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COLLABORATIVE MANAGEMENT OF INVENTORY FOR IMPROVING THE EFFICIENCY OF APEX HOSPITAL

JAIPUR: AN ANALYTICAL STUDY

A Report of Project Work Submitted in Partial Fulfillments ofThe Requirements for the Award of Degree of

MASTER OF BUSINESS ADMINISTRATION

BHUPENDER KUMAR MEHTOENROLMENT No:-BM11/005

Under The Guidance ofAssociate Prof. Dr. SANDESH KUMAR SHARMA

NIMS Institute of Management & Computer SciencesNIMS University Rajasthan

Jaipur- 303001Rajasthan

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NIMS INSTITUTE OF MANAGEMENT AND COMPUTER SCIENCESJaipur – 303 001RAJASTHAN

BONAFIDE & FORWARDING CERTIFICATE

It is to certify that the Bhupender Kumar Mehto S/O Mr. Hari Har Mehto is a bonafide student of this institute with enrolment number BM11/005 Based on the written consent of the faculty guide Associate Prof. Dr. Sandesh Kumar Sharma we are forwarding his project report titled “COLLABORATIVE MANAGEMENT OF INVENTORY FOR IMPROVING THE EFFICIENCY OF APEX HOSPITAL JAIPUR: AN ANALYTICAL STUDY” for further evaluation to The Controller of Examinations NIMS University, Jaipur Rajasthan.

Ms. PallaviTomar (Director NIMSIM&CS) Certified that this dissertation is approved in quality and form

External Examiner Internal Examiner

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NIMS INSTITUTE OF MANAGEMENT AND COMPUTER SCIENCES

Jaipur-303001Rajasthan

Faculty Guides Certificate

TO WHOMSOEVER IT MAY CONCERN

This is to certify that the dissertation titled “COLLABORATIVE MANAGEMENT OF INVENTORY FOR IMPROVING THE EFFICIENCY OF APEX HOSPITAL JAIPUR: AN ANALYTICAL STUDY” is a bonafide work done by Bhupender Kumar Mehto S/o Mr. Hari Har Mehto under my guidance in partial fulfillment of Master of Business Administration programme of NIMS University Rajasthan. This report has been checked by me on the basis of the rough draft submitted and the view expressed in the report is only that of the researcher and not of this institute.

Date: - Associate Prof. Dr.Sandesh Kumar SharmaPlace: - (NIMS INSTITUTE OF MANAGEMENT & COMPUTER

SCIENCES NIMS UNIVERSITY, JAIPUR, RAJASTHAN)

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STUDENT DECLARATION

I do hereby declare that the project work title “COLLABORATIVE MANAGEMENT OF INVENTORY FOR IMPROVING THE EFFICIENCY OF APEX HOSPITAL JAIPUR: AN ANALYTICAL STUDY” is a record of bonafide work done by me under the supervision of Associate Prof.Dr Sandesh Kumar Sharma, NIMS Institute of Management & Computer Sciences Jaipur- 303001 and submitted to NIMS University, Rajasthan in partial fulfillment of the requirements for the award of degree of Master of Business Administration.

Bhupender Kumar MehtoMBA (HOSPITAL MANAGEMENT +OPERATION&PRODUCTION)

NIMS INSTITUTE OF MANAGEMENT & COMPUTER SCIENCENIMS UNIVERSITY, JAIPUR, RAJASTHAN.

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ACKNOWLEDGEMENT

Though it is difficult to express thanks in words, but it is pleasure to express my

gratitude to all those who in their own helped me in accomplishing this

work .Firstly, I humbly express my respect and full gratitude to “Dr. . Sudhinder

Singh Chawhan” the Principal of NIMS University, Jaipur for providing all the

requisites. I am obliged to Managing Director of the “APEX Hospital” for

granting the permission to do my project. I am very much delegated to thank

manager of APEX Hospital” for being continuous source of inspirations to me. I

am grateful to my faculty member “Dr.Sandesh Kumar Sharma” who have

encouraged and guided me throughout my project .At last with special

attention I give heartily thank to all the staff members of inventory departments

and HR department of “ APEX Hospital” under whom guidance, I could

perform my work successfully

THANK YOU BHUPENDER KUMAR MEHTO

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S.NO PARTICULATES PAGENUMBER

1 Executive Summary 08

2 Chapter-IIntroduction of Topic

09-22

3 Chapter-IIProfile of The Organization& Literature Review

23-37

4 Chapter-IIIResearch Methodology

51-54

5 Chapter-IVData Analysis & Interpretation

55-67

6 Chapter-VFinding & Inferences

68-69

7 Chapter-VIConclusion & Recommendation

70-72

8 Chapter-VIIBibliography

73

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SYPNOSIS PROJECT TITLE : COLLEBORATIVE MANAGEMENT OF INVENTORY

MANAGEMENT FOR IMPROVING EFFICIENCY OF APEX HOSPITAL: AN ANALYTICAL STUDY”

ORGANISATION : APEX HOSPITAL

PROJECT DONE BY : BHUPENDER KUMAR MEHTO

PROJECT GUIDE : DR.SANDESH KUMAR SHARMA (ASSOCIATE PROFESSOR) NIMS UNIVERSITY OF MANAGEMENT IM& C.S NIMS UNIVERSITY, JAIPUR, RAJASTHAN

DURATION : 45 DAYS

EXECUTIVE SUMMARY:-

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The inventory management is an indispensable part of health care organization. Due to emergent nature of work in hospital the role of inventory management is very crucial.

The purpose of this study is to determine the ways of achieving the effective inventory management system at APEX hospital, jaipur.

In first chapter we have given a general introduction of inventory management, objective of the study, need of study and scope of study.

In chapter two, the hospital profile and literature review talks about the issue in inventory management, empirical studies that have been carried out.

In chapter three gives research methodology, which consist type of research, research design, sampling, sample size, sample unit and limitations of the study.

Chapter four is an analysis of the collected data using pie- charts and interpretations are given.

Chapter five and six consists findings and conclusion& recommendations respectively.

To enhance the effectiveness of the existing inventory management system, the recommendations are as follows:

Well defined procedure of inventory management. Responsibilities should be clearly defined. Hospital should adopt accurately measure inventory level and forecast

supply needs methods. Use of advance technology in inventory management.

CHAPTER-1

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INTRODUCTION

INTRODUCTION:-

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What is inventory management?

Inventory management is primarily about specifying the size and placement of stocked goods. Inventory management is required at different locations within a facility or within multiple locations of a supply network to protect the regular and planned course of production against the random disturbance of running out of materials or goods. The scope of inventory management also concerns the fine lines between replenishment lead time, carrying costs of inventory, asset management, inventory forecasting, inventory valuation, inventory visibility, future inventory price forecasting, physical inventory, available physical space for inventory, quality management, replenishment, returns and defective goods and demand forecasting.In health care organization, inventory management and supply chain is a new way of conceptualizing medical inventory management. Supply chain is an indispensable component in inventory management. A supply chain as “a virtual network that facilitates the movement of product from its production, distribution and consumption”. In considering supply chains, health care manager are not only concerned with their relationship with the companies at the upstream source of the product to minimize their overall cost in supply management. The health care manager, as a leader of the provider link in the chain, is in a strategic position and should facilitate collaborative partnership with the adjacent links of the chain. Let us closely examine the various links in the supply chain from the perspective of a health care provider.

WHY KEEP INVENTORY?Why would a firm hold more inventory than is currently necessary to ensure the firm's operation? The following is a list of reasons for maintaining what would appear to be "excess" inventory.

a) MEET DEMAND .

In order for a retailer to stay in business, it must have the products that the customer wants on hand when the customer wants them. If not, the retailer will have to backorder the product. If the customer can get the good from some other source, he or she may choose to do so rather than electing to allow the original retailer to meet demand later (through back-order). Hence, in many instances, if a good is not in inventory, a sale is lost forever.

b) KEEP OPERATIONS RUNNING .

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A manufacturer must have certain purchased items (raw materials, components, or subassemblies) in order to manufacture its product. Running out of only one item can prevent a manufacturer from completing the production of its finished goods.Inventory between successive dependent operations also serves to decouple the dependency of the operations. A machine or work center is often dependent upon the previous operation to provide it with parts to work on. If work ceases at aWork center, then all subsequent centers will shut down for lack of work. If a supply of work-in-process inventory is kept between each work center, then each machine can maintain its operations for a limited time, hopefully until operations resume the original center.

c) LEAD TIME .

Lead time is the time that elapses between the placing of an order (either a purchase order or a production order issued to the shop or the factory floor) and actually receiving the goods ordered. If a supplier (an external firm or an internal department or plant) cannot supply the required goods on demand, then the client firm must keep an inventory of the needed goods. The longer the lead time, the larger the quantity of goods the firm must carry in inventory.A just-in-time (JIT) manufacturing firm, such as Nissan in Smyrna, Tennessee, can maintain extremely low levels of inventory. Nissan takes delivery on truck seats as many as 18 times per day. However, steel mills may have a lead time of up to three months. That means that a firm that uses steel produced at the mill must place orders at least three months in advance of their need. In order to keep their operations running in the meantime, an on-hand inventory of three months’ steel requirement would be necessary.

d) HEDGE.

Inventory can also be used as a hedge against price increases and inflation.Salesmen routinely call purchasing agents shortly before a price increase goes into effect. This gives the buyer a chance to purchase material, in excess of current need, at a price that is lower than it would be if the buyer waited until after the price increase occurs.

e) QUANTITY DISCOUNT .

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Often firms are given a price discount when purchasing large quantities of a good. This also frequently results in inventory in excess of what is currently needed to meet demand. However, if the discount is sufficient to offset the extra holding cost incurred as a result of the excess inventory, the decision to buy the large quantity is justified.

f) SMOOTHING REQUIREMENTS.

Sometimes inventory is used to smooth demand requirements in a market where demand is somewhat erratic.

There are three basic reasons for keeping an inventory:

1) Time - The time lags present in the supply chain, from supplier to user at every stage, requires that you maintain certain amount of inventory to use in this "lead time"2) Uncertainty - Inventories are maintained as buffers to meet uncertainties in demand, supply and movements of goods.3) Economies of scale - Ideal condition of "one unit at a time at a place where user needs it, when he needs it" principle tends to incur lots of costs in terms of logistics. So Bulk buying, movement and storing brings in economies of scale, thus inventory.

SUPPLY CHAIN MANAGEMENT OF HOSPITAL:-

The healthcare supply chain is composed of three major players at various stages: 1) producers, 2) Purchasers,3) Healthcare providers.

PRODUCER/MANUFACTURER:-

Producers include pharmaceutical companies, medical-surgical products companies, device manufacturers, and manufacturers of capital equipment and information systems. Purchasers include grouped purchasing organizations (GPOs), pharmaceutical wholesalers, medical-surgical distributors, independent contracted distributors, and product representatives from manufacturers. Providers include hospitals, systems of hospitals, integrated delivery networks

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(IDNs), and alternate site facilities. At a broader level, healthcare supply chains are very fragmented. The three players are largely operating independently from one another and coordinated supply chain management hardly exists. The Journal of the American Medical Association found that 85 – 90% of hospital cost structure is comprised of fixed costs (Roberts, 1999). This finding puts hospitals more in a league with transportation or heavy manufacturing than with most other service industries (Ward, 2006). Neumann indicates (2003) that supplies constitute 25% to 30% of a hospital’s total operating expense. In addition, 25% of those expenses are tied to administration, overhead, and logistics. The healthcare industry is slow to adopt the supply chain management techniques that have had proven success in other industries.

