Chapter 1

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Healthcare Operations Management

© 2008 Health Administration Press. All rights reserved.

1

Chapter 11

Process Improvement and

Patient Flow

Process Improvement (PI)

• Measuring and improving systems

• Systems

– Processes

• Subprocesses

– Tasks

• PI tools can be used at any level

Healthcare Operations Management

© 2008 Health Administration Press. All rights reserved.

3

PDCA

• Plan : Define the entire process to be improved using process mapping. Collect and analyze appropriate data for each of element of the process.

• Do : Use process improvement tool(s) to improve the process.

• Check : Measure the results of the process improvement.

• Act to hold the gains : If the process improvement results are satisfactory, hold the gains. If the results are not satisfactory, repeat the PDCA cycle.

Healthcare Operations Management

© 2008 Health Administration Press. All rights reserved.

4

PDCA Graphically

4. Act to maintain it.

1. Plan your corrective action.

3. Check to make sure it is working properly.

Healthcare Operations Management

© 2008 Health Administration Press. All rights reserved.

2. Do it.

5

Flow

• Theory of swift, even flow

• Process is more productive as:

– Speed of flow increases

– Variability of process decreases

• Example: advanced access

– Decreased time from request to appointment

(speed)

– Decrease in no-shows (variability)

Healthcare Operations Management

© 2008 Health Administration Press. All rights reserved.

6

Patient Flow

• Hospital flow is negatively affected by variability in “scheduled” demand:

– Surgical admissions (scheduled)

– Medical admissions (emergency)

– When surgical admissions have high variability, backlogs and waiting occur

• NHS study showed that at 90 percent occupancy, only 60 –70 percent of patients were receiving active care.

Healthcare Operations Management

© 2008 Health Administration Press. All rights reserved.

7

Actions to Improve Inpatient Flow

• Establish uniform discharge time

• Write discharge orders in advance

• Centralize oversight of census and patient movements (care traffic control)

• Change physician rounding times

• Coordinate with ancillary departments on critical testing

• Coordinate discharge with social services

Healthcare Operations Management

© 2008 Health Administration Press. All rights reserved.

8

Why Use Process Mapping?

• Provides a visual representation that offers an opportunity for process improvement through inspection

• Allows for branching in a process

• Provides the ability to assign and measure the resources in each task in a process

• Is the basis for process modeling via computer simulation software

Healthcare Operations Management

© 2008 Health Administration Press. All rights reserved.

9

Process Mapping Basics

• Assemble and train the team.

• Determine the boundaries of the process (where does it start and end?) and the level of detail desired.

• Brainstorm the major process tasks and list them in order. (Sticky notes are often helpful here.)

• Once an initial process map (also called a flowchart) has been generated, the chart can be formally drawn using standard symbols for process mapping.

• The formal flowchart should be checked for accuracy by all relevant personnel.

• Depending on the purpose of the flowchart, data may need to be collected or more information may need to be added.

Healthcare Operations Management

© 2008 Health Administration Press. All rights reserved.

10

Patient

Arrives

at the ED

Intensive

ED Care

High

Triage -

Clinical

Complexity

Low

Waiting

Triage -

Financial

Admitting

Private

Insurance

Yes

Private

Insurance

No

Admitting

Medicaid

Waiting

Nurse

History/

Complaint

Waiting

Exam/

Treatment

Waiting Discharge End

Healthcare Operations Management

© 2008 Health Administration Press. All rights reserved.

Vincent Valley

Hospital and

Health System

Emergency

Department

(ED) Patient

Flow Process

Map

11

Process Metrics

• Capacity of a process : the maximum possible amount of output (goods or services) that a process or resource can produce or transform.

• Capacity utilization : the proportion of capacity actually being used. It is measured as actual output/maximum possible output.

• Throughput time : the average time a unit spends in the process. It includes both processing time and waiting time and is determined by the critical (longest) path through the process.

• Throughput rate : the average number of units that can be processed per unit of time.

• Service time or cycle time : the time to process one unit. The cycle time of a process is equal to the longest task cycle time in that process

.

Healthcare Operations Management

© 2008 Health Administration Press. All rights reserved.

12

Process Metrics (cont.)

• Idle or wait time : the time a unit spends waiting to be processed.

• Arrival rate : the rate at which units arrive at the process.

• Work-in-process (WIP), things-in-process (TIP), patients-in-process (PIP), or inventory : the total number of units in the process.

• Setup time : the amount of time spent getting ready to process the next unit.

• Value-added time : the time a unit spends in the process where value is actually being added to the unit.

• Non-value-added time : the time a unit spends in the process where no value is being added. Wait time is non-value-added time.

• Number of defects or errors .

Healthcare Operations Management

© 2008 Health Administration Press. All rights reserved.

13

Little’s Law

Average throughput time =

People (or things) in the system/Arrival rate

Example

• Clinic serves 200 patients in an 8-hour day (or 25 patients per hour).

• Average number of patients in waiting room, exam rooms, etc., is 15.

15 patients/25 patients per hour = 0.6 hours in the clinic

Healthcare Operations Management

© 2008 Health Administration Press. All rights reserved.

14

Basic Process Redesign Techniques

• Eliminate non-value-added activities

• Eliminate duplicate activities

• Combine related activities

• Process in parallel

• Use load balancing

• Use decision-based, alternative process flow paths

Healthcare Operations Management

© 2008 Health Administration Press. All rights reserved.

15

Basic Process Redesign Techniques

(cont.)

• Improve processes on the critical path

• Use information feedback and real-time control

• Ensure “quality at the source”

• Let customers (patients) do the work

• Identify bottlenecks and optimize

(Theory of Constraints)

Healthcare Operations Management

© 2008 Health Administration Press. All rights reserved.

16

Advanced Process Redesign Techniques

• Six Sigma (Chapter 8)

• Lean (Chapter 9)

• Discrete event simulation (Chapter 10)

Healthcare Operations Management

© 2008 Health Administration Press. All rights reserved.

17

End of Chapter 11

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