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Volume To Value
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In the next 20 minutes…
• Current state• Where we’re going• Value, not volume• Value measurement(s) & definitions• Questions & discussion
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Cpk 0.5 aka Sigma level 1.5 (at best)
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Re-inventing the wheel…
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http://jamanetwork.com/journals/jama/article-abstract/2552208 (University of Utah)
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• A “bad process”
• Not very capable of producing the results you want
• Lots of “width” & little space
• High risk for patient to have > 240 min
• Typical sigma level for healthcare processes
Low High
0 6
Z actual = 1.20
Z potential = 1.26
28024020016012080400
LSL USL
shifts and drifts were eliminated.Potential (within) capability is what could be achieved if process Actual (overall) capability is what the customer experiences. parts from the process that are outside the spec limits.• The defect rate is 11.50%, which estimates the percentage of
Upper spec 240Target *Lower spec 0
Customer Requirements
Mean 178.28Standard deviation (overall) 51.348
Actual (overall) capability Pp 0.78 Ppk 0.40 Z.Bench 1.20 % Out of spec 11.50 PPM (DPMO) 114951
Process Characterization
Actual (Overall) CapabilityAre the data inside the limits?
Comments
Capability Analysis for MDArrivalBadSummary Report
How capable is the process?
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Low High
0 6
Z actual = 4.15
Z potential = 4.21
21017514010570350
LSL USL
shifts and drifts were eliminated.Potential (within) capability is what could be achieved if process Actual (overall) capability is what the customer experiences. from the process that are outside the spec limits.• The defect rate is 0.00%, which estimates the percentage of parts
Upper spec 240Target *Lower spec 0
Customer Requirements
Mean 41.847Standard deviation (overall) 10.089
Actual (overall) capability Pp 3.96 Ppk 1.38 Z.Bench 4.15 % Out of spec 0.00 PPM (DPMO) 17
Process Characterization
Actual (Overall) CapabilityAre the data inside the limits?
Comments
Capability Analysis for MDArrivalSummary Report
How capable is the process? • A “good process”
• Very capable of producing the results you want
• Little “width” plenty of space
• Low risk for patient to have > 240 min
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Number of Lean 6 Sigma studies is on the rise…
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http://blog.minitab.com/blog/statistics-and-quality-data-analysis/qi-trends-in-healthcare:-what-are-the-statistical-soft-spots
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50% of payments tied to quality or
value…by 2018 (!)
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“Value” = ???
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http://thehealthcareblog.com/blog/
2015/12/03/the-meaning-of-value-in-health-
care/
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“Value” is defined as “the health outcomes per dollar spent.”
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Value = Outcomes / Cost…& needs the VOC
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“Cost” = ???
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Sounds awesome! …and no one
does it.
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Healthcare Value Process Index = (100) Cpk / COPQ*
*COPQ in thousands, eg $250,000 => 250…note the VOC
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COPQ = $200,000; so HVPI = 0.1
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COPQ = $125,000; so HVPI = 0.048
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Use & spread these tools in healthcare
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In summary: help your healthcare colleagues!
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• Available at Amazon.com
• bit.ly/volume2value
• Visit www.TheSurgicalLab.com
• Focuses on use of quantitative tools
• Stories of using tools in healthcare
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http://bit.ly/V2Vsurvey
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In the last 20 minutes…
• Current state• Where we’re going• Value, not volume• Value measurement(s) & definitions• Questions & discussion
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• workshops at your center
• http://Dav.id
• Stories of quality improvement (with tools) in Healthcare
• ThePhysiciansEdge.com