Distributors, Wholesalers, and Electronic data interchange (EDI):-

Distributors for medical-surgical suppliers are independent intermediaries who operate their own warehouses; they purchase the product from manufacturer and suppliers to sell to providers. The intermediaries are called distributor or wholesalers depending on whether the product’s final resale has another layer before reaching the customer. One of the most significant contributions of distributors to the health care supply chain was the deployment of electronic order-entry systems to their customer base.” Linking providers through electronic communication to their distributors is formally defined as electronic data interchange (EDI). EDI provides direct, real time computer to computer electronic transmission of purchase orders, shipping notices, invoices, and the like between providers and distributors. The cost for standardized EDI transactions for a purchase order, as compared to costs with manual systems, saves operational costs for both providers and distributors.

Group Purchasing Organizations (GPOs):-

Group purchasing organizations provide a critical financial advantage to providers, especially hospitals and hospital systems, by negotiating purchasing contracts for products and nonlabor services. A typical GPO has many hospital organizations as its members and uses this as collective buying power in negotiating contracts with many suppliers: of pharmaceuticals, medical-surgical supplies, laboratory, imaging, durable medical equipment, facility maintenance, information technology, insurance, and food and dietary products and services. The contracts usually last three to five years, giving providers price protection. The overwhelming majority of hospitals participate in group purchasing. Often a hospital belongs to one or more GPOs. The GPOs can be either for-profit and

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investor owned, or nonprofit. They differ in geographic coverage, size, and scope..E-Distributors:-

E-commerce in health care can be viewed from different perspectives. Here we will concentrate on two aspects: business-to-business (B2B) commerce and business-to-customer (B2C) commerce. B2B e-distribution provides efficiencies in many areas for providers, GPOs, and suppliers in the chain through reduced transaction costs and prices, reduced cycle times with automatic replenishments, deliveries on a JIT basis, and dynamic planning—all the way to upstream forecasting for pull-demand, rather than push-demand sales by suppliers. Firms provide e-Catalog, e-Request for Proposal (eRFP), e-Auction, and e-Specials (limited discounts on some items), which emulate traditional systems on-line and are available to both hospitals and physician offices.

NEW CONCEPT OF MATERIAL MANAGEMENTMaterials Management in Healthcare(A patient-centered approach)Materials management plays a crucial role in providing efficient healthcare by touching three vital aspects of medical supplies used in the hospital viz.

a) Availability,b) Safety andc) Affordability.

Supply chain is the lifeblood of a healthcare organization. As most departments depend heavily on supplies, materials management can ease or cramp a hospital’s operations. From a low cost needle to a high-end orthopedic implant, micro steel instruments or pieces of linen, supplies are indispensable during a patient’s stay at the hospital. Quality care cannot be provided on time unless required material is available in adequate quantity. Materials management plays a crucial role in providing efficient healthcare by touching three vital aspects of medical supplies used in the hospital viz. availability, safety and affordability.

Timing (The most crucial aspect):-

The time factor is probably not as crucial in any other field as it is in healthcare delivery where delay of a few seconds can cost a life. Moreover, availability of a low cost catheter is as critical as a high value pace maker when it comes to

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medical care. Therefore, inventory managers have the huge responsibility of making thousands of diverse medical consumables available on time. The challenge is even greater as the number of expected patients are unpredictable; suppliers are unreliable and costs are rising. With recent developments in automation and information technology and emerging trends in the medical supplies industry, materials managers are now better equipped to handle time constraints. Innovative inventory supply models like consignment and rental contracts have eased the pressure of making critical supplies available on time. Life-saving products like defibrillators, drug eluting stents and heart valves are available at hospitals at zero investment. The responsibility for replenishing the stock lies on the vendor. In addition, the patient benefits from the latest technological innovations without the hospital having to carry the fear of obsolescence.

Patient safety – (The first priority)

The safety of patient is the top priority in healthcare, and materials managers play a crucial role in protecting his / her interest. The biggest responsibility of a materials manager is to ensure that the products purchased for clinical use are of good quality. It can be achieved by developing a ‘product evaluation’ system consisting of well-defined parameters to guarantee that only approved products enter a hospital’s stockroom.Despite cost being an important criterion in assessing new products, safety and clinical efficacy concerns are prioritized. Physicians should be consulted to help determine if a new product is performing and producing desired clinical impact. Another effective way of determining the safety of a product is to check for CE mark or FDA approval. The vendor’s access needs to be restricted and back door sales discouraged to ensure that only properly reviewed products are brought into the facility.Materials managers need to take initiative in organizing hands-on training for caregivers to ensure safe use of complex and critical equipment like laparoscopic graspers, staplers and arterial filters. Absence of proper training can result in patient injury leading to serious medico-legal issues. Training programmes conducted by experts can be held either in-house or at specially designed state-of-the-art institutes equipped with ergonomically designed simulation labs and conference halls with telesurgery facilities. In many

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instances, clinical outcome improves with the use of advanced techniques and hence regular training should be encouraged.

Cost(An important variable) 

There is tremendous pressure on materials mangers to initiate serious cost cutting measures. While the cost of medical supplies has been spiraling up, greater number of patients is demanding high quality and reasonably priced healthcare services. Since cost of supplies forms a significant portion of healthcare expense, materials mangers should continuously strive to get better deals. Economical prices help ensure affordable medical care for vast majority. The healthcare organization in turn reaps the benefit of better revenue realization stemming from increased number of patients. While the prices available to an organization are influenced by the purchasing volumes, negotiation skills of the purchasing personnel also play an important role. Knowledge of competitive products, awareness of current market trends and capability to use the database for price/volume information helps tremendously in the bargaining process. Other sources for product related information, including regulatory issues are product fairs and conferences, internet articles and periodicals.Collaborative relationships with clinicians and networking with other hospitals and vendors can help in keeping abreast with latest products and upcoming technological trends. Such close and continuous interaction also gives important clues about non-performing products. Instituting an efficient system for payables is effective in getting rebates and discounts, which can be passed on to the patient. The medical supplies industry is flooded with innovative products and services. Materials managers should continuously scout for competitive alternative product / techniques that can give better outcome. While cost is an important criterion, quality of the product needs to be the primary concern to ensure that patient care is not compromised.

ConclusionA good inventory management programme is always patient-centred. While inventory is concerned with monetary issues, hospitals are in the business of serving patients. Although technology has an important role to play, the emphasis should be on using it in a way that makes a difference to the quality of patient care. Automating inefficient processes may not yield any productive result. Processes should be reengineered to make them more patient-friendly.

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Cost-effectiveness, time consciousness and safety are key drivers of a patient-centered approach. Once this goal is clear, technology can support and drive the efforts towards realizing efficiencies and improving the quality of health care services.

Requirements for effective inventory:

1. A system to keep track of the inventory in storage and on order.

2. A reliable forecast of demand.

3. Knowledge of lead times and lead time variability.

4. Reasonable estimates of inventory holding costs, ordering costs, and shortage costs.

5. A classification system for inventory items in terms of their importance.

TECHNIQUES USED IN INVENTORY MANAGEMENT

ABC ANALYSIS

VED ANALYSIS(Vital, Essential, and Desirable) FSND ANALYSIS(Fast, Slow-moving, Non-moving and dead stock) SDE ANALYSIS(Scare, Difficult and Easy) HML ANALYSIS(High, Medium and Low)

A-B-C ANALYSIS:-

The ABC analysis is a business term used to define an inventory categorization technique often used in materials management. It is also known as Selective Inventory Control. Policies based on ABC analysis:

A ITEMS: very tight control and accurate records B ITEMS: less tightly controlled and good records C ITEMS: simplest controls possible and minimal records

The ABC analysis provides a mechanism for identifying items that will have a significant impact on overall inventory cost, while also providing a mechanism

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for identifying different categories of stock that will require different management and controls.

The ABC analysis suggests that inventories of an organization are not of equal value.  Thus, the inventory is grouped into three categories (A, B, and C) in order of their estimated importance.

'A' items are very important for an organization. Because of the high value of these ‘A’ items, frequent value analysis is required. In addition to that, an organization needs to choose an appropriate order pattern (e.g. ‘Just- in- time’) to avoid excess capacity.'B' items are important, but of course less important, than ‘A’ items and more important than ‘C’ items. Therefore ‘B’ items are intergroup items.'C' items are marginally important. 

VED ANALYSIS:-

VED analysis divides items into three categories in the descending order of their critically as follows:

V’ stands for vital items and their stock analysis requires more attention, because out of stock situation will result in stoppage of production. Thus, 'V items must be stored adequately to ensure smooth operation of the plant.'E' means essential items. Such items are considered essential for efficient running but without these items the system would not fail. Care must be taken to see that they are always in stock.'D’ stands for desirable items which do not affect the production immediately but availability of such items will lead to more efficiency and less fatigue.VED analysis can be very useful to capital intensive process industries. As it analyses items based on their critically, it can be used for those special raw materials which are difficult to procure.

FNSD ANALYSIS:-

FNSD analysis divides the items into four categories in the descending order of their usage rate as follows:

'F' stands for fast moving items and stocks of such items are consumed in a short span of time. Stocks of fast moving items must be observed constantly and replenishment orders be placed in time to avoid stock-out situations.'N' means normal moving items and such items are exhausted over a period of a war or so. The order levels and quantities for such items should be on the basis of a new estimate of future demand to minimize the risks of a surplus stock.

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'S' indicates slow moving items, existing stock of which would last for two years or more at the current rate of usage but it is still expected to be used up.Slow moving stock must be reviewed very carefully before any replenishment orders are placed.'D' stands for dead stock and for its existing stock no further demand can be foreseen. Dead stock figures in the inventory represents money spent that cannot be realized but it occupies useful space. Hence, once such items are identified, efforts must be made to find all alternative uses for it. Otherwise, it must be disposed off.

HML ANALYSIS

Unit value is the basis of this analysis and not the annual consumption value.

H- Unit value>1000(Sanctioned by higher officials) M-Unit value 100to1000. L-Unit value<100.

SED ANALYSIS:-

SED analysis classified items into three groups called scarce, difficult and easy and focuses on ease of procurement as the criterion. The information so collected is then used for finalizing purchasing strategies. Scarce group include items of which there is death, are imported or obtained through canalizing agencies of the government. Such items are procured on annual basis without any EQO type analysis, difficult items include those items which are available indigenously but are not easy to procure due to exotic raw material being used. Certain items which are difficult to be produced due to design complexity also come under difficult category. Items under easy category are produced on a mass- scale, locally available, absence of string specification and are easy to produced.For the obvious reason scarce group is taken care by the experienced senior buyers while the easy group procurement is the responsibility of junior and inexperienced buyers.

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STATEMENT OF PROBLEM:-

A study on effectiveness of “Inventory management “at APEX HOSPITAL.

OBJECTIVES OF THE STUDY:-

1. To study the tools and techniques of inventory management adopted at APEX hospital.

2. To study the inventory control measures in inventory management.

3. To study how ABC analysis and VED techniques are implemented in inventory management.

4. To identify problems related to inventory management.

5. To study the inventory management procedure.

NEED OF THE STUDY:-

To improve and maintain relationship between Buyer – Supplier.

To reduce inventory by implementation of comprehensive methods of inventory management.

To improve supply- chain management. To get best quality material at competitive material. To reduce inventory cost by using methods of inventory

management. To improve overall performance of company by adopting

comprehensive methods of inventory management. To remove waste full activities by continuous improvement. To reduce input cost and increase output performance. To increase customer satisfaction by providing best service. To ensure cost efficient benefits to the organization. To maintain inventory and predict according to the forecasting

techniques.

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To enhance the effective use of resource to increase the productivity.

