HIPAA Times news | Concise, reliable news and insights on HIPAA compliance and regulations

Inventory optimization in healthcare practices

Written by Kirsten Peremore | Sep 5, 2024 10:25:01 AM

Inventory optimization is the strategic planning surrounding the management of medical supplies to minimize cost and waste.

 

What is inventory optimization? 

Inventory optimization is a systemic approach to forecasting, ordering, and managing inventory so that the right product at the right quantity is available at the right time. It’s used to maintain medications and medical supplies, ensuring patients receive timely and effective care while balancing cost considerations. 

A study published in SETLAbs Briefings states that the traditional inventory optimization method has three approaches, “Traditionally, three strategies have been employed by manufacturers to address uncertainty: (a) increase inventory levels to hedge against uncertainty, (b) develop supply chain flexibility to be more responsive to uncertainty, (c) improve forecast accuracy so that less uncertainty propagates to the manufacturing floor.”

In healthcare, administrators must hedge against uncertainties like sudden demand spikes and the risk of wasting expensive medical supplies. Flexibility allows a provider to remain more resilient and responsive to inevitable sudden changes. 

 

Using email in streamlining inventory optimization

When used correctly email becomes a solution for streamlining inventory processes. Creating dedicated email addresses or using subaddressing for different users can improve efficiency. A targeted approach organizes communications more effectively so that the right information reaches the right parties. 

Providers can then send and receive orders, confirmations, and updates about the status of supplies. HIPAA compliant emails can be automated and overseen by staff to ensure the smooth running of the process. 

See also: Top 12 HIPAA compliant email services

 

FAQs

What is automation? 

It refers to using technology to perform tasks with minimal human intervention. 

 

What is optimization?

Optimization is the process of adjusting resources to achieve the most effective results.