KUP

Key 4 – Reducing Inventory

Adaption Notes

This key is either a harder adaption or one of least return as it looks at reducing inventories. This is so a factory can a adapt quickly to changes or advancements in products. There are times when a practice changes it’s inventory e.g Flu season, where the number of influenza vaccinations ordered is critical to reduce waste.

Perhaps we need to think in terms of digital inventories, e.g the availability of pre bookable appointments gp, nurse or other e.g social prescriber. Another avenue that could be explored could be opitmisation of inventories – management and monitoring.

In the original 20 keys it talks about an intermediate inventory where at level 1 this is kept and there is no interest in getting rid of it. It is felt that this will solve delivery or production goals when am abundance of raw materials are available and will make employees work harder. However this is not the case and level one organisations are unable to understand why productivity does not increase.

Level 1

At level one, innovatory is overstocked and levels are not monitored which results in multiple instances where stock runs out. What monitoring does take place is where stock is hidden so when the stock runs out in storage staff will come looking for it. This triggers ordering of stock. Trust in the staff is low and staff do not inform anyone when they take the last of something or take more than they need, aware of previous instances where it is not available.

Appointments are booked well in advance, resulting in a high DNA rate (Did Not Attend).

  • Make stock easy to find, using methods defined in Key 1.
  • Limit the period patients can book ahead by 2 weeks.
  • Limit the number of leaflets or forms printed.
  • Create an inventory of stock and numbers
  • Identify activities that are wasteful, and add no or little value.

Level 2

  • Provide training to the team on how to identify waste or activities that add no value.
  • Removing waste is done systematically and in an order so that any unintended consequences are easily identified and if necessary, reverse the change that caused them.
  • The 20 keys system is used in full in administration and patient facing services with full engagement of staff.
  • Staff training is provided for inventory reduction. and general PPORGP
  • Inventory reduced by 50%*

Level 3

  • Other keys are employed to reduce the inventory further, specifically Key 8 (If above level 3)
  • There are clear objectives to reduce inventory for all staff.
  • Simplify process so less inventory is needed.
  • Cross check processes for common inventory reduction.
  • Use small lot production, e.g printing of leaflets, forms etc.

Level 4

  • Inventory reduced by 75%
  • Methods and equipment are standardised.
  • Waste reduction has got to the stage where processes can be combined to remove steps and increase efficiency.
  • Wasted motion, carrying stock from one location to another has also reduced by 75%
  • Inventory reduction now goes hand in hand with process reduction
  • Key 9 is of a high level.
  • Resolve performance/ production problems when balancing them with scheduling and other areas of PPORGP
  • All staff should be united as a team (from top to bottom), to continue to find areas of waste and inventory reduction.
  • Employees are cross trained (Key 15) to avoid delays introduced by absences and demand shifts.
  • Answering the demands of patients. The practice has perfected the ability to provide what the patient needs when they need it.

Level 5

  • All methods and equipment are in place.
  • Improvement and evaluation systems are perfected.
  • Inventory reduced by more than 80%
  • Key 12 is of a high level to allow further inventory reduction.

At this level a practice can easily adjust its workload so it can adapt to sudden changes in demand.