SCOPE OF THE STUDY:-

Inventory management being a very important concept in all the company’s having a void coverage often calls for the managerial attention. In the modern times inventory management has become the integral part of the all companies. So all the firm gives special importance for inventory management. The major objective of the study is to examine the effectiveness of inventory management system adopted by APEX hospital; the study mainly focuses on the techniques used by the hospital to control the inventory.

In supply-chain management. In productivity enhancement. In operation management. In assets management. In inventory forecasting, valuation and visibility. In quality management In demand forecasting

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CHAPTER-2

HOSPITAL PROFILE& LITERCTURE REVIEW

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HOSPITAL PROFILE:-

Apex Hospital is multi-specialty, 102 bedded, state-of-art medical center, in Jaipur (Rajasthan, INDIA). Established in year 1994, Apex became one of the first institutes in India to attain ISO 9001 under the leadership of the Managing Director, Dr S.B. Jhawar, a renowned name in the field of medicine over the entire belt of Rajasthan. Dr. S.B. Jhawar, M.D. (Medicine), worked in different hospitals in Dept. of Medicine/Geriatric Psychiatry in England (1975-76). He is one of the first practitioners to start and pioneer Ultrasonography in Rajasthan.From 1994, over the next few years, the hospital gained momentum by leaps and bounds as an impressive team of well known doctors joined in. Apex, since its beginning, set continual expansion and enrichment as its goal. Today, apex is one of the very few medical centers in the region with multi-specialty facilities for Cardiac care, Renal transplant, Joint replacement, Obesity surgeries etc. under one roof. We are committed to deliver high quality medical care at an economic price. Apex hospital is authorized by state government and other institutes ( Refer complete list ). The hospital is under process of getting NABH accreditation.A quick glance at Apex Hospital

Large building with 30,000 sq. ft. built up area

Total number of beds: 102 Intensive Care Unit: 15 beds Fully equipped Neonatal ICU 5 operation theatres 200 full-time employees 35 eminent consultants Cath labs & angiographies Kidney Transplants Obesity / Weight loss Surgery Medical Tourism Initiatives Featuring Tele-medicine

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Apex hospital is equipped with most modern technology & machines to provide authentic diagnostic services.

DIAGNOSTIC SERVICES

a) Cardiology:-

Cath Lab Angiography Angioplasty Echo, colour Doppler, CTMT, ECG.

b) ENDOSCOPY:-

Gastro-duodenoscopy and Sclerotherapy  Varicial ligation  Sigmoidoscopy  Coconoscopy  ERCP  Bronchoscopy and alveolarlavage Cystoscopy

C) RADIOLOGY:-

CT Scan Digital X-ray Barium studies Intravenous pyelography Ultrasound, HSG

D) CYTOLOGY AND HISTOPATHOLOGY:-

Analysis of all types of body fluids  Histological assessment of various biopsy specimens FNAC  Tru cut Biopsy & Laparoscopic Biopsy

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OTHERS:-

A) ENDOCRINOLOGY:-

Thyroid function test

Growth hormone

Prolactin

ACTH, Cortisol assay

B) OPHTHALMOLOGY:-

Complete evaluation with Slit lamp

Bimicroseopy

Automated refraction

Ultrasound scan, Contact lens

C) NEUROLOGY:-

EEG

EMG

Nerve Conduction Studies

D) BIOCHEMISTRY:-

Blood Sugar, GTT, Blood urea, Creatinine, SGOT/PT, Bilirubin

Total protein AG ratio

Alkaline Phosphatase Acid Phosphatase,

Calcium and Phosphate

Electrolyte, Total Lipids Profile

Amylase and Lipase, Cardiac enzymes 

(PK, MB, TropT, LDH, etc)

E) MICROBIOLOGY:-

Cultures

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GRAM's Stain Infection Control

F) PULMONARY MEDICINE:-

Lung function tests

ABG

FACILITIES:-

24 hours Emergency

State of art advanced Cath Lab ( Siemens Artis Zee ) with fully equipped

8 bed CCU

Fully equipped Neonatal ICU, Phototherapy, Radiant warmer, &

Exchange transfusion.

All vaccinations & Nebulizer therapy for asthmatic children

Five highly equipped operation theatres with a separate labour room.

Super deluxe & deluxe rooms (with A/C, Balcony, TV, Fridge, Telephone)

Cafeteria, Dormitory with bath / toilet for the attendants

24 hrs. Medical shop, Ambulance, Laboratory and Radiology services

Evening OPD ( 5- 7 PM): Dentistry, ENT, Gynecology, Medicine,

Ophthalmology, Physiotherapy, Surgery.

Aerobics Center : ‘Fat to Fit with Fun’

MLC Approved service.

INVENTORY MANAGEMENT IN APEX HOSPITAL:-

Material management department/ store department is indispensable for any

organization. The nature of work in hospital is always emergent and variable in

nature, due to unique feature of hospital industry makes it different from other

industries and the role of material management becomes very crucial. Material

management should keep in mind about this unique feature of hospital industry

and take decision for storage of material.

STORE MANAGER

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Apex hospital is multi-specialty 200 bedded, it has a store department in the

basement of hospital. Apex hospital is a small set up; therefore it has a single

department named as store department, which handles purchasing, storage,

issue and inventory control. Store department of apex hospital store

consumable, stationary, equipments and lab reagents.

HEIRARICHAL STURCTURE OF STORE DEPARTMENT:-

STANDARD OPERATING PROTOCOLS

Receiving the material at Receiving Bay

Receipt of Material in Stores from Receiving Bay

Receipt of consignment goods

Processing of Invoices for stocked material

GENERAL MANAGER

PURCHASE MANAGER

WARD BOY

STORE- IN-CHARGE

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Emergency Cash Purchase

Physical Stock Verification

PROCESS

Receiving the material at Receiving Bay

Material is first received at the receiving bay, where it is inspected for the items,

item quantity, batch no. and expiry date as per the challan or invoice.

Material in checked for Quantity and specifications, as per the purchase order.

If the material is found to be as per PO specifications, the receipt of goods is

acknowledged by stamping and signing the challan or invoice.

After accepting the goods in the receiving bay, the details of the goods received

are also recorded at the Security post near Receiving Bay. The security stamp

and signatures are put on the challan / invoice.

One copy of the challan is retained at the receiving bay and the other copy is

returned to the vendor.

The Goods Receipt Note is prepared at the receiving bay mentioning the

quantity accepted, batch numbers, expiry date, MRP, and details of Taxes and

Discounts if any. This updates the Main Store stocks. (Ideally, the stocks

should be updated after the quantities are received and verified in Main

Stores and are accepted on system by Stores.)

One copy of the challan is retained at the receiving bay and the other copy is

returned to the vendor.

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The Goods Receipt Note is prepared at the receiving bay mentioning the

quantity accepted, batch numbers, expiry date, MRP, and details of Taxes and

Discounts if any. This updates the Main Store stocks. (Ideally, the stocks should

be updated after the quantities are received and verified in Main Stores and are

accepted

on system by Stores.)

The goods are transferred to main stores along with two copies of the GRN.

Receipt of Material in Stores from Receiving Bay:

The items for which the GRN has been prepared at the receiving Bay are

transferred to the Main Stores along with two copies of GRN’S.

The items brought in are tallied with the GRN in terms of quantity, batch no and

expiry date etc.

In case the item quantity is as per the GRN, the receipt of goods is

acknowledged. One copy of the GRN is signed by the receiving person in

Stores, which is returned to Receiving Bay. This signed copy of the GRN is

attached with the original invoice and is forwarded to Accounts department for

releasing the payments.

The items are arranged in a manner, which helps dispensing according to the

FIFO principle i.e. in the ascending order of expiry date. Items with short expiry

are kept on the outer side and are dispensed earlier. Items with longer expiry

dates are kept at the back and are dispensed after the short expiry goods only.

(FIFO- First in First Out)

In case any item is supplied after 6pm when the receiving bay is closed, the

Main Stores receives the same.

30

The Pharmacist receives the material in the Basement near Security post.

The copy of the challan is signed and Security stamp is put after physical

verification of the goods.

The material is kept in the Main store, which is handed over to the receiving

bay next morning along with all the documents of receipt.

Receipt of consignment goods

Consignment goods are physically received in the Receiving Bay accompanied

with two Copies of challan. Preferably, only one item is received against one

challan.

The item received is checked for the Item name, qty mentioned, Batch no. and

expiry date. If the details mentioned on the challan are found to be correct the

goods are accepted. If not, the same are returned to vendor immediately for

necessary correction.

In case the details are found to be correct, both the challan copies are stamped

and signed at the receiving bay. The entry of the receipt of goods is made at the

security post near receiving Bay. One copy of the challan is returned to the

vendor and one copy is kept in Stores for records.

The details of goods received at the Receiving Bay are documented, which

include Item name, qty received, Batch no., Challan no/Date, Date of receipt of

goods, Name of the receiving person on a register.

31

The goods are transferred to Main Stores from the receiving Bay, along with the

documentation. If found correct, the goods are received in Stores. As an

acknowledgement of receipt of goods, the receiving person in Stores signs the

register.

The GRN (Receipt without order) of the consignment goods is prepared in Main

Stores. One GRN has only one consignment item.

In the GRN, all information like Challan No., Cost Price, MRP, Batch no. is fed

in. In the field of batch no., the challan number is also fed. (Batch no. / Challan

no.) This will give a unique Item Identity no. to the consignment item as there

may be more than one similar item of the same batch.

The print out of the GRN is taken which will be attached with the challan. The

GRN No. is mentioned over the challan copy. The attached challan and GRN

are filed company wise in the folders.

The challan no and GRN no. is mentioned on the box of the consignment item

in the given format (Challan no. / GRN No.)

The GRN results in the addition of this item in the Consignment inventory of

Main Stores, which is segregated in the report from the other stocked inventory

of main Stores.

After consumption of the consignment item, copy of the Invoice, challan, GRN

and patient consumption details are forwarded together to the Accounts for

processing of payments.

32

Processing of Invoices of stocked material

All goods are physically received in the Receiving Bay accompanied with either

challan or invoice. The invoice for the goods received on challan is received on

a later date.

The material is taken on HIS by making Goods Receipt Note after which it is

transferred to Stores.

Following documents are attached together before forwarding the invoices to

the Accounts department:

• A copy of GRN signed by the Stores for the receipt of goods

• Challan copy bearing security stamp for the entry of goods

• Original invoice

• Proof of any other payments made e.g. octroi.

For the material received on challan, the GRN does not have the Invoice no.

After the invoice is received, invoice no. is fed in the system as per the

provision provided in HIS.

Payment request is made on HIS.

Payment request will be approved on HIS after verification with the invoice.

Invoice is stamped, verified and signed for processing of payment.

Corresponding GRNs are also verified and signed.

33

The invoices are forwarded to Accounts for payment.

The list of challan nos. is prepared against which the material has been received

but the invoice has not been received from the vendor. This list is sent to

accounts by 1st of every month.

Physical Stock Verification

Complete stock verification of the Main Stores is done every three months and

that of “A category” (High value) items including consignment items is done at

least once a month.

Information about the stock verification is sent to all nursing stations and

departments, as stores remain closed during the period of stock verification. No

material transaction is done in this period.

Teams are made for different stores to carry out the stock verification.

All pending patient and departmental returns are accepted on HIS, against

which the material has been physically received in Stores.

All issues and receipts are stopped before the process of stock verification

begins. This is done so as to freeze the inventory.

Print out of the inventory valuation report is taken. The report is also saved in

an excel file.

The inventory valuation report is distributed to the team members and the

process of physical verification is initiated.

