Practical implementation and optimization of a clinical supply chain technology: A case report of an improvement project using a data-driven strategy

Hospital supplies are the second largest hospital expenditure after labor cost, and management of inventory is complex. Supply management processes are often manual and reactive, lack clarity, and are overseen by both clinical and supply chain logistics teams where shared responsibilities can be challenging. Not having required supplies on-hand impacts patient safety and can encourage overstocking, potentially leading to waste when those products expire on shelves. Our large hospital system noted inconsistent inventory practices leading to operating/procedural room waste, inefficiencies, staff frustration and potential risk to quality of care. A quality improvement initiative was implemented to adopt a clinical supply chain technology to track and report use, non-use, and location of supplies. We provided weekly metrics to both logistics and clinical organizations and reported quarterly progress to leadership. Across 37 surgical and procedural departments within 11 hospitals, our quality improvement initiative improved our product expiration by 78 % and supply waste by 50 % with an 11 % reduction in owned inventory. It also built strong relationships between clinical and logistics and supported comprehensive patient charge capture for supplies. Using data-driven strategies we gained visibility and leveraged data to increase efficiency and reduce waste enabling our organization's supply chain to move from reactive to proactive. This case report describes the implementation and optimization of our clinical supply chain technology, and how the combination of people, processes, and technology transformed our supply chain, bridging the gap between our clinical and logistics organizations.