Sustainability in the Supply Chain
WSHMMA Annual Conference
April 16-18, 2014
Laura Brannen
Overview
• The AHA Sustainability
Roadmap
• Imagine a
comprehensive toolkit
for
– Environmentally
Preferable Purchasing
Strategies
– Key Cost Saving
Opportunities
The Roadmap
Imagine a toolkit contributed by expertise from
across these PMGs
AHA Sustainability Roadmap
www.sustainabilityroadmap.org
The Roadmap
What would this look like?
• A consolidated resource warehouse
• Practical implementation tools
(PIMs)
The Roadmap
The Roadmap aims to provide:
• Continuous improvement of tools through
user feedback
• A platform for knowledge exchange
– Hospital staff
– Vendors and industry
experts
Stakeholders
• Roadmap Allies
– Adopt PIMs
– Engage in a conversation
• Business Partners
– Contribute expertise
• Roadmap Task Force Volunteers
– Vet materials
– Drive strategy
The Platform
The Platform
The Site
The Roadmap
Participate!
• Become an Ally
• Utilize and provide feedback on the PIMs
and resources
• Submit a case study or PIM
• Encourage your vendors to submit case
studies and PIMs
• Join the Listserv
AHRMM Task Force
Your peers and business partners working
to develop sustainability tools
AHRMM Task Force
• Discusses and develops sustainability
strategies
– What does Cost-Quality-Outcomes mean for
sustainability?
– How can supply chain work more closely with
vendors to streamline sustainability efforts?
• Develops tools for purchasing staff:
The Roadmap’s Performance Improvement
measures
Check out the task force online!
Environmentally Preferable
Purchasing Strategies
EPP Strategies
• Adopt a facility wide environmentally
preferable purchasing policy (EPP)
• Incorporate sustainability into your value
analysis team/process
• Maintain a list of chemicals/materials of
concern
• Collaborate with other departments
• Leverage the expertise of
your vendors and GPOs
EPP Strategies
Adopt a facility wide environmentally
preferable purchasing policy (EPP)
• Environmental, human and financial health
considerations (chemicals, waste, water,
energy, IAQ, etc.)
• Total cost of ownership, life-cycle costing, and
Cost Quality Outcomes!
• Sharing expertise between manufacturers,
suppliers, vendors, and GPOs
• Responsibility: contract administrators & value
analysis teams
• List KPIs for each contract
Key Performance Indicators
– what are they anyway?
LCI, TCO, CQO
• Life Cycle Costing
• Total cost of ownership (TCO)
• Cost-quality-outcomes (CQO)
EPP Strategies
Incorporate sustainability into your value
analysis team/process
• Identify, vet, and recommend green products
and services
• TCO -- CQO
• Standardized questions
• Rethinking product costs and
attributes
• Verifying product claims
EPP Strategies
Collaborate with other departments
• EVS
End of life disposal costs, cleaning attributes
• Safety
Haz/mat, IAQ, Joint Commission,
regulations
• Infection Control
Re-usable products,
cleaning chemicals
EPP Strategies
Collaborate with other departments
• Facilities
Electrical/water/maintenance costs
• Design & Construction
Energy/water/operations/
materials/resources
• Food Service
Local/organic/reusable
EPP Strategies
Leverage the expertise of your vendors and GPOs
• Resources, tools and support mechanisms
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–
–
50 Ways to Go Green Checklist
Chemical Policy Statement
PVC-DEHP Elimination Resource Guide
SUD Reprocessing Toolkit
• Audits and assessments
– Utilize more reusable totes and shipping containers
– Reduce/eliminate packaging or take it back for re-use
– Deliver all printers and copiers set for double sided and
black/white copying and printing
• GPO product evaluation/steering committee participation
• “Green Product Guide”
– How much of your purchasing qualifies as “green”?
• Vendor-specific sustainability programs (e.g. JnJ’s Earthwards)
EPP Strategies
Example EPP Initiatives
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Maintain organization-wide mercury-free policies
Install low-flow flush fixtures
Switch to reusable sharps containers
Reduce paper usage and sustainable printing standards
Utilize sustainable carpet
Purchase EPEAT computers and monitors
Develop energy-efficient lighting standards
Reprocess approved single-use devices
Purchase Energy Star rate office equipment and appliances
Choose sustainable textiles
Utilize microfiber cloths and mops
Eliminate/minimize packaging or take back for re-use
Invest in re-usable options (toters, linens, OR products)
Develop take-back/leasing programs (copiers, TV’s, equip.)
Key Cost Saving Opportunities
Cost Saving Opportunities
Single Use Device Reprocessing (SUD)
• Gap analysis – surgical and medical devices
• Develop business case
• Gain senior leadership, physician, surgeon,
nursing support
• Implementation plan/process
• Communication & education
• Measurement & reporting
Cost Saving Opportunities
SUD Reprocessing – Case Study
Fa c ility
900 Beds
300 Beds
25 Beds
90 Beds
65 Beds
25 Beds
25 Beds
300 Beds (LTC)
Total SUD Savings
Me d ic a l
$631,698
$166,878
$60,198
$49,530
$43,434
$35,814
$26,670
$376,105
Su rgic a l
$881,640
$195,735
$10,929
$28,915
$29,868
-
To ta l
$1,513,338
$362,613
$60,198
$60,459
$72,349
$35,814
$56,538
$376,105
$1,390,327
$1,147,087
$2,537,414
Cost Saving Opportunities
Reusable Sharps Containers
• Vendor audit
• Cost/benefit analysis
• Implementation plan/process
– Replacement of disposal with re-usable
• Collection process – internal vs. external
• Communication & education
• Measurement & Reporting
Cost Saving Opportunities
Reusable Sharps Container - Case Study
Summary
• The Roadmap is here to help you!
www.sustainabilityroadmap.org
• EPP Strategies: Incorporate sustainability
criteria into your existing purchasing
practices
• Key Cost Saving Opportunities: Identify
and switch to products with a lower total
cost of ownership
Thank you!
www.sustainabilityroadmap.org
roadmap@mazzetti.com