34

The process is carried out following the category wise verification since the

stocks are stacked category wise on the racks.

The physical stock is written against each item.

After verifying all the items in the list, the sheets are signed by the person who

has verified the stocks. The sheets are handed over to the Stores In charge once

the verification is completed.

The report of the stock verification is prepared and submitted to Accounts.

INVENTORY MANAGEMENT TECHINIQUES UEDE IN APEX

HOSPITAL:-

A-B-C Analysis

V.E.D Analysis

A-B-C Analysis:-

S.NO NAME OF ITEMS QTY RS TOTAL % C% CATEGARY

1 ELECTROLYTE REAGENT 26KIT 13125 341250 0.070353485 0.070353485 A2 HIV J MITRA 50 TEST 92 BOX 2882 265144 0.054663163 0.125016648 A3 GAUZE THAN

90X16MTR1200NO 150 180000 0.03710953 0.162126178 A

4 DENGUE NSI 10TEST 60KIT 2500 150000 0.030924609 0.193050787 A5 GLUCOMETER STRIP 15000NO 10 150000 0.030924609 0.223975396 A6 REGISTRATION FILE 20000NO 6.4 128000 0.026388999 0.250364395 A7 HDL CHOLESTROL 12KIT 10240 122880 0.025333439 0.275697834 A8 DILLUENT 20LTR 34NO 3000 102000 0.021028734 0.296726568 A9 LYSE 500ML 24NO 3360 80640 0.01662507 0.313351638 A

10 MALERIA KIT 122KIT 600 73200 0.015091209 0.328442847 A11 MICROPORE 1 3800NO 18.9 71820 0.014806703 0.34324955 A

35

12 COTTON ROLL 500GMS 840ROLL 85 71400 0.014720114 0.357969663 A13 BILLING RIM 90X12X3 212RIM 336 71232 0.014685478 0.372655142 A14 NANOLAB CUVETT 11BOX 6405 70455 0.014525289 0.38718043 A15 VACCUTE EDTA 1X50 270PKT 250 67500 0.013916074 0.401096504 A16 INJ TROFENTYL 10ML 700NO 95 66500 0.01370991 0.414806414 A17 VACCUTE PLAIN 1X50 264PKT 250 66000 0.013606828 0.428413242 A18 SURG GLOVES N.S

STERILE 100PKT 625 62500 0.012885254 0.441298495 A

19 ISOTROY 250ML 40NO 1522 60880 0.012551268 0.453849763 A20 SBC JAR 10LTR R1 245NO 247 60515 0.012476018 0.466325781 A21 VACCUTE NEEDLE

1X100135PKT 446 60210 0.012413138 0.478738919 A

22 MICROGEN -125 30NO 2000 60000 0.012369843 0.491108763 A23 SONOGRAPHY ROLL 150ROLL 380 57000 0.011751351 0.502860114 A24 LYSE H-18 11NO 5135 56485 0.011645177 0.514505291 A25 PAPER RIM 470RIM 118 55460 0.011433859 0.525939149 A26 IPD FILE 4000NOS 13.5 54000 0.011132859 0.537072009 A27 TRIVITROM GET GARD 5NO 9975 49875 0.010282432 0.547354441 A28 SURG GLOVES STERILE 70PKT 650 45500 0.009380465 0.556734906 A29 CRITICAL CARE CHART 7000NO 6 42000 0.00865889 0.565393796 A30 LABLE A4 ST 250NO 165 41250 0.008504267 0.573898063 A31 BED SIDE LOCKERS 17NO 2302 39134 0.008068024 0.581966088 A32 HBS AG STRIP 50 TEST 85 BOX 450 38250 0.007885775 0.589851863 A33 ALK PHOSPATE

ACCUREX 35KIT 1090 38150 0.007865159 0.597717022 A

34 ELECTROLYTE REAGENT H-18

3KIT 12390 37170 0.007663118 0.60538014 A

35 LETTER HEAD LAB 60000NO 0.6 36000 0.007421906 0.612802046 A36 ECG ELECTRODES 6600NO 5.25 34650 0.007143585 0.61994563 A37 URISTIX 100PKT 341 34100 0.007030194 0.626975825 A38 DIS MASK 16200NO 2 32400 0.006679715 0.63365554 A39 MEDICIAN CARD 10000NO 3.2 32000 0.00659725 0.64025279 A40 BILLURUBIN 38KIT 840 31920 0.006580757 0.646833547 A41 BED SIDE RAILING 60NO 525 31500 0.006494168 0.653327715 A42 MRD FILE 4000NOS 7.75 31000 0.006391086 0.6597188 A43 DILLUENT 20LTR H-18 8NO 3874 30992 0.006389436 0.666108237 A44 UREA KINETIC 13KIT 2275 29575 0.006097302 0.672205539 A45 AHD SPECIAL 500ML 120NO 236.25 28350 0.005844751 0.67805029 A46 MICROPORE 3 490NO 57.75 28298 0.005834031 0.683884321 A47 AMYLASE 4X10ML 11KIT 2567 28237 0.005821455 0.689705775 A48 CIDEX 5LTR 36NO 777 27972 0.005766821 0.695472596 A49 RINCE 20LTR 9KIT 3045 27405 0.005649926 0.701122522 A50 INJ TROFENTYL 2ML 800NO 34 27200 0.005607662 0.706730184 A51 URINE CONTAINERS 6700NO 3.94 26398 0.005442319 0.712172503 B52 PLAIN TUBE SKREW CAP 175PKT 150 26250 0.005411807 0.71758431 B53 BETADINE SCARB 747 100NO 262 26200 0.005401498 0.722985808 B54 SGOT 2X150ML 16KIT 1611 25776 0.005314085 0.728299893 B

36

55 SGPT 2X150ML 16KIT 1611 25776 0.005314085 0.733613978 B56 RINCE H-18 2LTR 11KIT 2300 25300 0.005215951 0.738829928 B57 UREA 160ML BIRTH

LOD20KIT 1260 25200 0.005195334 0.744025263 B

58 DISCHARGES TICKET 9000NO 2.7 24300 0.005009787 0.749035049 B59 EDTA VIAL TUBE 173PKT 140 24220 0.004993293 0.754028343 B60 LETTER HEAD APEX 40000NO 0.6 24000 0.004947937 0.75897628 B61 BILLING RIM 90X12X2 52RIM 446 23192 0.004781357 0.763757637 B62 MEDICIAN SLIP 2000PAD

S 11 22000 0.004535609 0.768293246 B

63 DIS SHARP CONTAINERS 150PCS 140 21000 0.004329445 0.772622691 B64 SPIRIT 4.5 LTR 56CAINE 375 21000 0.004329445 0.776952137 B65 PHYNOIAL 800LTR 26 20800 0.004288212 0.781240349 B66 ECG PAPER TMT 35NO 577.5 20212 0.004166988 0.785407337 B67 BIO BAG 20X24 BLACK 175KG 115 20125 0.004149052 0.789556389 B68 CRETININE 17KIT 1180 20060 0.004135651 0.79369204 B69 ADA MTB 15 TEST TULIP 20KIT 973 19460 0.004011953 0.797703992 B70 URIC ACID 160ML ACC 13KIT 1491 19383 0.003996078 0.80170007 B71 TREAT MENT SHEET 400PADS 48 19200 0.00395835 0.80565842 B72 PT CUVETT 2PKT 9500 19000 0.003917117 0.809575537 B73 RENOGRAPH 1LTR 5LTR 3623 18115 0.003734662 0.813310199 B74 ECG ROLL 6108 BPL 450ROLL 40 18000 0.003710953 0.817021152 B75 OMNIPAQUE 100ML 20NO 892.5 17850 0.003680028 0.82070118 B76 OXYGEN REGULATOR 20NO 892 17840 0.003677967 0.824379147 B77 SODALIME PLUS 5KG 6NO 2940 17640 0.003636734 0.828015881 B78 EEG ELECTRODES 80PCS 220 17600 0.003628487 0.831644369 B79 BIO BAG 30X36 BLACK 150KG 115 17250 0.00355633 0.835200699 B80 PAPER ECG RECORDING 25NO 656 16400 0.003381091 0.838581789 B81 TRIGLYCIRIDES 125ML

ACC7KIT 2313 16191 0.003338002 0.841919791 B

82 GLOVES EXAMINITION 80PKT 200 16000 0.003298625 0.845218416 B83 HAND WASH 5LTR 60LTR 260 15600 0.003216159 0.848434576 B84 CHIKUNGUNIYA 25 TEST 4BOX 3750 15000 0.003092461 0.851527037 B85 DIS CAP 7500NO 2 15000 0.003092461 0.854619497 B86 DISTILEED WATER 3000LTR 5 15000 0.003092461 0.857711958 B87 SEVERANE 250 2NO 6825 13650 0.002814139 0.860526098 B88 PLAIN TUBE 70PKT 190 13300 0.002741982 0.86326808 B89 PT REAGENT 6KIT 2185 13110 0.002702811 0.86597089 B90 E Z CLEANING SOL 6NO 2100 12600 0.002597667 0.868568558 B91 BETADINE SOL 2LTR 5% 65NO 190 12350 0.002546126 0.871114684 B92 PRESCRIPTION PAD 200PADS 58 11600 0.002391503 0.873506187 B93 SOAP LIFEBOUY 2400NO 4.75 11400 0.00235027 0.875856457 B94 BLUE TIP 65PKT 160 10400 0.002144106 0.878000563 B95 BIO BAG 18X18 BLACK 90KG 115 10350 0.002133798 0.880134361 B96 WIDAL KIT 34KIT 300 10200 0.002102873 0.882237235 B97 ECG FOLDER 4000NOS 2.45 9800 0.002020408 0.884257642 B

37

98 BIO BAG 20X24 RED 85KG 115 9775 0.002015254 0.886272896 B99 BIO BAG 20X24 BLUE 85KG 115 9775 0.002015254 0.88828815 B

100 CFL 11WATT 12NO 80 9600 0.001979175 0.890267325 B101 ACETIK ACID 2.5LTR 14NO 680 9520 0.001962682 0.892230007 B102 PROBE CLEANER 15NO 630 9450 0.00194825 0.894178257 B103 BIO BAG 20X24 YELLOW 80KG 115 9200 0.001896709 0.896074966 B104 CHOLESTROL ACC 6KIT 1491 8946 0.001844344 0.89791931 B105 CALSIUM CHL.15ML 8KIT 1090 8720 0.001797751 0.89971706 B106 CIDEZYME 1LTR 7NO 1240 8680 0.001789504 0.901506564 B107 DIS.GLASS 380PKT 22 8360 0.001723532 0.903230096 B108 ETO CARTRIGE 10BOX 832 8320 0.001715285 0.904945381 B109 GLUCOSE 1000ML 8KIT 1017 8136 0.001677351 0.906622732 B110 C,K MB 2X10ML CORAL 3KIT 2637 7911 0.001630964 0.908253696 B111 TISSUE PAPER ROLL 525NO 15 7875 0.001623542 0.909877238 B112 AIR FRESNERS 5LTR 12NO 650 7800 0.00160808 0.911485317 C113 DUSTBIN SMALL SIZE 120NO 65 7800 0.00160808 0.913093397 C114 ANTI ABD 12KIT 647 7764 0.001600658 0.914694055 C115 YELLOW TIP 48PKT 160 7680 0.00158334 0.916277395 C116 VACCUTE PT 24PKT 315 7560 0.0015586 0.917835995 C117 SOAP HAMAM 280NO 26 7280 0.001500874 0.919336869 C118 VACCUTE ESR 20PKT 362 7240 0.001492628 0.920829497 C119 REQUISITION SLIP 200PADS 35 7000 0.001443148 0.922272645 C120 FORMALIN SOL 5LTR 10NO 675 6750 0.001391607 0.923664253 C121 REGISTER 300PAGE 180NO 37 6660 0.001373053 0.925037305 C122 CRP OMEGA 6KIT 1100 6600 0.001360683 0.926397988 C123 COVER SLIP 11PKT 590 6490 0.001338005 0.927735993 C124 ALBUMIN 1X150ML 21 KIT 303 6363 0.001311822 0.929047815 C125 HARPIC TOILET

