Inventory accuracy in 60 days!

Despite great advances in manufacturing technology and management science, thousands of organizations still don't have a handle on basic inventory accuracy. Many companies don't even measure it properly, or at all, and lack corrective action programs to improve it. This article offers an approach that has proven successful a number of times, when companies were quite serious about making improvements. Not only can it be implemented, but also it can likely be implemented within 60 days per area, if properly managed. The hardest part is selling people on the need to improve and then keeping them motivated. The net cost of such a program? Probably less than nothing, since the benefits gained usually far exceed the costs. Improved inventory accuracy can aid in enhancing customer service, determining purchasing and manufacturing priorities, reducing operating costs, and increasing the accuracy of financial records. This article also addresses the gap in contemporary literature regarding accuracy program features for repetitive, JIT, cellular, and process- and project-oriented environments.     

The Genesis Enterprise: creating peak-to-peak performance

Peak performance is often the beginning of failure. The process of continuously creating peak-to-peak performance defines the Genesis Enterprise. There will always be more problems than there are solutions. We need to install a process that anticipates and solves problems before they are problems and to continuously transform our organization into a championship organization that is nevertheless the underdog.     

Maximizing the potential of your systems

In the last two decades, manufacturing businesses throughout the United States have learned that an important factor affecting the productivity of their manufacturing systems when implementing manufacturing resource planning is the way they approach the implementation itself. Eighty percent of an implementation effort needs to be devoted to preparing people in the organization to use the system and only 20 percent should be devoted to purchasing the system.     

The learning curve and the health care industry

This article will examine the learning curve and its potential impact on the health care industry. Although the learning curve has traditionally been applied to the manufacturing industry, a labor-intensive industry like health care is a prime candidate for the benefits of the learning curve. Specifically, we will look at past research on the learning curve and discuss what effects learning might have on health care costs and outcomes in the current health care environment.     

Enhanced ABC costing for hospitals: directed expense costing

Space limitations do not allow a complete discussion of all the topics and many of the obvious questions that the preceding brief introduction to directed expense costing probably raised in the reader's mind. These include how errors in accounting practices like posting expenses to the wrong period are handled; and how the system automatically adjusts costs for expenses benefiting several periods but posted to the acquisition month. As was mentioned above, underlying this overtly simple costing method are a number of sophisticated and sometimes complex processes that are hidden from the normal user and designed to automatically protect the integrity and accuracy of the costing process. From a user's viewpoint, the system is straightforward, understandable, and easy to use and audit. From a software development perspective, it is not quite that effortless. By using a system that is understood by all users at all levels, these users can now communicate with each other in a new and effective way. This new communication channel only occurs after each user is satisfied as to the overall costing quality achieved by the process. However, not all managers or physicians are always happy that the institution is using this "understandable" cost accounting system. During one of the weekly meetings of a hospital's administrative council, complaints from several powerful department heads concerning the impact that the use of cost data was having on them were brought up for discussion. In defending the continued use of the system, one vice president stated to the group that cost accounting does not get any easier than this, or any less expensive, or any more accurate. The directed expense process works and works very well. Our department heads and physicians will have to come to grips with the accountably it provides us to assess their value to the hospital.     

A question of community: at not-for-profit hospitals health is a local affair

For-profit hospitals' entrepreneurial status, big business climate, and adherence to market discipline mandate that their services be considered akin to any other market commodity, to be bought and sold at the highest margin to the largest audience. Investor owned healthcare's primary allegiance must be a reasonable return to its stockholders and as a result it must avoid unprofitable services and unprofitable patients, by displacing their costly burdens onto the rest of the healthcare system.     

Collectively bargained public health benefit plans

The marketplace for health benefits for public sector employees is large and complex with a great variety of approaches for providing care and a difficult patchwork of regulatory and collective bargaining regulation to deal with in designing a plan. Public sector workers' plans are subject to an additional constraint provided by the political nature of the process. The products sold to public sector plans are not regulated as ERISA plans, given the exclusion of government plans and the differential regulation of collectively bargained plans under the HMO act. This article attempts to guide the reader through some of the difficulties of this marketplace, pointing out pitfalls and opportunities where they appear.     

The ABCs of effective communication

Communication is affected by the aim of the communicators, their bias, and the climate in which they are communicating. It is also affected by their attitudes, their behaviors, and their self-concepts. Finally, before communicating, they should assess the communication situation, create a blueprint for the communication, and choose a communication style. In other words, they should practice the ABCs of communication.