Proven LEAN Healthcare Services for Hospitals and Health Systems

In today’s challenging and competitive environment, Operational Excellence is more critical than ever for health care organizations. Is it really possible to offer excellent patient care and service, but still keep costs in line? Absolutely! Avera McKennan Hospital & University Health Center has experienced significant, measurable results through disciplined application of Toyota™ LEAN principles. In partnership with OpEx Inc. consultants, we’ve formed AveraOpEx. Our team is ready to help you implement LEAN healthcare solutions to streamline and improve your organization. Contact our LEAN experts today and learn how your hospital can achieve a higher standard of care, improved patient satisfaction and considerable cost savings.

Laboratory Turnaround Time Reduced by 44%

Once analysis was complete what became apparent was the degree of specialization in the lab - and the waste it was causing. "We had people who only did hematology or only chemistry" explains Leo Serrano, director of laboratories. "They'd finish what they were trained to do and then they would sit."

In addition to the waste of valuable lab technician time, other sources of waste - from instrument downtime for maintenance, to lost time dealing with batched work and poor inventory management - were all solved by Lean teams. This concentrated and disciplined approach to waste elimination resulted in overall turnaround time for all tests dropping from 62 minutes to just 35 minutes - a 44% improvement.

Hospital Emergency Department cuts patient LOS by 29% and saves $1.25 million in avoided construction costs.

Avera McKennan, already ranked in the top 5% to 7% in the nation in length of stay in an Emergency Department forms LEAN teams to see if more opportunities are possible…

The solutions were…

Resulting in…

• -Average TAT fell by 29% to 1 hr 54 min
• -Fewer rooms required in construction of new Emergency Department a cost savings of $1.25 million

RN assessment time improves by 44%

The LEAN Team working in the Ambulatory Care area emphasized incorporation of the principles of flow, and applied standard work to RN assessment, patient transport and post anesthesia recovery.

Reduction of 8 AR days results in $5.9 million cash infusion.

Avera McKennan's Financial Services and Health Information Management departments applied LEAN methodology in 8 critical areas:

• Medical record compilation standard work and accountability plan - discharge through completed Medical Record in HIMs
• Inpatient and outpatient record compilation through claims submission and follow-up
• Registration accuracy and effectiveness
• Claims accuracy and denial reduction
• Infusion Center - patient registration through business office
• Expansion of online Medical Records (Behavior Health Services, Surgical Day Care, Women's Center, Nursery and Cardiovascular Services)
• MEDITECH Information flow optimization (in conjunction with client server upgrading)

Resulting in…

• One time cash infusion of $5.9 million
• Reduction in Account Receivable days
• Increased productivity due to decreased handling
• Reduction of 12 days in actual claim TAT
• Improved patient satisfaction (Registration Press Ganey improved to the 97th percentile.)

Savings in Operating Room suture supplies $182,000

Determined effort in applying LEAN principles to Operating Room supplies results in innovative resupply indicators and savings:

• Standardization of Operating Room supplies in each suite
• Supplies reorganized to reduce walking waste
• Innovative designs of resupply indicators
• Most frequently used equipment assigned home locations
• Barcode supply reorder and inventory system implemented
• First-In-First-Out inventory principles applied
• Case carts built on demand

Resulting in…

• On hand suture supplies reduced by $182,000
• Saving 600 hours annually of nurse time by eliminating end of shift suite inventory
• Eliminating supply searches and rechecking case carts for appropriate supplies
• Increased available space in the sterile core
• Reduced nurse frustration
• Increased time for patient care