CLEANER 120NO 52 6240 0.001286464 0.930334279 C

126 INVESTGATION SUMMARY

130PADS 48 6240 0.001286464 0.931620742 C

127 C,K NAC 2X10ML CORAL 6KIT 1036 6216 0.001281516 0.932902258 C128 TOTAL PROTEIN

2X150ML22KIT 273 6006 0.001238221 0.934140479 C

129 SODIUM HYPOCLORIDE 360LTR 16 5760 0.001187505 0.935327984 C130 HISTORY SHEET 120PADS 48 5760 0.001187505 0.936515489 C131 NURSING ASSESMENT

PAD 120PADS 48 5760 0.001187505 0.937702994 C

132 MEDICIAN SLIP EMERGENCY

300PADS 18.5 5550 0.001144211 0.938847205 C

133 SONOGARPHY FOLDER 2000NO 2.75 5500 0.001133902 0.939981107 C134 INJ MORPHITROV

15MG300NO 18 5400 0.001113286 0.941094393 C

135 JHALAK POWDER 2.5KG 180NO 30 5400 0.001113286 0.942207679 C136 GATE PASS YELLOW 12000NO 0.45 5400 0.001113286 0.943320965 C137 MICRO PROTEIN 4KIT 1330 5320 0.001096793 0.944417758 C138 ID BAND WHITE 7000NO 0.75 5250 0.001082361 0.945500119 C

38

139 VACCUTE GLUCOSE 16PKT 328 5248 0.001081949 0.946582068 C140 CFL 18WATT 45no 115 5175 0.001066899 0.947648967 C141 AUTOCLAVE TAP 10NO 513 5130 0.001057622 0.948706589 C142 MICROSHIELD 500ML

63615NO 320 4800 0.000989587 0.949696176 C

143 COUNSELLING PAD 100PADS 48 4800 0.000989587 0.950685764 C144 NURSING

REASSESMENT4000NOS 1.2 4800 0.000989587 0.951675351 C

145 REGISTER 180PAGE 185NO 25 4625 0.000953509 0.95262886 C146 BIO BAG 18X18 YELLOW 40KG 115 4600 0.000948355 0.953577214 C147 BIO BAG 18X18 RED 40KG 115 4600 0.000948355 0.954525569 C148 BIO BEG 18X18 BLUE 40KG 115 4600 0.000948355 0.955473924 C149 SPONG 11X11 350NO 13 4550 0.000938046 0.95641197 C150 ECG GLOSSY PAPER 25PKT 180 4500 0.000927738 0.957339708 C151 AMBO BAG 5NO 890 4450 0.00091743 0.958257139 C152 SURGERY REPORTS 1000NO 4.4 4400 0.000907122 0.95916426 C153 FILE INDEX 136NO 32 4352 0.000897226 0.960061486 C154 CHARGES SHEET 60PAD 72.5 4350 0.000896814 0.9609583 C155 RING FILE 95NO 45 4275 0.000881351 0.961839651 C156 PEN DRIVE 4GB 12NO 350 4200 0.000865889 0.96270554 C157 SOAP ROSE MINI 2200NO 1.9 4180 0.000861766 0.963567306 C158 STEPLER PIN BIG 40PKT 10 4000 0.000824656 0.964391962 C159 R FACTOR 3KIT 1300 3900 0.00080404 0.965196002 C160 DIS SYRINGE 5ML DISPO 2000NO 1.89 3780 0.0007793 0.965975302 C161 BANDAGE 6 55PKT 68.25 3753 0.000773734 0.966749036 C162 SODIUM HYPO 5LTR

RANBAXY 10NO 375 3750 0.000773115 0.967522151 C

163 DIS SYRINGE 2ML DISPO 2400NO 1.47 3528 0.000727347 0.968249498 C164 ID BAND PINK 2000NO 1.75 3500 0.000721574 0.968971072 C165 GLASS SLIDE 85PKT 40 3400 0.000700958 0.96967203 C166 OT BULB 12V50W 35NO 97 3395 0.000699927 0.970371957 C167 CBC MACHINE ROLL 75 NO 45 3375 0.000695804 0.971067761 C168 SONOGRPAHY JELLY

250ML 200NO 16.27 3255 0.000671064 0.971738825 C

169 ECG JELLY 250ML 200NO 16.27 3254 0.000670858 0.972409683 C170 SWICH 16AM 40NO 79 3160 0.000651478 0.973061161 C171 HCV J MITRA 50TEST 1BOX 3097 3097 0.00063849 0.973699651 C172 BANDAGE 4 65PKT 47.25 3071 0.00063313 0.974332781 C173 CARBOLIC ACID 28NO 108 3024 0.00062344 0.974956221 C174 PEN 1500NO 2 3000 0.000618492 0.975574713 C175 ODONIL 100NO 29 2900 0.000597876 0.976172589 C176 FEVI STICKS 100NO 28 2800 0.000577259 0.976749848 C177 C.K PREST 2X6ML 1KIT 2750 2750 0.000566951 0.9773168 C178 SOCKET 16AM 50NO 55 2750 0.000566951 0.977883751 C179 SODALIME DRAGER 5KG 5NO 515 2575 0.000530872 0.978414623 C180 DIS SYRINGE 10ML

DISPO800NO 3.15 2520 0.000519533 0.978934157 C

39

181 SBC JAR 10LTRR2 10LTR 247 2470 0.000509225 0.979443382 C182 EEG PASTE 20NO 120 2400 0.000494794 0.979938176 C183 BLOOD SUGAR PAD 50PAD 48 2400 0.000494794 0.980432969 C184 FILE COBRA 300NO 8 2400 0.000494794 0.980927763 C185 INJ MORPHITROV

10MG150MG 15 2250 0.000463869 0.981391632 C

186 WIPER 15NO 150 2250 0.000463869 0.981855501 C187 CITRIC ACID 400GMS 40NO 55.5 2220 0.000457684 0.982313185 C188 COPY 180PAGE 220NO 10 2200 0.000453561 0.982766746 C189 SAVLONE 1LTR 20NO 105 2100 0.000432945 0.983199691 C190 STEPLER PIN SMALL 460NO 4.5 2070 0.00042676 0.983626451 C191 TUBE LIGHT 28WATT 60NO 34 2040 0.000420575 0.984047025 C192 CFL 9WATT 35NO 57.15 2000 0.000412328 0.984459353 C193 ENEVELOP WHITE

SMALL5000NO 0.4 2000 0.000412328 0.984871681 C

194 PHOSPORUS 3KIT 665 1995 0.000411297 0.985282979 C195 CULTURE SWAB 4PKT 490 1960 0.000404082 0.98568706 C196 OT BULB 24V250W 20NO 97 1940 0.000399958 0.986087019 C197 INFORMED CONSENT 40PAD 48 1920 0.000395835 0.986482854 C198 CFL 26WATT 15NO 125 1875 0.000386558 0.986869411 C199 L-FOLDER 450NO 4 1800 0.000371095 0.987240506 C200 SAMPLE VIAL 13PKT 136 1768 0.000364498 0.987605005 C201 PATIENT REG FORM 50PAD 35 1750 0.000360787 0.987965792 C202 OT BULB 24V150W 20NO 82 1640 0.000338109 0.988303901 C203 ID CARD STRING 800NO 2 1600 0.000329862 0.988633763 C204 BUTTON FOLDER 300NO 5 1500 0.000309246 0.988943009 C205 BLOOD TRANSFUSION 30PAD 48 1440 0.000296876 0.989239885 C206 HIV PARIKSHAN PAD 30PAD 48 1440 0.000296876 0.989536762 C207 RUBBER BAND 12PKT 120 1440 0.000296876 0.989833638 C208 ELECTROLYTE ROLL 40ROLL 35 1400 0.00028863 0.990122268 C209 GLASS CLEANER 5LTR 7NO 200 1400 0.00028863 0.990410897 C210 HEMOSPOT 50 TEST

CORAL3KIT 460 1380 0.000284506 0.990695404 C

211 MARKER PEN 80NO 17 1360 0.000280383 0.990975787 C212 HYDROGEN PEROOXIDE

400ML65 NO 20 1300 0.000268013 0.9912438 C

213 FAX ROLL 20NO 65 1300 0.000268013 0.991511813 C214 ECG CLIP 8NO 157 1256 0.000258942 0.991770755 C215 PAPER ROLL 110MM 10NO 125 1250 0.000257705 0.992028461 C216 ESR TUBE 30NO 40 1200 0.000247397 0.992275857 C217 WRRITING PAD 120NO 10 1200 0.000247397 0.992523254 C218 CELL PENCIL PEZOR 140NO 8.5 1190 0.000245335 0.99276859 C219 GRAM STAIN 6KIT 190 1140 0.000235027 0.993003617 C220 GAMA GT 2KIT 562 1124 0.000231728 0.993235345 C221 MC PAINT 400ML 20NO 55 1100 0.00022678 0.993462125 C222 DVD BLANK 100NO 10.5 1050 0.000216472 0.993678598 C223 DIS SYRINGE 1ML BD 400NO 2.62 1048 0.00021606 0.993894658 C

40

224 SWICH 6AM 20NO 52 1040 0.000214411 0.994109068 C225 NIRMA POWDER 35NO 29 1015 0.000209257 0.994318325 C226 ACON PREGNENCY TEST

50TEST4BOX 250 1000 0.000206164 0.994524489 C

227 REGISTRE BIG SIZE 450PAGE

5NO 200 1000 0.000206164 0.994730653 C

228 STEPLER 40NO 25 1000 0.000206164 0.994936817 C229 TAP ROLL 120NO 8 960 0.000197917 0.995134734 C230 NURSE ADMISSION 20PADS 48 960 0.000197917 0.995332652 C231 ID CARD ORIGINAL 320NO 3 960 0.000197917 0.995530569 C232 CFL 13WATT 10NO 95 950 0.000195856 0.995726425 C233 FORMALIN TABLETS 20NO 47 940 0.000193794 0.995920219 C234 GATE PASS OUTER 90PADS 10 900 0.000185548 0.996105767 C235 CELL PENCIL 180NO 5 900 0.000185548 0.996291315 C236 ANESTHETIC EITHER 8NO 110 880 0.000181424 0.996472739 C237 LIQUID DETERGENT 50LTR 15 750 0.000154623 0.996627362 C238 TUBE LIGHT 36WATT 20NO 37 740 0.000152561 0.996779924 C239 TINTURE BENZOIN 10NO 72 720 0.000148438 0.996928362 C240 PPD 5TU MANTOSE

TEST7KIT 100 700 0.000144315 0.997072677 C

241 SOCKET 6AM 30NO 23 690 0.000142253 0.99721493 C242 HIGHLIGHTER 45NO 15 675 0.000139161 0.99735409 C243 CFL 5WATT 24NO 25 600 0.000123698 0.997477789 C244 MARKER PEN RED 40NO 15 600 0.000123698 0.997601487 C245 SCISSOR 20NO 30 600 0.000123698 0.997725186 C246 RED MARK PENCIL 115NO 5 575 0.000118544 0.99784373 C247 PPD 10TU MANTOSE

