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Lean Healthcare -The Values Driven Approach

There's a lot of excitement today in theand learn about something new that could make
health care field about the benefits thatpatient care even better in a world of
Lean practice can bring. This is especiallyshrinking resources.The passion we saw in how
critical in an environment where patient carethey dealt with patients transferred to the
needs are climbing while the pool of skilledapplication of Lean in the same way they
resources and reimbursement for servicesapproached every other aspect of their jobs.
shrink. Lean Advisors Inc. is working in theThey used what they learned as they learned
healthcare industry to help them implementit and quickly became totally committed to
Lean in order to be able to do more with lessLean. Our challenge was, and is, keeping them
while doing it better. The key is to applyon Plan and completing their projects in the
Lean methods in an environment driven by thecorrect order so as not to create 'exciting
unique values that surround patient care.Aschaos', all too easy under the pressures of
in other industries, the customer should comeday-to-day emergencies and deadlines.
first. In healthcare that customer is the'Exciting Chaos' happens when you apply tools
patient and the patient drives the definitionin the wrong sequence and fail to improve the
of value. The product (test results in thesystem as a whole. Incremental or 'point'
laboratory) or service (patient care) canimprovements are, as we know, a recipe for
make the difference between life and death.disaster.In healthcare, cost containment can
That one element takes Lean to another levelbe critical, but patient quality, care, and
of importance in this industry.The needs ofservice have to be a priority. The industry
the patient are paramount and give newfaces growing financial constraints. The
meaning to Lean focus on the customer. Thenumber of patients is dramatically increasing
working environment is one driven by sharedand the cost of the improved technology is
values and passion in delivering top qualityrapidly going up. Administrators of
products and services to the patient. Withoutfacilities are being asked to accomplish much
Lean, healthcare will continue to havemore with less and less. Lean methods are
difficulty meeting the pressure to serve ancritical in bringing needed cost savings.What
increasing number of individuals at lesswe often see in health care are the same
cost.As the population ages, healthcare mustshort-term, knee-jerk responses to reduce
find new ways to meet the demand for theircosts that we have seen in the traditional
services. Turnaround time becomes a primaryindustries such as manufacturing. There is an
measurement that must improve whether it isimmediate impulse to cut assets and labor
in the hospital facilities or their testingresources. While these shortsighted responses
laboratories. Further, space is at a criticalmay allow them to meet an annual budget, they
premium in running all the functions within acertainly don't create better service or
hospital facility. Only Lean can provide along-term  solutions.
solution to space issues without either
downsizing staff or incurring large scaleLean ResultsLean doesn't focus on cutting
capital building costs.Lean PrinciplesOfpeople or assets; it focuses on improving
course, all of these improvements can'tactivities and processes in the system as a
compromise the quality - in fact, the qualitywhole. In order for any business or
must improve while working to serve patientsorganization to get better, they must learn
faster. This is the real challenge - and, ashow to remove the 'waste' in their system and
noted, it can be a matter of life andcreate value without adding staff or
death.The Lean principles of customer focus,resorting to large capital outlays.When done
speed of delivery, increased quality, andproperly, Lean removes 'wasteful' activities
flexibility in meeting ever-changing demandsand allows the professionals and staff of
fits 'perfectly'. Hospital and technicalhospitals, labs, and clinics to focus on more
laboratory professionals are surprised to seepatient value-based activities. The result is
similarities with other industries when theydoing more with less - more people can be
sit down and look at the benefits of applyingassisted with the same number of people, the
Lean methods in their environment. Once theysame (or less) space, and reduced costs of
have the 'right' Lean knowledge, and know howproviding services. Lean methods are indeed
to apply the tools properly, they are able tothe answer to the challenges facing
see that Lean implementation is imperative inhealthcare organizations and their staff.The
order to meet the needs of patients in comingClinic we talked about in this document has
years.Lean Advisors Inc. has recently begunproven that it can be done. They are now
work with the laboratory service division ofexpanding it to all their labs. They are
a world-renowned Clinic. We have seen theengaging their physicians, administrators,
power of adapting Lean to the health carescientists, lab professionals, and
environment and its values driven processes.technicians. The people in this Clinic are
The results in only a couple of months havepioneers and have paved the way for others in
been phenomenal. They have been able tohealthcare to follow. They have proven that
reduce lead times so Doctors can receivewith a passion driven by patient-focused
critical test information even more quicklyvalues, the 'right' knowledge, and a proper
than the organization's previous worldplan, the tremendous challenge facing them
leading delivery pace. These health carecan be more than met today and well into the
professionals accomplished this withoutfuture.Larry Coté is well known for his
adding more staff and without any largepenetrating analysis and creative energy. He
capital outlay or increase in space. Thewas with the Lean Enterprise Institute in
impact has been immediate and patients areBoston for almost two years as C.O.O./E.V.P.
being serviced faster and better. And thereHe was the Founder and President of the Lean
is every indication that the change isEnterprise Institute Canada.Over the years,
sustainable over the long term.You needLarry has worked with 100's of companies at
passion for improvement to be successful whenvarious stages of their Lean journey in many
transforming your organization to a Leandifferent business sectors. Larry has
Enterprise. Dedicated healthcare staff hasexpertise in Toyota Production System
plenty of that passion and this facility wasconcepts, diagnostics and assessment of Lean
no exception. They are passionate about theirreadiness. He works with the corporate
work and they, more than anyone, know theleaders to develop effective plans for
importance of speed and quality in meetingtransforming organizations using Lean and
patient's needs. The missing ingredient wasadapting it to their particular culture.Larry
learning the 'right' way that Lean could beCote
applied to make the transformation in a
hospital  environment.President
Lean MethodsThe healthcare workers in thisLean Advisors Inc.Lean Advisors Inc. (LEAD)
facility are used to change. Their professionprovides Lean Training And Lean
is constantly adapting to new technologies,Implementation support to organizations of
processes, regulations, and tools - they haveall sizes and sectors including healthcare,
learned to expect rapid change. Theseoffice, service, manufacturing, mining,
participants were more than willing to listenaerospace, food processing, high tech.



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