Sustainability in the Supply Chain

1. Sustainability in the Supply Chain WSHMMA Annual Conference April 16-18, 2014 Laura Brannen

2. Overview • The AHA Sustainability Roadmap • Imagine a comprehensive toolkit for • Environmentally Preferable Purchasing Strategies • Key Cost Saving Opportunities

3. The Roadmap Imagine a toolkit contributed by expertise from across these PMGs AHA Sustainability Roadmapwww.sustainabilityroadmap.org

5. The Roadmap What would this look like? • A consolidated resource warehouse • Practical implementation tools (PIMs)

6. The Roadmap The Roadmap aims to provide: • Continuous improvement of tools through user feedback • A platform for knowledge exchange • Hospital staff • Vendors and industry experts

7. Stakeholders • Roadmap Allies • Adopt PIMs • Engage in a conversation • Business Partners • Contribute expertise • Roadmap Task Force Volunteers • Vet materials • Drive strategy

8. The Platform

9. The Platform

10. The Site

12. The Roadmap Participate! • Become an Ally • Utilize and provide feedback on the PIMs and resources • Submit a case study or PIM • Encourage your vendors to submit case studies and PIMs • Join the Listserv

13. AHRMM Task Force Your peers and business partners working to develop sustainability tools

14. AHRMM Task Force • Discusses and develops sustainability strategies • What does Cost-Quality-Outcomes mean for sustainability? • How can supply chain work more closely with vendors to streamline sustainability efforts? • Develops tools for purchasing staff: The Roadmap’s Performance Improvement measures Check out the task force online!

15. Environmentally Preferable Purchasing Strategies

16. EPP Strategies • Adopt a facility wide environmentally preferable purchasing policy (EPP) • Incorporate sustainability into your value analysis team/process • Maintain a list of chemicals/materials of concern • Collaborate with other departments • Leverage the expertise of your vendors and GPOs

17. EPP Strategies Adopt a facility wide environmentally preferable purchasing policy (EPP) • Environmental, human and financial health considerations (chemicals, waste, water, energy, IAQ, etc.) • Total cost of ownership, life-cycle costing, and Cost Quality Outcomes! • Sharing expertise between manufacturers, suppliers, vendors, and GPOs • Responsibility: contract administrators & value analysis teams • List KPIs for each contract

18. Key Performance Indicators – what are they anyway?

19. LCI, TCO, CQO • Life Cycle Costing • Total cost of ownership (TCO) • Cost-quality-outcomes (CQO)

20. EPP Strategies Incorporate sustainability into your value analysis team/process • Identify, vet, and recommend green products and services • TCO -- CQO • Standardized questions • Rethinking product costs and attributes • Verifying product claims

21. EPP Strategies Collaborate with other departments • EVS End of life disposal costs, cleaning attributes • Safety Haz/mat, IAQ, Joint Commission, regulations • Infection Control Re-usable products, cleaning chemicals

22. EPP Strategies Collaborate with other departments • Facilities Electrical/water/maintenance costs • Design & Construction Energy/water/operations/ materials/resources • Food Service Local/organic/reusable

23. EPP Strategies Leverage the expertise of your vendors and GPOs • Resources, tools and support mechanisms • 50 Ways to Go Green Checklist • Chemical Policy Statement • PVC-DEHP Elimination Resource Guide • SUD Reprocessing Toolkit • Audits and assessments • Utilize more reusable totes and shipping containers • Reduce/eliminate packaging or take it back for re-use • Deliver all printers and copiers set for double sided and black/white copying and printing • GPO product evaluation/steering committee participation • “Green Product Guide” • How much of your purchasing qualifies as “green”? • Vendor-specific sustainability programs (e.g. JnJ’s Earthwards)

24. EPP Strategies Example EPP Initiatives • Maintain organization-wide mercury-free policies • Install low-flow flush fixtures • Switch to reusable sharps containers • Reduce paper usage and sustainable printingstandards • Utilize sustainable carpet • Purchase EPEAT computers and monitors • Develop energy-efficient lightingstandards • Reprocess approved single-use devices • Purchase Energy Star rate office equipment and appliances  • Choose sustainable textiles • Utilize microfiber cloths and mops • Eliminate/minimize packaging or take back for re-use • Invest in re-usable options (toters, linens, OR products) • Develop take-back/leasing programs (copiers, TV’s, equip.)

25. Key Cost Saving Opportunities

26. Cost Saving Opportunities Single Use Device Reprocessing (SUD) • Gap analysis – surgical and medical devices • Develop business case • Gain senior leadership, physician, surgeon, nursing support • Implementation plan/process • Communication & education • Measurement & reporting

27. Cost Saving Opportunities SUD Reprocessing – Case Study

28. Cost Saving Opportunities Reusable Sharps Containers • Vendor audit • Cost/benefit analysis • Implementation plan/process • Replacement of disposal with re-usable • Collection process – internal vs. external • Communication & education • Measurement & Reporting

29. Cost Saving Opportunities Reusable Sharps Container - Case Study

30. Summary • The Roadmap is here to help you! www.sustainabilityroadmap.org • EPP Strategies: Incorporate sustainability criteria into your existing purchasing practices • Key Cost Saving Opportunities: Identify and switch to products with a lower total cost of ownership

31. Thank you! www.sustainabilityroadmap.org roadmap@mazzetti.com