Collaborative management of inventory in Australian hospital supply chains: practices and issues

2012 ◽  
Vol 17 (2) ◽  
pp. 217-230 ◽  
Author(s):  
Vikram Bhakoo ◽  
Prakash Singh ◽  
Amrik Sohal
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Inventory Management ◽  
Management Practices ◽  
Public Hospitals ◽  
Healthcare Sector ◽  
Collaborative Management ◽  
Materials Management ◽  
Content Type ◽  
Australian Hospital

PurposeThe purpose of this paper is to develop an understanding of the nature of collaborative arrangements that partners in Australian hospital supply chains use to manage inventories.Design/methodology/approachA case study involving a supply chain network of ten healthcare organisations (three pharmaceutical manufacturers, two wholesalers/distributors and five public hospitals) was studied. Data included 40 semi‐structured interviews, site visits and examination of documents.FindingsThis study highlights the existence of a variety of collaborative arrangements amongst supply chain partners such as the “Ward Box” system (a variant of the vender managed inventory system) between wholesalers/distributors and hospitals. The materials management departments were more willing than their pharmacy counterparts to participate in a variety of partial and complete outsourcing arrangements with wholesalers/distributors and other hospitals. Several contingent factors were identified that influenced development of collaborative arrangements.Research limitations/implicationsThis study is limited to the Australian healthcare sector. To improve generalisability, this study could be replicated in other industry sectors and countries.Practical implicationsApplication of collaborative arrangements between manufacturers and wholesalers/distributors would improve inventory management practices across the supply chains. Also, learning from materials management departments could be transferable to pharmacy departments.Originality/valueSeveral contingent variables for the implementation of collaborative inventory management arrangements between healthcare supply chain partners have been identified. Methodologically, data across three echelons in the supply chains (manufacturers, wholesalers/distributors and hospitals) were collected and analysed.

scholarly journals Framework for successful supply chain implementation in healthcare area from provider’s prospective

2018 ◽  
Vol 12 (2) ◽  
pp. 135-145 ◽  
Author(s):  
Ik-Whan Kwon ◽  
Sung-Ho Kim
Keyword(s):  
Health Care ◽  
Supply Chain ◽  
Inventory Management ◽  
Health Care Providers ◽  
Management Practices ◽  
Cost Of Care ◽  
Care Providers ◽  
Financial Health ◽  
Content Type ◽  
Supply Chain Finance

Purpose This paper aims to explore avenue where suppliers and manufacturers are aligned with health-care providers to improve supply chain visibility. Supply chain finance is explored to link suppliers/manufacturers with health-care providers. Design/methodology/approach Existing literature on supply chain visibility in health care forms a basis to achieve the study purpose. Alignment calls also for financial health where supply chain partners’ working capital is readily available to execute joint supply chain plan. Findings There is a disjoint in supply chain alliance between suppliers/manufacturers and providers where providers are unable to trace the origin of supplies. Quality care suffers and cost of care rises as providers search for supplies on an emergency basis. This paper provides a framework where solution can be formulated. Research limitations/implications Suppliers/manufactures form a direct strategic alliance with providers where product visibility enables health-care providers with a better patient management with lower cost of supplies. Inventory management and logistics cost will be lowered as better planning/forecasting is in place. This paper does not call for testing any hypothesis. Perhaps, next move along this line will be to investigate financial health of supply chain partners based on supplier relationship management practices. Originality/value This paper proposes health-care supply chain as an alternative solution to achieve the following twin purposes: controlling the cost while improving quality of care through supply chain finance. As far as we know, this study is the first attempt to achieve the goals.

scholarly journals The idea of transport independence in the Russian Arctic

2018 ◽  
Vol 48 (9) ◽  
pp. 913-930 ◽  
Author(s):  
Antonina Tsvetkova ◽  
Britta Gammelgaard
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Management Practices ◽  
Core Competencies ◽  
Strategy Implementation ◽  
Institutional Factors ◽  
Russian Arctic ◽  
Content Type ◽  
Supply Chain Strategy

