Savings Beyond Price

Innovative Supply Savings and Quality Solutions That Work

by Strategic Value Analysis® in Healthcare

 

Did You Know...?

That Value Analysis Was Developed Back In the 1940's After World War II as a Way to Find Lower Cost but Higher Quality Alternative products and methods. This was Due to the Lack of Material Resources At The End of The War.

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Savings Beyond Price -Weekly eNewsletter - September 19, 2008

Robert T Yokl - Healthcare Supply Chain Consultant Strategic Value AnalysisRobert T. Yokl

President & Chief Value Strategist

 

 

Greetings!

Thinking Lean

Believe it our not, studies have shown that in excess of 60% of the supply chain activities you perform every day add no value to either your internal or external customers. Simply put, they wouldn’t pay for them if they knew what the cost was to serve them.  Does this surprise you?        

Well it shouldn’t! I know of supply chain professionals that have been doing the same things every day, the same way, for 20 years who haven’t questioned why they are doing it. Nor, have they analyzed if their activities and processes can be leaned even further to reduce their cost-to-serve to their customers.

A good example of this un-lean thinking is that some hospitals are still stocking office supplies, x-ray film, paper towels and lab supplies in their warehouses when it adds no value to their customers to do so. These commodities should be delivered directly to their home departments by your suppliers to dramatically reduce your handling cost.

Value analysis is another area where lean thinking is absent in my judgment. I have seen as many as 35 members attend a value analysis committee meeting, which I would consider a mob, where little or no real work was accomplished.  Does having 35 members add value to your value analysis process?  By the way, we have found that 10 people is the ideal number of team members that you should have on your value teams.  

The lesson to be learned here is that we should all be THINKING LEAN (what would the customer pay for if they knew its cost) in everything we do, and then always be searching out new ways to reduce the cost-to-serve our customers.

THINKING LEAN is really a simple concept to learn and apply. If you want to save big by introducing practical ideas, methods and techniques the thinking lean concept will cut your costs to serve your customers one activity or process at a time.
 

Your Partner In Savings Beyond Price™,

Robert T Yokl

Chief Value Strategist

Strategic Value Analysis® In Healthcare

Bobpres@strategicva.com

800-220-4274

 

P..S. I’m happy to announce the release of our new Utilizer™ Dashboard Contract Driver module that will make your contract management job a whole lot easier. I consider it a way for you to have ultimate control over all of your contracts.

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P.P.S. Don’t forget to check out my new blog article “4 Tactics to Combat Complacency with the Status Quo" This blog is all about progressing beyond just price savings, and moving on to the next generation of savings productivity. 


How Good is Your Supply Chain Radar? 

Do you need to pinpoint where your supply utilization savings are hiding?

The term radar (radio detection and ranging) was coined in 1941, to describe a new technology that detected the altitude, direction and speed of fixed and movable objects, such as airplanes, ships,   motor vehicles, weather and terrain.

Radar worked so well in WWII  that it is credited as one of the reasons the Allies won the war. 

What makes radar so powerful is that it can pinpoint the exact location of something even when other search methods have failed. 

Now, take the radar analogy and apply it to your healthcare organization.  The bottom line is that price is no longer king, and we’re in turbulent economic times.  You NEED something to help you pinpoint where your savings are hiding if you’re to meet your benchmarks and savings goals. 

    That’s where our Utilizer™ Dashboard comes to the rescue!

You’ve got to attack unnecessary spending!

Just the other day, a material manager (MM) told me that she oversees 26,000 products, services and technologies, but has no way of knowing which are out of cost control at any given time.  As a supply chain professional, you know what that’s like.  You must hold your total supply cost to the absolute minimum—and doing this requires vigilance.

There’s no better way to be on the lookout for savings opportunities than with your own supply chain radar! The Utilizer™ Dashboard is exactly that! It will help you detect the waste, inefficiencies, misuse,    misapplication and value mismatches in your supply chain before they inflict serious damage to your bottom line.  Some of these misuses and mismatches are costing your healthcare organization anywhere from four to 11 percent in lost savings opportunities every month, quarter and year you continue to fly blind. 

This savings computes to 1 or 2 million dollars per 100 occupied beds.  So if you have 180-occupied beds, this could mean 1.8 million to 2.8 million going right to your bottom line—which isn’t small change when you consider that your price savings are disappearing every day.

 

Utilizer™ Dashboard is Fast, Easy, Efficient Radar—We Do the Heavy Lifting!

Because supply chain professionals have such limited time, it’s critical that when value analysis tools are employed, they provide a high ROI and require very little time and effort to be deployed by supply chain managers.  To our delight, that’s exactly how our new Utilizer™ works.  We do ALL the heavy lifting, and you reap all the savings. 

You Get More with the Utlizer™ Dashboard, Including Training in an

Award-Winning Value Analysis Program

When you use the Utilizer™ Dashboard, you aren’t just getting a software program and a “Best of luck,” from us.  We want you to succeed and see the value in this revolutionary program, so included in your purchase of the Utlizer™ Dashboard is a FREE Advisory Service that guides you through the implementation process to quickly and easily make your savings happen!

As a bonus, we will also train your value analysis team in our award-winning advanced value analysis training     program to smooth the road to change for you.  You’ve got nothing to lose and everything to gain, so give us a call today and start seeing immediate savings opportunities with the Utilizer™ Dashboard.

 

What People Are Saying about the Utilizer™ Dashboard

 “I thought the Utilizer™ Dashboard would      require more time—that I didn’t have—to manage it.  To my surprise SVAH, as promised, did all the heavy lifting and showed me where my savings were hidden, which actually saved me time. ”

 

“I believe that the Utilizer™ Dashboard is the right product at the right time at the right cost to drive out all of my supply chain waste.”

 

Quickly Schedule Your “Test Drive” Today!

Yes, call me to schedule my “Test Drive” today so I can see for myself the UTILIZER™  Dashboard in action and find out how I can take my supply chain to the next level of savings performance.

Yes Please Schedule My "Test Drive" of the Utilizer TM

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 Free Special Report

Supply Chain Utilization

Targeting your next big savings opportunities

"Could a misalignment that comes with a simple (and less costly) fix be eating away at your savings?"

"Beware of Standardization"

"Managing utilization costs can save six to 10 percent on total supply expenditures"


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