Using Continuous Improvement Methodology to Reduce a Hospitalʼs Procurement Costs

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Abstract
The National Naval Medical Center (NNMC) provides care and services to approximately 16,800 inpatients and 576,000 outpatients annually. In an era of healthcare reform, effective cost containment is crucial, and healthcare organizations can ill afford wasteful practices. To optimize its organizational effectiveness, NNMC adopted a philosophy of total quality management. This article chronicles the work of a team whose efforts resulted in improvements that resulted in a significant cost savings to the hospital that have been sustained over time.

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