PurposeThe purpose of this paper is to explore how supply chain strategies emerge and evolve in response to contextual influence.Design/methodology/approachA qualitative single-case study presents the journey of a supply chain strategy, conceptualised as the idea of transport independence in the Russian Arctic context. Data from 18 semi-structured interviews, personal observations and archival materials are interpreted through the institutional concepts of translation and editing effects.FindingsThe study reveals how supply chain strategies evolve over time and can affect institutional factors. The case study further reveals how contextual conditions make a company reconsider its core competencies as well as the role of supply chain management practices. The findings show that strategy implementation through purposeful actions can represent a powerful resistance to contextual pressures and constraints, as well as being a facilitator of change in actual supply chains and their context. During the translation of the idea of transport independence into actions, the supply chain strategy transformed itself into a form of strategic collaboration and thereby made supply chains in the Russian Arctic more integrated than before.Research limitations/implicationsMore empirical studies on strategy implementation in interaction with contextual and institutional factors are suggested. An institutional process perspective is applied in this study but the authors suggest that future research should include a human dimension by an exploration of day-to-day routines and challenges that employees face when strategising and the actions they take.Originality/valueThe study provides an understanding of how a new supply chain strategy emerges and how it changes during implementation. In this process-oriented study – merging context, process and strategy content – it is further shown that a supply chain strategy may affect the context by responding to contextual and institutional challenges.

scholarly journals Adoption of practices for organizational effectiveness in healthcare supply chains

2019 ◽  
Vol 69 (5) ◽  
pp. 915-938 ◽  
Author(s):  
Matloub Hussain ◽  
Fatima Al Hammadi ◽  
Dotun Adebanjo
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
United Arab Emirates ◽  
Organizational Effectiveness ◽  
Healthcare Sector ◽  
Healthcare Organizations ◽  
Enabling Factors ◽  
Content Type ◽  
Process Output ◽  
Healthcare Process

Purpose The purpose of this paper is to explore the adoption of practices and investigating of commonalities/intensities between the factors for measuring organizational effectiveness (OE) across healthcare supply chains in the United Arab Emirates (UAE). Design/methodology/approach System theory coupled with the Supplier-Input-Process-Output-Customer tool was applied to facilitate the linkage between different nodes of the healthcare chain. An exploratory approach was used to explore and measure the importance of various OE factors across various nodes of the healthcare supply chain. Data were collected using a two-stage questionnaire process addressed at personnel in the UAE’s healthcare sector. Findings The study identified that 62 OE factors in the health are supply chain. Of these, 15 are related to suppliers, 14 to the healthcare process, 12 to employees, 8 to patients and the community, 6 to government directives and 7 to branding. In total, 21 common factors were identified and clustered into groups based on commonalities and intensities. Research limitations/implications The study identifies the most important factors for healthcare organizations to achieve OE for different dimensions of operations or performance. These factors will provide valuable insights for decision makers in the sector; it will provide valuable insights to healthcare professionals and academia to investigate more on these factors. Originality/value While there is an increasing research interest in healthcare supply chains, this is the first study to investigate OE across the entire chain while also evaluating the importance of and commonalities in OE-enabling factors.

scholarly journals Inventory Management Practices and Supply Chain Performance of Antiretroviral Medicines in Public Hospitals in Nyamira County, Kenya

2021 ◽  
Vol 4 (2) ◽  
pp. 257-268
Author(s):  
Anyona Johnson ◽  
Karimi Peter ◽  
Maru Shital
Keyword(s):  
Supply Chain ◽  
Inventory Management ◽  
Lead Time ◽  
Management Practices ◽  
Performance Metrics ◽  
Public Hospitals ◽  
Supply Chain Performance ◽  
Key Informant ◽  
Wastage Rate ◽  
Reporting Rates

BackgroundUnreliable supply systems have plagued the provision of an uninterrupted supply of life- saving medicines in many developing countries, with antiretroviral (ARV) medicines having the worst repercussions.ObjectiveTo identify the inventory management practices used, evaluate the supply chain performance, and determine the challenges affecting inventory management of ARV medicines in public hospitals.MethodsThe study used a descriptive cross-sectional design, gathering snapshot data on inventory management practices happening in all the 8 public hospitals across Nyamira County. Data collection was done using structured questionnaires, key informant interviews, checklists and data from the national health information system.ResultsThe response rate was 97.3% for the questionnaires and 100% for the key informant interviews. The prevailing inventory management practices were: use of scheduled inventory control model (80.95%), forecasting demand using previous consumption data (100%), keeping accurate and updated stock records for each commodity (92.31%), having essential logistical data in reports (100%), including safety stock (61.54%) when ordering and keeping ARV medicines in dedicated stores (75%). With the exception of order lead time (17.98 days), the other supply chain performance metrics namely stock out rate (52.12%), stock wastage rate (43.2%), and reporting rates (70.84%) were found to be deficient. The challenges mostly affecting inventory management included inadequate staff and training, lack of proper storage, and unreliable supply of medicines.ConclusionInventory management practices were according to the recommended best approaches despite various challenges. The supply chain performance metrics evaluated, with the exception of order lead time, were all found to be unsatisfactory owing to the high stock out rates, below par reporting rates and high stock wastage rate due to expiries discovered. Adoption of an electronic inventory system, use of data for decision making, dedicated storage of ARV medicines, and inclusion of buffer stock, are some strategies to improve inventory management.Rwanda J Med Health Sci 2021;4(2): 257-268

