Reducing Hospital Budgets through Supply Chain Improvement

Pressure is building on hospital executives and managers to substantially reduce operating costs, maintain a profit margin and improve the patient experience. The largest component of the hospital operating budget is the supply chain. Getting supplies when and where they are needed is costly and is quickly coming under the microscope of hospital administrators.

Using Kardex Remstar automated storage systems for the storage and distribution of goods and supplies within the supply chain can help achieve the substantial reduction in operational costs and improve the patient experience. Very often hospitals are using outdated technology and antiquated processes in the flow of materials handling.

For decades now other industries have been using automated storage and retrieval solutions such as horizontal and vertical carousels and vertical lift modules to improve productivity, save space and increase accuracy; leaning out wasted time and money in current processes.

Automated storage and retrieval systems can do the same in for hospital supply distribution. Integrating this technology with order processing software in the hospital supply chain creates a process that brings the goods to the worker, instead of the worker going to the goods. Increasing worker productivity can reduce operational costs and get supplies to the patient faster, improving the patient experience.

These systems also creates a labor savings opportunity and makes efficient use of the facilities floor space and cube. By implementing these systems, hospitals have realized sustainable reductions of waste attributed to pick errors, wasted labor, inflated inventories, expired product costs, lost items and workplace injury.

State of the art hospitals throughout the country have implemented Kardex Remstar automated storage and retrieval solutions and have seen reductions to operating costs throughout their hospital ranging from materials management, central sterile processing instrumentation, clinical laboratories and food services. With the pressure to decrease operational expenses; these low risk, high reward automated storage and retrieval solutions are worth a look.

Kardex Remstar, LLC, a company of the Kardex Group is a leading provider of automated storage and retrieval systems for manufacturing, distribution, warehousing, offices and institutions. For information on automated storage and retrieval systems, call 800-639-5805 or visit

Kardex Remstar Media Contact:

Christina Dube, Marketing Communications Manager, 207-591-3168

Kardex Remstar LLC

41 Eisenhower Drive

Westbrook, ME 04092

Tel 800-639-5805

Fax 207-854-1610

Ms. Debbie Maskin, Editor

Industrial Equipment News

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