Family Health Centers Supply Chain

The purpose of this project was to research Lutheran Health Care’s Family Health Centers’ (FHCs) supply chain, find inefficiencies in this system, and make recommendations to improve these inefficiencies. The goal was to identify and address breakdowns in the system that led to increases in supply costs, delivery time to end-users, and increased personnel time needed to accommodate the current system. Methods used included multiple interviews with individuals from the FHCs, Purchasing Department, Department of Safety, and Finance Department. Analysis of objective data, including check requests, purchase orders, purchase requisitions, and delivery schedules obtained from the above departments was performed. These results were benchmarked against other organizations and compared with supply chain practices recommended in healthcare managerial literature. Recommendations to the client included standardization of the supply requisition process, increased compliance with policies and procedures, and ways to increase the accountability of users within the supply chain process.