Squaring the circle

2014 ◽  
Vol 19 (3) ◽  
pp. 292-305 ◽  
Author(s):  
Johanne Grosvold ◽  
Stefan U. Hoejmose ◽  
Jens K. Roehrich
Keyword(s):  
Supply Chain ◽  
Supply Chain Management ◽  
Supply Chains ◽  
Management Practices ◽  
Sustainable Supply Chain ◽  
Chain Management ◽  
Content Type ◽  
Sustainable Supply Chain Management ◽  
Sustainability Performance ◽  
Tightly Coupled

Purpose – The purpose of this study is to evaluate the relationships between management, measurement and performance of sustainability in supply chains. The authors develop a framework which explores these links through decoupling as articulated by the institutional theory. They draw on a conceptual continuum of reactive-proactive sustainable supply chain practices and identify clusters of companies along these dimensions and evaluate the theoretical and managerial implications of this for sustainability performance. Design/methodology/approach – This study uses primary and secondary datasets from 12 inductive, multiple case studies across different industries. This method ensures that we are better able to encapsulate a broader and more diverse set of practices and settings which in turn adds robustness to the theory we induced from our findings. Findings – The authors find varying degrees of alignment between management practices and measurement systems of sustainable supply chains. Some firms better align their sustainable supply chain management and measurement practices than others, resulting in tighter coupling and ultimately improved sustainability performance in the supply chain. Research limitations/implications – Further research may explore the conditions under which firms decouple their practices and the contextual settings that are associated with decoupling, loosely and tightly coupled alignment. Additionally, the conceptual framework should be tested across countries, industries and different relationships between public and private organisations. Originality/value – This is one of the first empirical explorations of the decoupling theory and the reactive-proactive continuum in sustainable supply chain management.

Supplying networks in the healthcare sector

2016 ◽  
Vol 116 (8) ◽  
pp. 1493-1519 ◽  
Author(s):  
Chiara Paltriccia ◽  
Lorenzo Tiacci
Keyword(s):  
Inventory Management ◽  
Management Policy ◽  
Healthcare Sector ◽  
Collaborative Network ◽  
Periodic Review ◽  
Materials Management ◽  
Positive Interaction ◽  
Content Type ◽  
Two Factors

Purpose The purpose of this paper is to present a new outsourcing model for materials management related to the operating theatre of hospitals. Two distinguishing features characterize the model: the long-term collaborative network established among the supplying companies (the “Network factor”), and the implementation of the RFID technology along the supply chain (the “RFID factor”). The network factor allows sharing transportation costs, while the RFID factor allows implementing a continuous review policy, instead of the periodic review policy normally utilized in hospitals. In the paper the effect of these two factors on the minimization of total materials management costs is investigated. Design/methodology/approach An analytical model, validated through a simulation study, is proposed to calculate total management costs of materials, depending on the presence of the network and the RFID factors. Throughout the model it is possible to perform a scenario analysis and individuate the inventory management policy that allows minimizing total costs. The procedure has been applied to a real case study of a long-term collaborative network of supplying companies in the healthcare sector that operates in Central Italy. Findings The optimal inventory management policy strongly depends on the mutual distances of supplying companies and the hospital. Both of the two factors have an impact on the reduction of total annual costs. The analysis of the scenario shows that a positive interaction effect exists between the two factors, so that higher savings are obtained when both factors are present. Originality/value The outsourcing model presented in the paper is new, and the managerial insights that can be drawn from the application of the model to the healthcare sector can be extended to many other industries.

Development of supply chain value stream map for government-supported drug distribution system

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Anuj Dixit ◽  
Srikanta Routroy ◽  
Sunil Kumar Dubey
Keyword(s):  
Supply Chain ◽  
Distribution System ◽  
Management Practices ◽  
Drug Distribution ◽  
Healthcare Sector ◽  
Value Stream Mapping ◽  
Management Technique ◽  
Content Type ◽  
Value Stream ◽  
Healthcare Environment

