Six Sigma and Lean in healthcare logistics centre design and operation: a case at North Mississippi Health Services Online publication date: Fri, 05-Dec-2008
by Mingzhou Jin, Mike Switzer, Gozde Agirbas
International Journal of Six Sigma and Competitive Advantage (IJSSCA), Vol. 4, No. 3, 2008
Abstract: This paper presents a case study of applying the principles and procedures of Six Sigma and Lean Thinking in designing and operating a healthcare logistics centre. The customer needs were identified from the viewpoint of patients and four critical-to-quality parameters were defined as the fill rate, accuracy rate, efficiency and expiration/spoilage rates. Based on the identified core and value-adding steps, the centre layout was designed and 11 initiatives were implemented to improve the critical-to-quality parameters. The project resulted in better storage management, better use of space, an improved and cleaner workspace, more timely and efficient delivery of the right items with the right amount to the right patients and tracking and reducing waste. The logistics centre is currently running in a lean way, in the sense of the same amount of staff, more items to patients, and an $800,000 annual saving.
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