TEST5KIT 110 550 0.00011339 0.99795712 C

248 METHALYNE BLUE 6BOTTLE 90 540 0.000111329 0.998068449 C249 CFL 36WATT 6NO 144 540 0.000111329 0.998179778 C250 VOUCHER YELLOW 40PADS 13.5 540 0.000111329 0.998291106 C251 BULB 0WATT 45NO 11.5 518 0.000106793 0.998397899 C252 TAP DISPENSOR 6NO 85 510 0.000105144 0.998503043 C253 PENCIL 200NO 2.5 500 0.000103082 0.998606125 C254 STAMP PAD 25NO 17 425 8.76197E-05 0.998693745 C255 VOUCHER PINK 30PADS 13.5 405 8.34964E-05 0.998777241 C256 GLYCERIN 400ML 10PKT 40 400 8.24656E-05 0.998859707 C257 CARTRIGE RIBBEN 20NO 20 400 8.24656E-05 0.998942172 C258 VISITING CARD ALBUM 4NO 100 400 8.24656E-05 0.999024638 C259 ACON VDRL STRIP

50TEST 1BOX 375 375 7.73115E-05 0.999101949 C

260 TISSUE PAPER BOX 15NO 25 375 7.73115E-05 0.999179261 C261 ECG BULB 12NO 25 300 6.18492E-05 0.99924111 C262 BOTH SODE TAP 10NO 30 300 6.18492E-05 0.999302959 C263 BROWN TAP 12NO 25 300 6.18492E-05 0.999364809 C264 ID CARD TEMPERIAL 600NO 0.5 300 6.18492E-05 0.999426658 C265 PEN CELLO GRIEP 60NO 5 300 6.18492E-05 0.999488507 C

41

266 RULE SHEET LINING 30NO 10 300 6.18492E-05 0.999550356 C267 BLADE SUPERMAX 150NO 1.8 270 5.56643E-05 0.99960602 C268 PUNCHING MACHINE 6NO 40 240 4.94794E-05 0.9996555 C269 CARBON FUSION 2BOTTLE 110 220 4.53561E-05 0.999700856 C270 ACETONE 500ML 1KIT 210 210 4.32945E-05 0.99974415 C271 SCALE 20NO 10 200 4.12328E-05 0.999785383 C272 WHITE BORAD MARKER 10NO 20 200 4.12328E-05 0.999826616 C273 SKECTH PEN 120NO 1.5 180 3.71095E-05 0.999863726 C274 VEHICLE LOG BOOK 3NO 45 135 2.78321E-05 0.999891558 C275 PROTECT SHEET 15NO 80 120 2.47397E-05 0.999916297 C276 FEVI QUICK 20NO 5 100 2.06164E-05 0.999936914 C277 WHITENER PEN 48NO 20 96 1.97917E-05 0.999956706 C278 ERRSER 40NO 2 80 1.64931E-05 0.999973199 C279 SHAPNER 32NO 2.5 80 1.64931E-05 0.999989692 C280 INK POT 5NO 10 50 1.03082E-05 1 C

4850506

V.E.D ANYLYSIS:-

S.NO NAME OF ITEMS VITAL

ESSENTIAN DESIRBLE

1 ELECTROLYTE REAGENT VITAL 2 HIV J MITRA 50 TEST VITAL 3 GAUZE THAN 90X16MTR VITAL 4 DENGUE NSI 10TEST VITAL 5 GLUCOMETER STRIP VITAL 6 HDL CHOLESTROL VITAL 7 DILLUENT 20LTR VITAL 8 LYSE 500ML VITAL 9 MALERIA KIT VITAL

10 MICROPORE 1 VITAL 11 COTTON ROLL 500GMS VITAL 12 BILLING RIM 90X12X3 VITAL 13 NANOLAB CUVETT VITAL 14 VACCUTE EDTA 1X50 VITAL 15 INJ TROFENTYL 10ML VITAL 16 VACCUTE PLAIN 1X50 VITAL 17 SURG GLOVES N.S STERILE VITAL 18 ISOTROY 250ML VITAL 19 SBC JAR 10LTR R1 VITAL 20 VACCUTE NEEDLE 1X100 VITAL

42

21 MICROGEN -125 ESSENTIAL 22 SONOGRAPHY ROLL VITAL 23 LYSE H-18 VITAL 24 PAPER RIM ESSENTIAL 25 IPD FILE VITAL 26 SURG GLOVES STERILE ESSENTIAL 27 CRITICAL CARE CHART ESSENTIAL 28 LABLE A4 ST ESSENTIAL 29 HBS AG STRIP 50 TEST VITAL 30 ALK PHOSPATE ACCUREX VITAL 31 ELECTROLYTE REAGENT H-18 VITAL 32 LETTER HEAD LAB ESSENTIAL 33 ECG ELECTRODES VITAL 34 URISTIX VITAL 35 DIS MASK ESSENTIAL 36 MEDICIAN CARD ESSENTIAL 37 BILLURUBIN VITAL 38 MRD FILE ESSENTIAL 39 DILLUENT 20LTR H-18 VITAL 40 UREA KINETIC VITAL

41 AHD SPECIAL 500ML DESIRABLE

42 MICROPORE 3 VITAL 43 AMYLASE 4X10ML VITAL 44 CIDEX 5LTR ESSENTIAL 45 RINCE 20LTR VITAL 46 INJ TROFENTYL 2ML VITAL 47 URINE CONTAINERS ESSENTIAL 48 PLAIN TUBE SKREW CAP ESSENTIAL 49 BETADINE SCARB 747 VITAL 50 SGOT 2X150ML VITAL 51 SGPT 2X150ML VITAL 52 RINCE H-18 2LTR VITAL 53 UREA 160ML BIRTH LOD VITAL 54 DISCHARGES TICKET ESSENTIAL 55 EDTA VIAL TUBE VITAL 56 LETTER HEAD APEX ESSENTIAL 57 BILLING RIM 90X12X2 VITAL 58 MEDICIAN SLIP ESSENTIAL

59 DIS SHARP CONTAINERS DESIRABLE

60 SPIRIT 4.5 LTR VITAL

61 PHYNOIAL DESIRABLE

62 ECG PAPER TMT VITAL 63 CRETININE VITAL

43

64 ADA MTB 15 TEST TULIP VITAL 65 URIC ACID 160ML ACC VITAL 66 TREAT MENT SHEET ESSENTIAL 67 PT CUVETT VITAL 68 RENOGRAPH 1LTR VITAL 69 ECG ROLL 6108 BPL VITAL 70 OMNIPAQUE 100ML VITAL 71 SODALIME PLUS 5KG VITAL 72 EEG ELECTRODES ESSENTIAL 73 PAPER ECG RECORDING VITAL 74 TRIGLYCIRIDES 125ML ACC VITAL 75 GLOVES EXAMINITION VITAL

76 HAND WASH 5LTR DESIRABLE

77 CHIKUNGUNIYA 25 TEST VITAL 78 DIS CAP ESSENTIAL 79 DISTILEED WATER VITAL 80 SEVERANE 250 ESSENTIAL 81 PLAIN TUBE VITAL 82 PT REAGENT VITAL 83 E Z CLEANING SOL VITAL 84 BETADINE SOL 2LTR 5% VITAL 85 PRESCRIPTION PAD VITAL

86 SOAP LIFEBOUY DESIRABLE

87 BLUE TIP VITAL 88 WIDAL KIT VITAL 89 ECG FOLDER ESSENTIAL

90 CFL 11WATT DESIRABLE

91 ACETIK ACID 2.5LTR ESSENTIAL 92 PROBE CLEANER VITAL 93 CHOLESTROL ACC VITAL 94 CALSIUM CHL.15ML VITAL 95 CIDEZYME 1LTR ESSENTIAL

96 DIS.GLASS DESIRABLE

97 ETO CARTRIGE VITAL 98 GLUCOSE 1000ML VITAL 99 C,K MB 2X10ML CORAL VITAL

100 TISSUE PAPER ROLL DESIRABLE

101 AIR FRESNERS 5LTR DESIRABLE

102 DUSTBIN SMALL SIZE DESIRABLE

103 ANTI ABD VITAL

44

104 YELLOW TIP VITAL 105 VACCUTE PT VITAL

106 SOAP HAMAM DESIRABLE

107 VACCUTE ESR VITAL

108 REQUISITION SLIP DESIRABLE DESIRABLE

109 FORMALIN SOL 5LTR ESSENTIAL

110 REGISTER 300PAGE DESIRABLE DESIRABLE

110 CRP OMEGA VITAL 111 COVER SLIP ESSENTIAL 112 ALBUMIN 1X150ML VITAL

113 HARPIC TOILET CLEANER DESIRABLE DESIRABLE

114 INVESTGATION SUMMARY ESSENTIAL 115 C,K NAC 2X10ML CORAL VITAL 116 TOTAL PROTEIN 2X150ML VITAL 117 SODIUM HYPOCLORIDE ESSENTIAL 118 HISTORY SHEET ESSENTIAL 119 NURSING ASSESMENT PAD ESSENTIAL 120 MEDICIAN SLIP EMERGENCY ESSENTIAL 121 SONOGARPHY FOLDER VITAL 122 INJ MORPHITROV 15MG VITAL

123 JHALAK POWDER 2.5KG DESIRABLE

124 GATE PASS YELLOW ESSENTIAL 125 MICRO PROTEIN VITAL

126 ID BAND WHITE DESIRABLE

127 VACCUTE GLUCOSE VITAL

128 CFL 18WATT DESIRABLE

129 AUTOCLAVE TAP ESSENTIAL 130 MICROSHIELD 500ML 636 ESSENTIAL 131 COUNSELLING PAD ESSENTIAL 132 NURSING REASSESMENT ESSENTIAL

133 REGISTER 180PAGE DESIRABLE

134 SPONG 11X11 ESSENTIAL 135 ECG GLOSSY PAPER VITAL 136 AMBO BAG ESSENTIAL 137 SURGERY REPORTS ESSENTIAL

138 FILE INDEX DESIRABLE

139 CHARGES SHEET ESSENTIAL

140 RING FILE DESIRABLE

45

141 PEN DRIVE 4GB DESIRABLE

142 SOAP ROSE MINI DESIRABLE

143 STEPLER PIN BIG DESIRABLE

144 R FACTOR VITAL 145 DIS SYRINGE 5ML DISPO ESSENTIAL 146 BANDAGE 6 VITAL 147 SODIUM HYPO 5LTR RANBAXY ESSENTIAL 148 DIS SYRINGE 2ML DISPO ESSENTIAL 149 ID BAND PINK ESSENTIAL 150 GLASS SLIDE VITAL 151 OT BULB 12V50W ESSENTIAL 152 CBC MACHINE ROLL VITAL 153 SONOGRPAHY JELLY 250ML VITAL 154 ECG JELLY 250ML VITAL

155 SWICH 16AM DESIRABLE

156 HCV J MITRA 50TEST VITAL 157 BANDAGE 4 VITAL 158 CARBOLIC ACID ESSENTIAL

159 PEN DESIRABLE

160 ODONIL DESIRABLE

161 FEVI STICKS DESIRABLE

162 C.K PREST 2X6ML VITAL

163 SOCKET 16AM DESIRABLE

164 SODALIME DRAGER 5KG VITAL 165 DIS SYRINGE 10ML DISPO ESSENTIAL 166 SBC JAR 10LTRR2 VITAL 167 EEG PASTE VITAL 168 BLOOD SUGAR PAD ESSENTIAL 169 FILE COBRA ESSENTIAL 170 INJ MORPHITROV 10MG VITAL