PurposeThe requirement of high-quality government-supported healthcare services has necessitated the significance of recognizing new management practices to enhance patient satisfaction. Hence, the purpose of this study is to address the patient's enhanced custom needs through the implementation of supply chain value stream mapping (SCVSM) in government-supported drug distribution system (DDS) for enhanced patient's satisfaction.Design/methodology/approachThis study elucidates the role of one popular emerging management technique (i.e. SCVSM) in the healthcare sector by an investigative case study. The DDS in Rajasthan (India) was selected for this study. The data for this analysis were gathered in three ways (i.e. direct observation, documentary analysis and semi-structured interviews).FindingsThe outcome of this current study reveals that it is possible to apply the tool (SCVSM) to investigate the wastes in DDS to deliver the medicines at right time, right quantity and right quality. The application of SCVSM concluded that the various Kaizens (areas needed to improve) in lead time; transportation and routing should be adopted. The study further implemented kaizen on the current SCVSM and developed future SCVSM.Research limitations/implicationsAlthough various stages and functions exist in the healthcare supply chain, the current study is focused on the distribution system of drugs. The proposed approach provides a platform for both researchers and academicians to understand the existing DDS and to implement the SCVSM approach in the healthcare environment. The results show that the proposed SCVSM model is able to identify some operational bottlenecks and wastes which interfere in DDS.Originality/valueIt was observed that limited literature related to lean implementation on DDS and implementation of SCVSM on the healthcare environment in general and government-supported or public in specific are available. The current study on the application of SCVSM in DDS is unique in nature and will definitely add value to the existing literature of the application of value stream mapping (VSM) on the healthcare supply chain management field.

scholarly journals Management practices in Australian healthcare: can NSW public hospitals do better?

2016 ◽  
Vol 30 (3) ◽  
pp. 331-353 ◽  
Author(s):  
Renu Agarwal ◽  
Roy Green ◽  
Neeru Agarwal ◽  
Krithika Randhawa
Keyword(s):  
Best Management Practices ◽  
Management Practices ◽  
Public Hospitals ◽  
Healthcare Sector ◽  
Content Type ◽  
Hospital Size ◽  
Best Management ◽  
Hospital Beds ◽  
Education Degree ◽  
Hospital Manager

Purpose – The purpose of this paper is to investigate the determinants of best management practices in an Australian state-run healthcare system, namely New South Wales (NSW), and studies the impact of a range of hospital factors in driving best management practices as a means of enhancing healthcare delivery. Design/methodology/approach – This study adapts a unique survey instrument globally tested to quantify the multi-dimensional nature of hospital management practices in 42 acute care public hospitals of NSW. The authors then analysed the role of hospital-specific characteristics in driving best management practices, namely hospital size (measured by the number of hospital beds, employees and doctors), level of skill and education, degree of hospital manager autonomy and organisational hierarchy. Findings – The findings of this study show the areas of strength and potential areas of improvement in NSW hospitals. The authors find a positive association between the adoption of better management practices and hospital size (measured by the number of hospital beds and employees), level of skills and education, degree of hospital manager autonomy and organisational hierarchy. However, hospital size as measured by the number of doctors did not have a statistically significant relationship. Practical implications – This paper is of interest to both hospital administrators, clinical doctors and healthcare policy-makers who want to improve and develop strategies for better management in the healthcare sector. Originality/value – This study provides an internationally comparable robust measure of management capability in public hospitals, and contributes to the evidence-base of management practices and performance in hospitals.

TQM, SCM and operational performance: an empirical study of Indian pharmaceutical industry

2019 ◽  
Vol 26 (1) ◽  
pp. 331-370 ◽  
Author(s):  
Sanjay Sharma ◽  
Sachin Modgil
Keyword(s):  
Supply Chain ◽  
Pharmaceutical Industry ◽  
Inventory Management ◽  
Structural Equation ◽  
Management Practices ◽  
Operational Performance ◽  
Equation Modeling ◽  
Total Quality ◽  
Content Type ◽  
The Impact

Purpose The purpose of this paper is to investigate the impact of total quality management (TQM) and supply chain management (SCM) practices on operational performance, and their interlinkage between each other. Design/methodology/approach Constructs those are critical to pharmaceutical quality and supply chain have been identified with the help of literature and experts from industry. The impact of TQM practices on supply chain practices and on operational performance has been evaluated. Similarly, the impact of supply chain practices on operational performance has been evaluated. Further, alternate models are tested and evaluated through structural equation modeling. Findings It was observed during testing of alternate models that TQM practices have a direct impact on operational performance. However, TQM practices also directly impact supply chain components, which, in turn, influence overall operational performance. In comparison of alternate models, the model in which TQM practices affect supply chain practices and supply chain practices further affect the operational performance is found most appropriate. Practical implications This study provides some useful implications from industry point of view. TQM practices are critical to pharmaceutical industry. TQM practices are the core of attaining a smooth supply chain, which will have greater impact to achieve operational performance. Strategic supplier partnership, procurement management, information sharing, and quality and inventory management practices are driven by TQM practices. This tri-linkage helps to achieve the desired operational performance. Originality/value There are very limited studies that have considered both the areas together to achieve better operational performance. In pharmaceutical industry, both TQM and SCM are the critical areas for any organization to drive its growth.

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