this topic and put the issue of surplus on the “soft assets” and therefore depreciate in value. Most supplies arrive at your facility with five years of shelf-life before expiring. An average return on selling these supplies back into the medical marketplace through resellers can range from 10 - 30 back burner. In hospitals and ambulatory surgery centers, surplus has become a bigger issue than most want to admit. cents on the dollar. These supplies are resold to facilities across the country and are often exported and donated. All healthcare facilities find themselves with surplus. There are four consistent explanations, from hospitals and ASCs, for 5 | Let it expire being left with unusable product: Believe it or not, this happens way too often. Why? Could it be because this was not outlined in your Materials Coordinator or æ A specific surgeon leaves and the remaining surgeons Materials Manager’s job description? Perhaps. This usually prefer other products happens as a result of being overwhelmed and, in some cases, understaffed to handle surplus surgical inventory when it æ Sales representatives oversell and then refuse to take surfaces. This can also happen as a result of you not being product back dialed into the actual demand of the products you no longer æ Previous materials managers’ mistakes/poor stock have a need for, while experienced resellers possess the data rotation and stats of current market trends. æ Manufacturers consistently develop new technology In today’s trying economy, it is vital to continuously discover ways to improve Med/Surg spending, minimize losses, create Perhaps you have other explanations for surplus issues in your mutually beneficial strategic partnerships, and always strive to facility. What’s not important is “who is to blame,” what is strengthen each link in the supply chain. Whichever solution imperative… is finding a solution. What is the solution? you choose for dealing with your surplus surgical inventory, it is Hospitals and Surgery Centers have five options when faced important to find a way to minimize the effect that unused with surplus surgical inventory: inventory has on the actual cost of performing surgery.æ 22 V.5 | N.4 | Supply Chain Strategies & Solutions VBP and Its Potential Impact on Supply Chain Professionals James Smoker, CMRP, MPA, CS, York, Pennsylvania he concept of Value Based Purchasing (VBP) has caused T confusion among some healthcare supply chain professionals. The purpose of this article is to help to clarify VBP and to cite its potential future impact on supply chain professionals. Congress called for the creation of VBP with the passage of the 2005 Deficit Reduction Act. The goal of the VBP initiative is to financially reward higher performing hospitals and penalize underperforming hospitals. VBP is a further evolution of the Federal Government’s Medicare “pay for performance” initiative and was to be fully implemented in Federal Fiscal Year 2009-2010. In many ways, the VBP program is similar to the required hospital quality indicators reporting initiative that has organizations to submit their required data. Each data set is been in place for many years. scored at CMS. If all acute care organizations scored 100%, all would receive their full Medicare payments. If, for example, only There are 21 measures against six acute care conditions and 50% of acute care organizations scored 100% and the metrics. Those conditions include myocardial infarction, heart remaining 50% scored 0%, those scoring 0% would receive a failure, surgical infection prevention, and pneumonia. In addition lower than “standard reimbursement rate” and the balance (or to the medical conditions, patient satisfaction and risk-adjusted a portion of the balance) would be divided among those mortality have been included. In essence, the Centers for Medicare and Medicaid (CMS) require all acute healthcare Continued on Page 24 u West Coast Medical Resources, Inc. What am I going to do Proudly serving the surgical community since 1997 with all this STUFF ! www.westcmr.com Managing your unwanted disposable surgical inventory wasn’t part of your job description... So put our fourteen years of experience to work and let us do what we do best. Every year your facility experiences product conversions from new contracts, surgeon preference changes, and many other factors. OEMs and distributors simply don’t take most inventory back. So how do you maximize your return and minimize wasting your time dealing with it? CALL THE SURPLUS SPECIALISTS: HERNIA ENERGY WestCMR!!! SHAVE BLADER ORTHO ENDO Randy Ware, President / Founder S WOUND Toll Free: 800-565-6385 ENERGY Phone: 727-392-2800 TRAUMA E.N.T. Fax: 407-386-9555 GYN Westcstmed@westcmr.com ENDO RWare@westcmr.com Supply Chain Strategies & Solutions | V.5 | N.4 23
"To Trash or Not to Trash"