171 WIPER DESIRABLE

172 CITRIC ACID 400GMS VITAL

173 COPY 180PAGE DESIRABLE

174 SAVLONE 1LTR ESSENTIAL

175 STEPLER PIN SMALL DESIRABLE

176 TUBE LIGHT 28WATT DESIRABLE

46

177 CFL 9WATT DESIRABLE

178 ENEVELOP WHITE SMALL DESIRABLE

179 PHOSPORUS VITAL 180 CULTURE SWAB VITAL 181 OT BULB 24V250W ESSENTIAL 182 INFORMED CONSENT ESSENTIAL

183 CFL 26WATT DESIRABLE

184 L-FOLDER ESSENTIAL 185 SAMPLE VIAL VITAL 186 PATIENT REG FORM ESSENTIAL 187 OT BULB 24V150W ESSENTIAL

188 ID CARD STRING DESIRABLE

189 BUTTON FOLDER DESIRABLE

190 BLOOD TRANSFUSION ESSENTIAL 191 HIV PARIKSHAN PAD ESSENTIAL

192 RUBBER BAND DESIRABLE

193 ELECTROLYTE ROLL VITAL

194 GLASS CLEANER 5LTR DESIRABLE

195 HEMOSPOT 50 TEST CORAL VITAL

196 MARKER PEN DESIRABLE

197 HYDROGEN PEROOXIDE 400ML ESSENTIAL 198 FAX ROLL ESSENTIAL 199 ECG CLIP ESSENTIAL 200 PAPER ROLL 110MM VITAL 201 ESR TUBE VITAL

202 WRRITING PAD DESIRABLE DESIRABLE

203 CELL PENCIL PEZOR ESSENTIAL 204 GRAM STAIN VITAL 205 GAMA GT VITAL 206 MC PAINT 400ML ESSENTIAL

207 DVD BLANK DESIRABLE

208 DIS SYRINGE 1ML BD ESSENTIAL

209 SWICH 6AM DESIRABLE

210 NIRMA POWDER DESIRABLE

211ACON PREGNENCY TEST

50TEST VITAL

47

212 REGISTRE BIG SIZE 450PAGE DESIRABLE

213 STEPLER DESIRABLE

214 TAP ROLL DESIRABLE

215 NURSE ADMISSION ESSENTIAL 216 ID CARD ORIGINAL ESSENTIAL

217 CFL 13WATT DESIRABLE

218 FORMALIN TABLETS ESSENTIAL 219 GATE PASS OUTER ESSENTIAL 220 CELL PENCIL ESSENTIAL 221 ANESTHETIC EITHER ESSENTIAL

222 LIQUID DETERGENT DESIRABLE

223 TUBE LIGHT 36WATT DESIRABLE

224 TINTURE BENZOIN ESSENTIAL 225 PPD 5TU MANTOSE TEST VITAL

226 SOCKET 6AM DESIRABLE

227 HIGHLIGHTER DESIRABLE

228 CFL 5WATT DESIRABLE

229 MARKER PEN RED DESIRABLE

230 SCISSOR DESIRABLE

231 RED MARK PENCIL DESIRABLE

232 PPD 10TU MANTOSE TEST VITAL 232 METHALYNE BLUE VITAL

233 CFL 36WATT DESIRABLE

234 VOUCHER YELLOW ESSENTIAL

235 BULB 0WATT DESIRABLE

236 TAP DISPENSOR DESIRABLE

237 PENCIL DESIRABLE

238 STAMP PAD DESIRABLE

239 VOUCHER PINK ESSENTIAL 240 GLYCERIN 400ML ESSENTIAL 241 CARTRIGE RIBBEN ESSENTIAL 242 VISITING CARD ALBUM DESIRABL

48

E243 ACON VDRL STRIP 50TEST VITAL

244 TISSUE PAPER BOX DESIRABLE

245 ECG BULB ESSENTIAL

246 BOTH SODE TAP DESIRABLE

247 BROWN TAP DESIRABLE

248 ID CARD TEMPERIAL DESIRABLE

249 PEN CELLO GRIEP DESIRABLE

250 RULE SHEET LINING DESIRABLE

251 BLADE SUPERMAX DESIRABLE

252 PUNCHING MACHINE DESIRABLE

253 CARBON FUSION VITAL 254 ACETONE 500ML VITAL

255 SCALE DESIRABLE

256 WHITE BORAD MARKER DESIRABLE

257 SKECTH PEN DESIRABLE

258 VEHICLE LOG BOOK DESIRABLE

259 PROTECT SHEET ESSENTIAL

260 FEVI QUICK DESIRABLE

261 WHITENER PEN DESIRABLE

262 ERRSER DESIRABLE

263 SHAPNER DESIRABLE

264 INK POT DESIRABLE

265 BIO BAG 20X24 BLACK ESSENTIAL 266 BIO BAG 20X24 YELLOW ESSENTIAL 267 BIO BAG 20X24 RED ESSENTIAL 268 BIO BAG 20X24 BLUE ESSENTIAL 269 BIO BAG 30X36 BLACK ESSENTIAL 270 BIO BAG 18X18 RED ESSENTIAL 271 BIO BAG 18X18 YELLOW ESSENTIAL 272 BIO BAG 18X18 BLUE ESSENTIAL 273 BIO BAG 18X18 BLACK ESSENTIAL

49

274 REGISTRATION FILE VITAL

LITERATURE REVIEW:-

Introduction

This chapter explains the theoretical and empirical evidence about inventory management. In theory, features of effective inventory management systems are explained, how the use of computers affects the organizations use of inventory management systems, the need for controls and how to much demand with supply. In practice the chapter tries to look at previous studies done on the inventory management. It also establishes the knowledge gap.Successful inventory management involves balancing the costs of inventory with the benefits of inventory. Many small business owners fail to appreciate fully the true costs of carrying inventory, which include not only direct costs of storage, insurance and taxes, but also the cost of money tied up in inventory.

Review of TheoriesInventory control is not a Science, more nearly it is a set of methods for figuring out how much stock to order, when and how to receive it (Tibur, 2008). It is one of the roles that management has to play by putting a system of keeping track of items in inventory. A powerful inventory management system is the base of the every good retail software package. An inventory management system lets you know what our important needs, with inventory management systems are, you can get minors to majors report on what you have in stock, on order transit. Retailer’s software with an inventory management system eliminates the guesswork from running your retail business. The system can be set up to automatically notify you when it is time to order more inventories such as when stock falls below a prearranged level. By always having your hottest items in stock, you will be sure to not sell due to out-of- stock items. Many retail software packages will even generate purchase orders, further streamlining inventory management. In addition to increasing your sales, retail software with an inventory management system drastically reduce your operating costs by reducing the time spent manually counting inventory and creating purchases. It will also track which items are selling and which are not. By identifying your less moving items you can adjust their position, pricing or other issues earlier. You can also see which items are often purchased in pairs and can group them consequently in the store. Keeping inventory cost low is vital to competitive benefits.

50

In a hospital, materials management has become a distinct function. Depending on the size of the hospital it could be a separate department or in a smaller set up it could be under the care of the Manager. Materials in a hospital range from consumables, stationery to even equipments besides the pharmaceuticals and optical goods. The first broad section inventory management which is delineated into the following parts: Purchasing, Storage, Issue, and Inventory

Need for inventory control records:-

A comprehensive inventory control record system is relevant in order that:-a) Goods sold can be recorded and balances in both physical and monetary terms calculated.b) Checks can be implemented on regular or random basis to minimize losses due to pilferage or damage in stores.c) Goods can be recorded on a receipt in relation to both quantity and price, by use of highly effective integrated computer system besides the manual system.d) Replacement of stock can be ordered when re-order level is reached.e) Records can be examined in order to highlight slow moving inventory which may deteriorate or become obsolete.f) Inventory can be charged to the appropriate department code when issued from store.g) Returns to store can be properly recorded/ accounted for.h) Rightful quality and quantity duly signed for and recorded in Goods Received Note (GRN).i) Stock taking procedure at a given time is done efficiently.j) The valuation of stock for balance sheet and profit measurement purposes can be accurately implemented (Kagiri, 2006).

Empirical studies Strategy for resolving maximum profit for inventory minimization:-

Green and MischaDick (2001) found out that just like any investment in business; inventory needs to serve the purpose of maximizing profit. However, in many cases inventory has turned into a major cash flow constraint thus making it necessary to optimize inventory using analytical and statistical methods in an integrated approach.One of the biggest challenges in optimizing inventory is the fact that it is merely an output of many inter-organizational processes, all too often organization attempt to lower inventory using non-analytical approaches which lower service levels. The study was conducted through a case study of a major US corporation, where Green and MischaDick identified two-step approach of

51

significant value; optimizing inventory levels while viewing the existing order fulfillment process as a given constraint and changing the fundamental order fulfillment process across the entire system. The first step was used to make quick and successful cash availability. The second step was used to generate breakthrough business results and provide a robust order fulfillment process that was to perform at lower inventory levels while providing extraordinary service levels. The real world constraint is taken into account prior to deciding on the appropriate changes. Simulations are conducted to verify the appropriateness of the analytical models using actual process data.Cash flow problem is identified, further analysis reveals that inventory levels are high and turns are below most major competition.This study has not focused on the systems necessary for inventory management; they have only taken into consideration inventory level as a strategy for maximizing profit.

Inventory value using six- sigma:-

Green and MischaDick (2002) found out that old equipment are viewed as not worth understanding and improving for the operations, however, replacement cost can be staggering. Certainty purchasing new equipment is necessary at times. However, frequently it is possible to produce good product with existing equipment. Properly characterizing existing equipment using statistical methods can yield significant improvements. The research was carried out through a case study to a major US manufacturer, made the decision to stop providing critical components. The supplier made the decision because the equipment was the 30-40 years old, yields had traditionally run at 60% and the margins were low, a baseline of the extrusion process was performed and a vast list of potential factors was identified during process mapping. It was also determined through measurement system studies that the measurement systems were not capable of measuring the parts. The measurement systems were improved and several screening designed experiments were conducted. Results showed a few key factors to be important. Follow-up optimization experiments were run. The process was producing 100% yield within 3 months on existing numbers. The next step was to produce parts that had not been previously produced. The first parts off of the new die met the desired specification, although slightly off target.This study has only considered the value addition or utilization of existing equipment considered outdated to produce high quality product efficiently, therefore it did not consider the systems necessary for inventory management

52

CHAPTER-3

RESEARCH METHODOLOGY

53

Research Methodology and design

Introduction

Under this section the chapter will show the methods and techniques that will be used to collect and analyze data during research. The research to be carried out is on enhancing effective inventory management in APEX hospital. Areas to be touched on include research design, target population, types of data, sources of data, tools to be used to collect data and the sampling design to be used.

Research Methodology :-

A Research Methodology defines the purpose of the research, how it proceeds, how to measure progress and what constitute success with respect to the objectives determined for carrying out the research study.

Research design:-

The research design is descriptive in nature. The design shows the analysis of the variables relevant to the subject under study because it will focus its attention on the individual study and not the whole population of apex hospital. . It is based on data collected through structured questionnaire from the respondent.

Target Population:-

The study targets the staff of apex hospital and vendors. Primary data will be collected through questionnaires which will be the main source of data and secondary data will be used to assist the evaluation of data to be collected in the field. Data collected in the field will be tested and results will help to write a report upon completion of analysis.

SAMPLING DESIGN:-

Sampling is the process of obtaining about an entire population by examining only a part of it. Sampling plans calls for three decisions.

a) Sample unitb) Sample sizec) Sampling procedure

54

The design to be adopted for the study will be based on convenient sampling. The population for the study will consist of employees in the APEX hospital.

