Empirical comparison of just-in-time and stockless materiel management systems in the health care industry

Despite the limitations, this study is the first comparative empirical investigation of two relatively new materiel management systems applied in hospitals. The results show that hospital managers have significantly rated the possibility that more effective use of some materiel management resources can be achieved by adopting either a JIT or stockless system over conventional materiel management systems.     

Materiel executives and the managed cost continuum in a capitated environment

Strategies that involve supplier partnerships and pose high risk for both hospitals and suppliers are an increasing trend. The materiel management professional who is proactive and able to assess risks in a managed care contractual environment will be the winner as materiel management becomes a network function rather than individual hospital function.     

Children's hospitals: specialty hospitals that treat children specially

Any reader who has children will agree that they make special patients, whether at home or in the hospital. These patients have unique requirements for love and compassionate care, and children's hospitals deliver on their promises. The well-run children's hospitals researched for this article have converted their material management operational challenges to opportunities. They have built thoughtful material management strategic plans, reorganized their support services to provide customer service to end users, and they have centered their materiel management efforts around service and quality improvement.     

The materiel manager-chief financial officer alliance.

There is a gold mine of potential inventory reductions, expense reductions, and revenue increases in most hospitals that can be tapped by more intensive materiel management. The first step is incorporating the necessary ingredients for a strong materiel management effort--the right people and a state-of-the-art computer program. Reorganization may be necessary to establish a more unified, consolidated approach to materiel management. Second, conduct an audit of the entire hospital to identify opportunities for improvement and to establish baseline management data. Finally, push forward the process of system changes (which also establishes necessary controls) until results are accomplished--a process that usually requires one to three years. The alliance between the materiel manager and the CFO is definitely beneficial to the hospital and to the individuals involved.     

The materiel manager's role in executive management

The ability to achieve advancement for materiel management is a potential that few have challenged and achieved. Reasons for this lack of growth vary in degree, but the opportunities in the 1990s will be tremendous. The political skill and team leadership ability expressed by materiel managers throughout hospitals will ultimately result in whether this challenge is met or not. Materiel managers will need certainly to change their perception of their own role, as well as the perception of hospitals, in order to achieve this. The road will be challenging, but with the winning attitude, skill building, and proven management ability, I believe that materiel managers will become successful in hospital executive management in the 1990s.     

Business process reengineering: a pathway for performance improvement

Health care materiel management executives are coping with a revolutionary environment. Demands and constraints are being placed on hospitals that necessitate both long-term solutions and rapid responses. Materiel management executives can play a vital role in transforming their areas from a passive service center to an active command center. It is essential that the materiel management executive play an active role in the change process.     

Factors affecting development of crisis management mechanisms in hospitals

The growing competition among hospitals has almost dissolved hospitals’ absolute dominance over the physician–patient relationship. Many existing systems or regulations governing public organizations are so rigid that outstanding physicians in public hospitals may easily depart or be head hunted by competitors. Therefore, there will be more and starker challenges ahead of public hospitals. Through collection and analysis of a large sample, we attempt to apply a unique data validation method—nonlinear fuzzy neural network model to investigate the research issue. The questionnaire was administered to chairmen or physicians taking administrative positions in Taiwan’s public hospitals. The empirical results are as follows: Uncertainty of the hospital business environment is positively correlated with development of crisis management mechanisms; Operation of crisis management mechanisms is positively correlated with establishment of a medical risk management system; Organizational culture in public hospitals is disadvantageous to operation of crisis management mechanisms.     

Electronic data interchange in hospital materiel management

The survey findings reported here support the continued trend toward increasing application of computer linkages in hospital operations. A majority of the hospitals surveyed already had some sort of computer linkages with their suppliers, possibly an EOE system. There were strong indications of expanding computer linkages to other health care institutions, financial institutions, business partners (i.e., insurance companies), purchasing groups, supporting agencies (i.e., libraries, research laboratories, and counseling agencies), electronic mail, and patient billing. Private hospitals, especially nonprofit hospitals, were more aggressive in the implementation of computer linkages. The initial costs of electronic linkage systems seemed to be affordable, or well justified, as indicated by the relatively large number of medium-size hospitals already linked electronically to other institutions. Top management attention was positively related to the implementation of computer linkages to suppliers but played a lesser role in establishing other types of linkages. The overall optimism concerning future expansion of computer linkages suggests an increasingly important role for electronic linkages in materiel management.     

Tomorrow's materiel management executive today

As materiel management executives in today's market, the challenges of not only operating effectively but with fewer resources is a reality that has no end in sight. The role of the materiel executive in hospitals is moving from supply manager to resource consultant. This may be quite appealing to many of us; however, not all are prepared to assume these responsibilities. As a result, we find ourselves overwhelmed with information and examples of case studies from different facilities describing how they are resolving their individual issues. Reactions to these changes are met in different ways, ranging from marveling at others' imaginations to fear from not understanding how to commit to these radical new processes. Is there a proper way or a mold to use? I suggest not.     

CEO expectation: the Star Wars materiel manager of the 1990s, or C-3PO as role model

Materiel-intensive expenditures account for a significant portion of all hospital costs, second only to salaries and wages, yet materiel managers may often be overlooked as key members of the management team. This is alarming since the potential exists for materiel managers to impact annual savings of hundreds of thousands of dollars by operating efficient departments. Materiel managers have a tremendous opportunity to enhance their image and improve hospital productivity in the coming decade. The challenges of the 1990s will stretch materiel managers' skills toward enhancing their professionalism and achieving the expectations of themselves and top management. If materiel managers will effectively utilize (C3)PO they will increase their educational levels, continue to learn new skills, maintain a customer-oriented management style, exercise creativity, develop and adhere to standards, and be proactive in their responsibilities. The benefits of their success will be felt by patients, hospitals, the industry, and materiel managers everywhere.     

