Modeling package size-conscious automated dispensing cabinet replenishment to improve efficiency

Area of Science:

• Pharmacy Operations
• Supply Chain Management
• Healthcare Logistics

Background:

• Automated dispensing cabinets (ADCs) are crucial for medication management in hospitals.
• Optimization efforts for ADCs have historically focused on inventory, neglecting the replenishment process.
• Labor efficiency in ADC replenishment is a significant operational concern.

Purpose of the Study:

• To investigate package size-conscious replenishment (PSCR) as a method to optimize labor needs for ADC replenishment.
• To evaluate the impact of PSCR on key ADC metrics, including stockout frequency and labor time.
• To compare PSCR strategies against standard replenishment methodologies.

Main Methods:

• A simulation model was developed to assess PSCR for medications in hospital ADCs.
• Real-world data on ADC transactions were used, covering 410 medications across 149 cabinets over 2 months.
• Four replenishment strategies were simulated: standard replenishment and three PSCR variations (rounding down, any direction, up).

Main Results:

• All PSCR strategies demonstrated significantly lower stockout frequencies compared to standard replenishment (P < 0.05).
• PSCR methodologies resulted in significant time savings for both technicians and pharmacists (P < 0.001).
• The rounding-up PSCR strategy estimated savings of up to 0.27 technician and 0.52 pharmacist full-time equivalents, with a modest increase in carrying costs.

Conclusions:

• PSCR is an effective strategy for optimizing ADC replenishment, reducing both stockout rates and labor requirements.
• The simulation model provides a valuable tool for further analysis of ADC replenishment processes.
• Implementing PSCR can lead to substantial operational efficiencies in hospital pharmacy settings.