That’s right, healthcare supply utilization management isn’t about data; it’s about finding the answers to your wasteful and inefficient supply chain practices. This goal (finding answers) can only be accomplished if you:
- Structure your purchasing data: There are three types of data – unstructured (freeform); structured (spreadsheets and databases); and semi-structured (somewhere between freeform and structured). In order to have the cleanest data possible you will need to have a “structured environment” where every data element means something (e.g., account code, inventory number, vendor number, etc.). There should be no extraneous elements that have no meaning.
- Enrich your purchasing data: Your purchasing data alone is nominal, unless you enrich it with addtional data elements, such as, patient days, physicians’ names, cost accounts, etc., to locate your savings opportunities. As you can see, all of these data elements have a relationship with cost and quality. That’s the reason for the enrichment.
- Create your analytics to be meaningful: Your structured and enriched data can only be useful if it tells a story. That’s where your analytics (or quantitative analysis) comes in. You need to construct your analytics so that it discovers what you are looking for – savings and quality improvements.
This might seem like a long way to come up with the answers you are looking for to identify your utilization misalignments, but these answers can’t be guessed at. They must be discovered through a comprehensive process known as supply utilization analytics. The end result is hundreds of new savings opportunities right in your own backyard.
If you would like guidance with your supply utilization management analytics to discover new savings and quality improvements the easy way, just let us know at bobpres@strategicva.com and we will promptly schedule a demo.