Supply Chain Tip of the Week: 3 quick tips to increase the health of your supply chain and decrease costs

There are several short-term changes facilities can undergo in order to see significant cost savings. Look within your current supply chain model to uncover these hidden inefficiencies.

Here are three quick tips we’ve gathered from our experience and supply chain experts to increase the health of your supply chain and decrease costs.

  1. Reducing the amount of same day deliveries. Unmanaged same-day delivery costs could be up to two times the costs of small parcel and large freight combined. i Take a deep look at your delivery schedule to assess how many couriers you use and how many drivers visit and re-visit the same facilities every day. Then, leverage your freight management capabilities to optimize these modes of transportation. 
  2. Regularly organize and reorganize stock rooms. Mismanaged stock rooms can significantly increase soft costs like staff time, but luckily, they are one of the most avoidable supply chain mistakes for most health systems. Knowing exactly where products live in the stock room limits the amount of time staff spends looking for product, giving them more time to treat patients. This both reduces soft costs and increases staff satisfaction.
  3. See where you can increase automation. Most health systems already implement automation in areas where tedious, repetitive processes reduce staff bandwidth. Although automation technology might exist at your facility, you may not be using it to its full capacity. See if you can expand this automation to other departments within your facility. 

Following these three tips can boost your supply chain health and cut your costs. For more insights and supply chain best practices, visit our supply chain center.

 

i http://interactive.cardinalhealth.com/same-day-solutions/p/1

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