SAMPLE UNIT

APEX HOSPITAL

SAMPLE SIZE

20 employees

SAMPLING PROCEDURE:-

For the study, respondent were selected on the basis of random sampling.

SOURCE OF THE DATA:-

The study requires both primary and secondary data.

PRIMARY SOURCE:-

Questionnaires Interviews

SECONDARY SOURCE:-

Indirect observation Library and research work Internet, web pages and blogs Articles Books

Secondary data will be used to analyze the primary data in light of real world situations.

ANALYSIS OF THE DATA:-

The primary data will be analyzed with the help of statistical tools and techniques.

DATA PRESENATION TOOLS USED:-

55

Primary data was collected through the questionnaire by distributing questionnaires; questionnaires’ with both close ended and open ended questions have been used as sample respondents. The facts are presented in the form of pie- charts and bars.

LIMITATIONS OF STUDY:-

The study is confined to APEX hospital, jaipur only. The interpretations and recommendations applicable to this cooperative. The study was conducted on the assumptions that the information is

given by respondent. Sample size is restricted to 20 respondents. Time constraints. Top management has not adequate time, due to their busy schedule.

56

CHAPTER-4

DATA ANALYSIS&INTERPRETATION

57

DATA ANALYSIS AND INTERPRETATION

Q.1. Do you know about inventory management?

1) Yes 2) No 3) can’t say

Yes60%

No40%

Interpretation:-

From above pie chart, it is clear that most of the people are aware about inventory management but 40% employees are not aware.

Q.2. Do you know about production management? 1) Yes 2) No 3) can’t say

Yes45%

No40%

can't say15%

Interpretation:-

From above figure, shows that 45% employees are aware with production management but 40% employees are not aware.

58

Q.3. Do you know about supply-chain management? 1) Yes 2) No 3) can’t say

Yes69%

No13%

can’t say19%

Interpretation:-

From above pie figure , shows that only 69% employees are aware about supply-chain management, 12% employees are not aware.

Q.4. Which type of operation management you use? 1) Traditional 2) Just –in time 3) Both

Traditional Just- in time Both0

2

4

6

8

10

12

14

16

18

Interpretation:-

Above figure represents that traditional method of inventory management is more in use than just –in time.

59

Q.5. Do you know about A-B-C analysis?

1) Yes 2) No 3) Can’t say

Yes63%

No26%

Cant'say11%

Interpretation:-

From above pie figure , shows that 63% employees know about A-B-C analysis and 26% don’t know.

Q.6. Do you know about V.E.D analysis?

1) Yes 2) No 3) Somewhat

Yes60%

No40%

Interpretation:-

Pie figure shows that 60% employees are aware about V.E.D analysis, 40% employees don’t know.

60

Q.7. Are you agree that with the help of inventory management any organization can increase its productivity? 1) Strongly agree 2) Agree 3) Indifference 4) Disagree 5) Strongly disagree

Strongly agree 50%

Agree35%

Indifference 15%

Interpretation:-

Figure shows that 50% employees are strongly agree, 35% employees are agree and 15% employees are indifference.

Q.8. Are you satisfy with the store activities? ( i.e. issuing of material, quantity, and quality etc. of the material). 1) Strongly Satisfy 2) Satisfy 3) Dissatisfy 4) Strongly dissatisfy

Strongly Satisfy 40%

Satisfy 25%

Dissatisfy 25%

Strongly 10%

Interpretation:-

Pie figure shows that 40% employees are strongly satisfy, 25% employees are satisfy ,25% employees are dissatisfy and 10% employees are strongly dissatisfy.

61

Q.9. Are you satisfy with the purchasing procedure adopted by hospital? 1) Strongly Satisfy 2) Satisfy 3) Indifference 4) Dissatisfy 5) Strongly dissatisfy

Strongly Satisfy66%

Satisfy 18%

Indifference 11%

Dissatisfy 5%

Interpretation:-

Above pie figure shows that 66% employees are strongly satisfy with the purchasing procedure , 18% employees are satisfy 11% employees are indifference and 5% employees are dissatisfy.

Q.10. What is the method do you use to issue the material?

1) First in, first out (FIFO) 2) Last in, first out (LIFO) 3) Other 4) Both

FIFO LIFO Other Both0

2

4

6

8

10

12

Interpretation:-

Figure shows that last in, first out (LIFO) method is mostly adopted and then first in, first out (FIFO) . In few cases both methods are used for issuing the material.

62

Q.11. Is there any purchasing committee? 1) Yes 2) No 3) Cant’say

Yes No Cant’say0

2

4

6

8

10

12

14

16

18

Interpretation:-

Figure shows that most of the employees are aware about the purchasing committee of the organization.

Q.12. Purchasing committee consists:1) Managing director, Purchase manager, Store –in charge and store

manager.2) MD, Purchase manager, doctor, Different departments heads.3) MD, different department heads, purchasing manager.4) MD, purchase manager, doctors.

150%

225%

315%

410%

Interpretation:-

Figure shows that 50% of the employees are aware about purchasing committee members, 50% employees are not aware.

63

Q.13. Inventory management is used by organization for 1) To reduce uncertainty. 2) To reduce uncertainty in lead time

3) To build stock for scale of economies 4) To reduce the inventory cost 5)All above

reduce

uncertai

nty

reduce

uncertai

nty in le

ad time

scale

of eco

nomies

reduce

the inve

ntory co

st 5)A

ll above

All above

0123456789

10

Interpretation:-

Figure shows that most of the employees are aware about objective of inventory management.

Q.14. Which type of order method is used by organization?

1) Lot to lot 2 )Economical order quantity 3)Fixed order quantity 4)Fixed order time

1st Qtr 2nd Qtr 3rd Qtr 4th Qtr0

1

2

3

4

5

6

7

8

9

Interpretation:-

Above figure shows that economical order quantity is used by the organization for most of the items but in few cases they use other methods.

64

Q.15. Which type of purchasing order is prepared?1) Manual 2) Electronic 3) Both

Manual Electronic Both0

2

4

6

8

10

12

14

16

Interpretation:-

Figure shows that organization use manual methods than electronic.

Q.16.Which type of purchasing order procedure is used by the organization?1) Formal( Paper work)2) Informal(Telephonic order)3) Electronic data interchange(EDI) i.e. (though e-mail)4) All above

Formal70%

Informal15%

Electronic data in-terchange

10%

All above5%

Interpretation:-

Figure shows that 70% work in inventory is done through formal paper work ,15% works is done trough informal methods, 10% is done by EDI.

65

Q.17. Who make the purchasing order?1) Purchasing manager 2) Store –in charge 3) Store manager

Purchasing manager 37%

Store –in charge 18%

Store manager45%

Interpretation:-

Figure shows that 45% respondent assume that purchasing order is prepared by store manager, 18% store- in manager and 37% purchasing manager.

Q.18. Who approved the purchasing order?1) Purchasing manager 2) Store-in charge 3) Store manager

Purchasing manager 83%

Store-in charge 10%

) Store manager7%

Interpretation:-

Figure shows that 83% respondents assume that purchasing order is approved by the purchasing manager, 10% by store-in charge and 7% by store manager.

66

Q.19. Is there any specific place for receiving and inspection of material?1) Yes 2) No

yes25%

no75%

Interpretation:-

Figure shows that 75% respondents assume that in hospital there is no specific place for reception of material.

Q.20. Purchasing and storage is handled by single department?1) Yes 2) No

yes85%

no15%

Interpretation:-

Figure shows that 85% respondent assumes that purchasing and storage is done by a single department.

67

Q.21. A.B.C and V.E.D analysis is done

1) Yearly 2) Half yearly 3) Quarterly 4) Monthly

yearly44%

half yearly27%

quaterly22%

monthely7%

Interpretation:-

Figure shows that 44% respondents assume that A.B.C and V.E.D analysis is done in a year, 27% assume half yearly, 22% quarterly and 7% monthely.

Q.22. Purchasing order is given in a month:1) One time 2) Two times 3) More than two times

one time31%

two time15%

more than two times53%

Interpretation:-

Figure shows that 54% respondents assume that purchasing order is given more than two times in a month, 31% one times and 15% two times

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Q.23. Safety stock (also called buffer stock) is a term used by logisticians to describe a level of extra stock that is maintained to mitigate risk of stockouts (shortfall in raw material or packaging) due to uncertainties in supply and demand.

2) Strongly agree 2) Agree 3) Indifference 4) Disagree 5) Strongly disagree

Strongly agree 43%

Agree 24%

Indifference 10%

Disagree 14%

Strongly disagree10%

Interpretation:-

Figure shows that 43% respondents are strongly agree with the statement, 24% are agree and 10% are strongly disagree.

Q.24. Do you have safety stock for each item?1) Yes 2 ) No

yes81%

no19%

Interpretation:-

Figure shows that 81% respondents are agree that each item has safty stock,

while 19% respondents disagree.

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CHAPTER-5

FINDINGS & INTERFERENCES

70

Findings & interferences:-

The primary data, which is collected with the help of questionnaire represent many essentials findings about the performance appraisal system of the APEX hospital.

In apex hospital most of the employees are aware about inventory management, production management and supply-chain management.

Apex hospital is using traditional and just- in time methods of operation management.

Inventory department is using A-B-C and V.E.D analysis for the management of material.

Store department is using first –in first out method of issuing of material in apex hospital.

Apex hospital consist a purchasing committee which is composed of Managing director ,purchase manager, store-in charge and store manager.

Store department is using economical order quantity method of order.

Most of the purchasing order is manually prepared and it is prepared by store manager and approved by purchase manager. No order can give without approval of purchase manager.

In hospital there is no specific place for receiving and inspection of consignment material from the distributor or producer.

Product evaluation system in APEX hospital is not so effective.

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CHAPTER-6

CONCLUSION & RECOMMENDATIONS

72

CONCLUSION:-

1. Inventory department of APEX hospital uses economical order

quantity as the basis for stockage levels and reorder quantities.

2. There exists a moderate level of satisfaction with the current

system.

3. The majority of respondents had a moderate level of

experience/knowledge of inventory management.

4. The level of efficiency/ effectiveness of the inventory

management system is moderate.

5. The coordination between different departments is low, which

reduces the overall productivity hospital.

6. There is centralized system of inventory management.

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RECOMMANDATIONS:-

APEX Hospital should adopt accurately measure inventory

level and forecast supply needs methods.

There should be a clear and easy procedure that how inventory

will move throughout the hospital.

Responsibilities should be well defined for each employee in

inventory management system.

Store should have more space so that in according to need it can

be extended.

The employees should have skills and qualification according

to the need of the place.

Optimize process to eliminate operational bottleneck.

Generate aware in the employees for inventory management

and clearly define the objectives of inventory management to

the employees of hospital.

Minimize shrinkage due to theft or unnecessary use of

inventory.

Audit should be done by the top management at regular basis.

Advance inventory management technology should use to

improve performance.

There should be strong coordination between different

departments of hospital

Hospital should use effective product evaluation system.

74

BIBLIOGRAPHY:-

http://www.asianhhm.com/knowledge_bank/articles/materials-

management-healthcare.htm

http://www.v2020eresource.org/newsitenews.aspx?

tpath=news12008

http://currentnursing.com/nursing_management/

material_management_ABC_VED_HML_analysis.html

http://www.scribd.com/doc/29335516/Inventory-Management-

Project

http://www.saching.com/Articles/The-Role-of-Material-

Management-in-the-Success-of-a-Company-2416.html

http://www.publishyourarticles.net/knowledge-hub/cost-

accounting/what-are-the-techniques-of-store-inventory-

control.html

http://www.apexhospital.in/index_doctor.asp