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DPAandSCMNotes1.docx

Unit #11 Notes

Defense Production Act

Below is a link to information about the defense production act of 1950, that was enacted after World War II. This article describes what was put in place after World War II to be sure that we would be better prepared for any future man-made or natural disaster. Consider how this can relate to healthcare, particularly in our current pandemic.

https://www.history.com/news/defense-production-act-cold-war-emergency-truman

After reading this material, please read the information provided below the describes how supply chain management works.

Supply Chain Management

What is supply chain management? Supply chain management is a system of organization of all materials and supplies that are utilized by a business or any type of facility. It requires the installation of software to the information system. Managing supplies can be done by any type of business organization and is a particularly efficient method of ordering, tracking, and distributing supplies. It can also manage personnel and staffing.

Supply chain management is especially appropriate to medical institutions. Whether an institution is small or large doesn’t really matter, however it is it is very effective method for large businesses and organizations that have multiple locations. Orders can be placed to multiple vendors tracked for delivery times and possible delays. Once materials have been distributed to all locations, they can be continuously tracked and redistributed as needed.

I am providing an example of supply chain management in retail settings. Think of some of the larger stores that have multiple locations either within the state or nationwide. I think of stores such as Walmart, Kohl’s, Macy’s, Lowe’s, and Home Depot. When I go to any one of the stores to shop, I’m either looking for something that I need or something that’s on sale that I would like to purchase. If the item is not in stock, and associate can often look up on their system to see if it’s available in a nearby. If it is, I have the option of having it reserved for me and going to that location to pick up the item. Alternately I may find that it’s only available in the warehouse. I can then have the associate order for me, or I can order it myself for delivery to my home.

Sometimes I shop online. I often opportunity to select, via drop-down menus, not only the choice of item but whether I would like to pick it up in the store or have it delivered to my home. For store pickup, as in the example above, I may find that it’s available for store pickup locally or at another nearby location. It may only be available for shipping. I can then make an informed choice about my purchase. There are often many other tools online that allow you to compare similar products by the same or different manufacturers. These systems can be very simple or very complex

Based on the examples provided for retail organizations, consider how supply chain management system can being utilized for healthcare. As with the Defense Production Act, think about how supply chain management may be effective during a disaster, such as the current pandemic.

References

Tan, Joseph, Adaptive Health Management Systems, Concepts, Cases, and Practical

Applications, Jones and Bartlett Learning, fourth edition, 2021

Spring 2020, ABV

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