Materials Management is a vital part of any organization. Particularly in a Hospital, Materials Management Department plays a significant role in the unhindered and proficient function of it. It means the supervision of materials likes Planning, Purchasing, Store & Inventory Control, Care and Preservation, Issue of materials, Accounting and Disposal of scrap. It is in direct contact with the operator department in its daily activities. The most significant objective served by stores is to offer a constant service to the numerous user departments. In the case of a Hospital, the Operation Theatre, Wards, Specialty Clinics, Units, Refraction Departments, Registration, Admission Departments etc. are examples of the operator departments. The efficacious and resourceful functioning of a department depends mostly upon how best the materials are provided by stores department to the operators. Further, stores are mostly linked directly with money, as materials have money worth.
Purchasing: Purchasing means to buy different materials by paying money or its equal from suppliers / salespersons. In this procedure, the resources are bought and assimilated using some uniform design. The action of purchasing is an essential task in the supply cycle. Purchasing is a store duty for the required materials of the right quality, at the right valuation, for the right source, at the right time and at the right place in the most cost-effective method. This also take account of choice of sources of supply, settlement of terms of purchase, assignment of purchase order, follow up, conservation of smooth relation with suppliers, authorisation of payments of suppliers, appraising and assessment of suppliers.
Storage and Preservation: These are an imperative part of the storekeeping role. When materials remain idle in the store, the materials need to be taken care of and looked after appropriately. Else, these materials may get damaged due to natural chemical reaction like rusting by moisture, melting by heat etc. and also may get affected by bugs, pests, rats etc.
In order to guard the materials from numerous adverse effects the store manager should take relevant measures.
The chief role of the Stores of a hospital is to maintain an uninterrupted supply of materials to the different departments so that smooth and efficient operation of the hospital is not impacted. In order to guarantee an unhindered issue of materials, an efficient procedure needs to be followed. Good stores systems can significantly help the Stores Manager in resolving issues, precise stock status reports, appropriate detection of discrepancies, and rapid clearance of goods inward notes to expedite bill payment, decline in losses etc.
Inventory Control: Inventory control is employed in curtailing the total cost of inventory. This includes physical control of materials, maintenance of materials, minimization of desuetude and damage through timely clearance and efficient handling, preservation of stores records, suitable location, and stocking. Store is also accountable for the physical verification of stocks and reconciliation them with book figures. The inventory ordering quantities, defining stock level, lead time analysis and reporting.
Inventory is a model in finance, which specifies goods including raw materials, work in progression, finished goods and so on in industrial initiatives. In order to confirm that producing and operating procedures will be carried out efficiently, enterprises must hold sensible inventory. Inventory is a prospective factor of producing because it needs to occupy certain capital. Meanwhile, it is also a kind of essential goods reservation for normal manufacturing. Therefore, the main undertaking of decision on inventory is how to evaluate the two facets so as to make the inventory neither extreme to form overstocked funds nor inadequate to result in deficiency of raw materials to produce or shortage of goods to sell. Under the condition of producing and selling smoothly, the best scheme that makes the cost lowest and the efficiency highest needs to be incorporated.
The inter-related tasks of the materials management are usually looked after by individuals. As the activities multiply, the functions of each entity becomes more and more dedicated. The integrated materials management theory necessitates central co-ordination of all these interconnected activities. Therefore the internal structuring of the various tasks as well as the association of the materials management divisions with the other divisions, technical, financial and marketing in the overall business becomes vital. Material management function ought to be supervised by a proficient professional who must be a member of the top management team as managing materials is a most important job.
Hospital materials management has faced many of the same problems as materials management worldwide. Many of the best practices in hospital materials management relate back to the same strategic sourcing policy in production materials management.
There are many practices for efficient material management. Some of these are:
1. Manage Money, not just Resources. While in a hospital setting, critical stocks must be accessible in the right place at the right time, many healthcare organizations currently fail to study what is the right place and how much is required where.
2. Co-operate with Physicians and Nursing Staff. In hospital materials management environments that do not use strategic cost management, administration personal manoeuvre the materials management program with little to no input from the real working staff.
3. Contemplate total cost, not just price. From ordering costs to the transport costs of materials, it is imperative for health care setting materials managers to evaluate true cost of inventory instead of looking sternly at money spent.
4. Create integrated Policies and Procedures. Using centralized ordering systems, such as those offered in an e procurement environment, help improve adherence to ordering policies and procedures. This reduces unconventional expenditure and helps ensure regular stock quality.
5. Develop a process, not departmental focus. Using reliable processes makes it easier to calculate the efficacy of the materials management method used. Pharmacy inventory management system should perform mostly akin to operating room inventory management methods.
6. Develop team focused, not individual focused processes. One single entity cannot effect a process. While it is important to have experts in material management rather than making several team members implement the process, the processes should back team goals, not the predilections of one staff member.
By evolving a materials management system that echoes these six best practices in hospital materials management, any medical system can reduce costs and improve patient results.