annabel 2

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Structure to follow: 1. Title: 2. Author: 3. Year: 4. Context: why was it written? written in response to ________? issues it covers? 5. Main Arguments? supporting statements? evidence? conclusive data? (guys we need this to make our research seemingly legit by quoting figures and numbers) 5. Conclusion -->future research issues the article points at Title: Managing Healthcare Supply Chain: Trends, Issues, and Solutions from a logistics perspectives Author: Charu Chandra, Swantantra K. Kachhal Year: 2008 Context: Issues covered: describes trends, issues and some solutions for logistics management for Health Care Supply Chain with concepts drawn from Industrial Engineering and Operations Research disciplines. Written in response to: demonstrate how use of simulation, optimisation and information sharing techniques can optimise purchasing and inventory policies Main Arguments: Need for efficient supply chain in the healthcare industry: - Cost and Risk - Significant factor of healthcare costs - Healthcare supply chain inefficiencies can contribute up to 48% of total annual costs

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annabel 2

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Structure to follow:

1. Title:2. Author:3. Year:4. Context: why was it written? written in response to ________? issues it covers?5. Main Arguments? supporting statements? evidence? conclusive data? (guys we need this to make our research seemingly legit by quoting figures and numbers)5. Conclusion -->future research issues the article points at

Title: Managing Healthcare Supply Chain: Trends, Issues, and Solutions from a logistics perspectivesAuthor: Charu Chandra, Swantantra K. KachhalYear: 2008Context: Issues covered: describes trends, issues and some solutions for logistics management for Health Care Supply Chain with concepts drawn from Industrial Engineering and Operations Research disciplines. Written in response to: demonstrate how use of simulation, optimisation and information sharing techniques can optimise purchasing and inventory policiesMain Arguments: Need for efficient supply chain in the healthcare industry: Comment by Annabel Seah: Yunting: can use this part for intro to explain why it is important to look at healthcare supply chain (cite this paper though)Comment by Annabel Seah: Fuen sorry you basically have to just summarise all this in the lit review but basically state how the ideas here supports the suggestions made by the other papers to improve healthcare supply chain (i.e inventory management RFID, Point of Use, Group Purchase, Demand driven ordering (yunting/ evelyn/ bels papers) Cost and Risk Significant factor of healthcare costs Healthcare supply chain inefficiencies can contribute up to 48% of total annual costs Need to successfully integrate every stage of the supply chain Reason to successfully integrate every stage of the supply chain and howComment by Annabel Seah: Evelyn: I think can use the figures below to substantiate the rest of the ways we suggested to improve inventory management/ why the ideas suggested by the papers (inventory management) ones works. i.e this idea is good because it saves XXXX% of procurement cost RFID, Group Purchase, Demand Driven Ordering etc. 5 stages to integrate: demand management, order management, supplier management, logistics management, inventory managementSupply Chain Management AreaHowPotential BenefitsPercent of Procurement Cost

Demand Management Forecast demand and implement a plan to facilitate fulfilment of supplies on a daily basis Standardisation of supplies to deliver them as a single unit of inventory Development of clinical guidelines to define supply requirements for key patient groupings

Minimised duplication, demand-driven ordering2% - 4%

Order Management Establishing standard order management processes RFID Consolidated purchasing2.5% - 4%

Supplier Management Reducing the number of suppliers that provide product to the healthcare system Group purchaseSupplier consolidation

Discounts from group purchase0.5-2%

Logistics Management Integrated logistics management that exploits efficiencies offered by consolidation of shipments, utilisation of service centres and transportation networks Capacity utilisation0.5-2%

Inventory ManagementReduce storage space, minimise SKU (stock keeping units), maximise inventory turnover ratesAutomated point-of-service distribution0.5-1.5%

*figures all taken from PriceWaterHouse CoopersConclusion Healthcare industry can achieve efficiency in their operations through adoption of technologies, standards and practices, and proven models and methodologies developed in the Industrial Engineering and Operations Research Areas, which have been successfully applied in many diverse industries for managing supply chain logistics.