____________________________ EffectStrategies for minimizing the…

Question ____________________________ EffectStrategies for minimizing the… ____________________________ EffectStrategies for minimizing the bullwhip effect can be categorized in five areas: reduction of uncertainty, reduction of variability, development of strategic partnerships, realignment of incentives, and improved coordination within the supply chain. Each of these areas is detailed next.1.​__________________________. Reducing uncertainty throughout the supply chain is a main driver of minimizing or even eliminating the bullwhip effect. Timely and consistent data delivery assists in eliminating the duplication of effort.2. __________________________. The use of good forecasting methods __________________________. Minimizing variability helps reduce the overall bullwhip effect.3.​__________________________. Strategic partnerships have the ability to change the manner in which information is shared. In turn, better infor- mation can help __________________________. In the case of hospitals, the hospital administration could forge strategic alliances with medical specialists. Although this might not eliminate the bullwhip effect, it will in part reduce the effect.4. __________________________. Incentives are pervasive throughout the supply chain. In addition, each supply chain entity appears to be evaluated and rewarded based on different criteria. This disparity leads to a lack of coor- dination and meaningful information sharing and in turn exacerbates the bullwhip effect. These evaluation and reward systems should be modified to stress cooperation across stages.5.​Improved coordination within the supply chain. In points 1 to 4 the themes of reducing uncertainty and variability and improving information exchange play into the final area of improved coordination within the supply chain__________________________has the ability to bring about improvements in the other four areas and in turn improvements in the bullwhip effect __________________________ ChainVendor-managed inventory (VMI) is one technique that has become popular for addressing the areas isolating and tracking inventory. __________________________systems have been in use in the retail industry for a decade. VMI has the capability to forecast a hospital’s demand for supplies and can help eliminate the problem of over- stocking costs. In turn, demand ultimately drives the product ordering and replenishment cycles. __________________________focus on supply demand management in particular.VMI allows the supplier (typically a distributor) to respond to the hospital’s immediate supply needs as determined by the hospital’s own consumption data. Orders are generated on the basis of an economic order quantity (EOQ; covered in Chapter 15). __________________________ Ctakes into account factors such as safety stock, lead time, seasonality, and demand created by exceptional circumstances. As a result, the hospital is able to reduce its in-house inventory and lower its order management costs.The VMI software usually resides with the health care distributor (e.g., Cardinal) because of the benefits that a distributor can gain from the economies of scale (i.e., running the VMI application across multiple health care facilities). __________________________is also attractive to a distributor as a means to better understand its own demand for supplies and in turn more efficiently manage its own inventory and order processes.Definitions of __________________________ Experts in the field often define supply chain management as the sum total of parties involved, directly or indirectly, in fulfilling a customer request.Two of the most prominent professional __________________________  in the world define supply chain management as follows:The Institute for Supply Management defines supply management as “the identification, acquisition, access, positioning, management of resources and related capabilities the organization needs or potentially needs in the attainment of its strategic objectives. ________________________________ to Health CareIn turn, the nature of this book is quite different from the traditional operations text that may focus more on products and manufacturing from a perspective such as the automaker Ford, or a high-technology firm such as Hewlett-Packard, or a continuous processing company such as Alcoa.This text addresses the broader picture of operations and supply chain management tasks: not only the sourcing of materials, but also forecasting demand, developing and employing simulation models, discussing __________________________ , and the management of projects within health care. All of these topics will be applied to the health sector. Knowledge of these tasks will assist the health care professional and act as a building block for operations and __________________________.Given the unique nature of the health care profession, the hospital operations and supply chain manager most often has relationships with a wide variety of organizations that connect suppliers to the health care organization. These __________________________to group purchasing organizations, distributors, third-party ser- vice providers, information managers, and transportation support staff  _________________________________ defines supply chain management as the function that “encompasses the planning and manage- ment of all activities involved in sourcing and procurement, conversion, and all logistics management activities. Importantly, it also includes coordination and collaboration with channel partners, which can be suppliers, intermediaries, third party service providers and customers.”These definitions are very broad and contain customer-centric concepts, as they also consider new product identification and development, __________________________, and customer service as part of supply chain management.These definitions can be applied to health care operations and/or systems to include the flow of products and associated services to meet the needs of the health care provider and system and the patients served____________________________________________________INVENTORIESSupply costs are on average around 30 to 40 percent of total operating costs in most hospitals (Kehoe, December 2011 issue of Healthcare Facilities Management). In the recent past, many health care organizations were not focused on managing the supply chain, but relied on external entities called group __________________________(GPOs) to negotiate all of their contracts (e.g., Novation and Premier).Internal as well as external operations of a health care organization are encompassed by the logistics function. Externally, the distribution of health care products is a great challenge for the global logistics system. Firms such as Baxter, Cardinal, or even UPS act as third-party logistics providers (3PLs) since many health care organizations do not support their own logistics network. However, internally, health care logistics has organization-specific needs of purchasing, warehousing, transport logistics, and collaboration. __________________________health care logistics software to help in these areas.It can be said that the health care industry has been reluctant to follow the lead of manufacturing by __________________________inventory and logistical systems. However, the health care industry has begun to understand the benefits of JIT. By using bar code technology of medical products for faster delivery, reduced medical errors, and prevention of fraud and abuse__________________________see tangible benefits. Using a health care logistics software system can cut operation costs and result in lower patient care costs. Streamlining operations with suppliers through effective use of e-commerce can result from applying health care logistics tools. Efficient health care logistics systems can also reduce internal labor costs.__________________________is positioning itself for increased use of JIT inventory and logistical systems. In addition, review of the contractual agreements with GPOs and third-party logistics providers is paramount for the improvement in spend management. This can be witnessed anecdotally as those contracts become increasingly complex and tight budgets demand better control of costs. More health care organizations are being asked __________________________ (e.g., electronic invoicing and auditing thereafter). Health Science Science Nursing Share QuestionEmailCopy link Comments (0)