装甲装备周转器材多级库存控制优化研究

分析了我军装甲装备周转器材库存控制现状,借鉴供应链管理环境下的多级库存优化控制思想和美军先进的速率管理理论,采用联合库存管理和多级库存优化控制策略对周转器材库存进行优化控制。     

The effect of participative management on organizational performance: the case of Taiwan

The aim of this study is to investigate the impact of participative management on the behaviour of employees and the financial effectiveness of the enterprise. The analytical data are based on the survey of 308 Taiwan enterprises. Multiple regression results show that both suggestion system and labour-management committee have a positive impact on employees' behaviour in terms of turnover and absenteeism rates. Likewise, the quality control circle (QCC) and profit sharing have a positive impact on organizational effectiveness as seen in profit and revenue growth rates. However, employee stock-ownership plans and grievance-handling systems have negative effects on both performance indicators - employee behaviour and organizational effectiveness. The practical implications are also discussed.     

Strategic imperatives for managing materiel into the next century

The next century of opportunity is less than a decade away. Materiel management must involve itself in the strategic changes occurring within the health care industry and its respective institutions. Those materiel managers who are aggressively ensuring that their operations are supported by a well-developed and well-orchestrated operational infrastructure are now well positioned to address the future challenges of this decade. Unfortunately, many other materiel managers are focusing their attention and efforts solely on the management of materiel for which they currently have control. Materiel managers must develop an acute awareness of the support needs of their respective organizations. Those who are not apprehensive about venturing from the traditional materiel management world will be exposed to incredible educational opportunities and will receive responsibilities of unparalleled organizational importance.     

Materiel management and reimbursement in the American Association of Eye and Ear Hospitals

Simply stated, understanding how hospitals receive money enables materiel managers to save money. Reimbursement in the health care industry is a complex phenomenon, and the rules and regulations change annually, so that it is sometimes difficult to budget appropriately and estimate the hospital's bottom line accurately. The savvy materiel managers who can utilize the reimbursement concepts effectively will be highly regarded within their institutions.     

How is your materiel management audit program?

This article has provided a view from the auditor's eyes of some key components inherent in a sound materiel management system. Every system, however, has its own unique characteristics, some of which may contain internal control situations that are not addressed herein. Although most will apply, not every comment contained in this article will be practical to all systems. The hospital size, utilization, patient mix, service mix, physical outlay, organizational structure, financial condition, and management philosophy will all have an influence on the role of materiel management. Automation of various materiel management functions can be beneficial by providing informational and control enhancements not feasible in a manual system. However, automation also raises new internal-control concerns that need to be addressed. Strong internal control techniques and compliance with adequate policies and procedures will prepare materiel management for its role in future hospital operations.     

Restructuring materiel management functions: a method for prioritizing changes and reducing costs

The success of any manager depends highly on the ability to seize on opportunities that will achieve the organization's goals. Hospitals are currently searching for ways to reduce costs while maintaining or enhancing the quality of services. Quality services are increasingly being defined as those that are most responsive to customer needs. It is important, as hospital management restructures materiel systems or methods of operation for reduced costs, to focus on the user departments as the customers. The consolidation of materiel management activity should not be seen as a loss of control at the user department level. Instead it can be seen as a new way of providing service with higher quality. User departments should see concrete benefits on a weekly basis, including reduced time spent on materiel management functions; increased planning of purchasing, inventory, and distribution functions; and assistance in meeting restricted supply budgets.     

Sex discrimination in selection and compensation in Taiwan

This article describes the current status of women in the workplace in Taiwan. Statistical evidence shows sex segregation in the labour market. Discriminatory practices in the hiring process are documented via a content analysis of 7,037 classified ads. Overtly discriminatory actions, such as blatantly stated gender requirements in the classified ads, are shown to be still common in hiring practices. Census data on a gender gap in compensation shows that women in Taiwan evidently get less pay than men do for the same work. The ratio of female to male employees is significantly and negatively correlated with the ratio of female to male in pay. The higher the percentages of women in an industry, the lower the pay women get compared to men. Also, the ratio of female to male in pay is negatively related to the turnover rate. Companies that pay women fairly tend to enjoy lower turnover rates. The implications of these women's issues in human resource management in Taiwan are presented.     

Purchasing without paper (well, almost no paper).

This article describes the process by which one company was able to substantially reduce the amount of paperwork required for purchasing material. After considering all the variables that affected the amount of paperwork, it developed three different models to use in ordering materiel, one for materiel delivered by the vendor in standard containers, one for materiel delivered by a carrier in standard containers, and the last for materiel that is best delivered in variable quantities.     

Managed Care Incentives and Inpatient Complications

Managed care organizations control costs through restrictions on patient access to specialized services, oversight of treatment protocols, and financial incentives for providers. We investigate possible effects of such practices on the care patients receive by studying frequencies of in-hospital complications. We find significant differences in complication rates between managed care and fee-for-service patients. We investigate the sources of this variation by comparing probabilities of complications among patients with different types of managed care coverage and patients treated in different hospitals. For several patient categories, the differences in outcomes we find appear to arise not from differential treatment of patients within hospitals or from heterogeneity in patients, but from variations in care across hospitals that tend to treat patients with different insurance types.     

Materiel management reengineering: value creation through innovation

By reengineering their department's core processes, materiel managers can expand their role in the health care setting while realizing significant cost savings. Using a team model, Inova Health System materiel management staff integrated their processes for vendor selection, purchasing, inventory reduction, and utilization across three hospitals and ancillary services. An integrated approach at all levels of the organization gained buy-in from administrators and staff systemwide.