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Benchmark Data and Laundry Applications Presented by Janice Carter Larson, CLLM

Benchmark Data and Laundry Applications Presented by Janice Carter Larson, CLLM. Objectives. Define “Benchmarking” Find out what kind of industry data is available Learn how to use industry data to benchmark and identify opportunities for improvement. Industry Data Reports.

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Benchmark Data and Laundry Applications Presented by Janice Carter Larson, CLLM

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  1. Benchmark Data and Laundry Applications Presented by Janice Carter Larson, CLLM

  2. Objectives • Define “Benchmarking” • Find out what kind of industry data is available • Learn how to use industry data to benchmark and identify opportunities for improvement

  3. Industry Data Reports • Provide information on linen usage for inpatient, outpatient and surgical settings • Help determine product replacement requirements • Assist laundries and hospitals to set measurable goals for a linen utilization initiative

  4. Benchmarking Defined A process used in management in which organizations evaluate various aspects of their processes in relation to best practice usually within their own sector. This allows organizations to develop plans on how to adopt best practice and increase some aspect of performance. Benchmarking is often treated as a continuous process in which organizations continually seek to challenge their practices.

  5. Cause for Confusion “Best Practice” and “National Average” They’re not the same thing!

  6. Data Sources • Encompass National Average Database • The Phillips Report • New Encompass NADB Reports • Other Textile Provider Reports

  7. Hospital Data Variables • Product quality • Percentage of reusable OR linen • Reusable incontinent products • Number of departments authorized to wear hospital provided scrubs

  8. Encompass National Average Database • Designed for use primarily by hospitals • Published every two years • Data specific to linen usage • Does not contain replacement cost information or average cost per pound • Data pulled directly from computer reports, can now be done online • Data analyzed for accuracy

  9. Data Breakdown • Average pounds per APD by total hospitals, by staffed beds, by region • Average pounds per activity by inpatient, outpatient and surgical linen • Average pounds per activity by specific department • Average item usage per APD by total hospitals • Includes ranges for reference purposes

  10. “The Phillips Report” • aka the 2005 North American Edition Comparative Operating Revenues and Expense Profile for the Healthcare Textile Maintenance Industry • Designed for use primarily by OPLs, central and commercial laundries • Published every two to three years

  11. How do I get a copy? www.phillipsandassociates.com or (651)288-4950

  12. Data Breakdown • 17 Year Historical Cost Trends • Average Linen Pieces and Pounds Used by APD for Hospitals and Nursing Homes • Comparative Operating Revenue and Expense Profile • Laundry Plant Textile Replacement Factors • Laundry Plant Wage and Salary Profile

  13. Other Benchmark Tools • Children’s Hospital NADB • Teaching Hospital NADB • Level One Trauma Center NADB • Reports available from other textile manufacturers, commercial laundry companies or industry organizations

  14. Establishing a Baseline • Where are we now? • Where do we want to go?

  15. Common Baselines • Pounds per Adjusted Patient Day • Annual Clean Pounds ProcessedAnnual Adjusted Patient Day • Cost per Adjusted Patient Day • Annual Clean Pounds ProcessedAnnual Adjusted Patient Day versus • LBS per APD x Rate/LB Processing

  16. Linen Management Software • “Big Calculators” • Provide data in a variety of report formats that enable you to set your baseline and track your progress against industry benchmark data • Enable you to share information about your goals and progress with the end users or process owners

  17. “Rational Consumption” • the right product at • the right time for • the right reason in • Linen items are consumable medical supplies designed to be used for specific purposes. Creative use = Cost abuse!!

  18. Benchmarking Examples • United Laundry Services, HI • 9 hospitals, 2 Women and Children • Same product, same rate per pound • St. Joseph Health System, CA • 7 hospitals in California • Same product, same rate per pound • Providence Health System, CA • Two hospitals in SoCal • Same product, same rate per pound

  19. Benchmarking mistakes • Confusing benchmarking with participating in a survey • Confusing benchmarking with research • Thinking there are pre-existing benchmarks for everything • Choosing a process that is too large and complex to be manageable • Choosing a topic that is too intangible and difficult to measure • Goal is misaligned or cuts across other initiatives • Not establishing a baseline • Not researching the best practice thoroughly • Forgetting about service, delivery and customer satisfaction

  20. Key Points to Consider • “Apples to apples” - compare your facility to another as similar as possible • Use the data as a guide, not as an absolute • Some of the most effective benchmarking is done within a hospital or hospital system

  21. Keys to Success • Set measurable goals • Monitor progress, provide updates to participants to maintain motivation • Publish results, include cost savings • Continually review your current practice in order to identify opportunities for improvement

  22. “Some people change when they see the light, others when they feel the heat.” Caroline Schoeder

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