Thinking Lean: The Power of Standardized Work Practices
Thinking Lean: The Power of Standardized Work Practices
By Chris Calderone, MA, MBA
Standardized work practices have long been in place in many manufacturing businesses. The standard
work practice concept is a part of the lean thinking approach to process improvement. Lean thinking is a
quality focused concept that concentrates improvement initiatives within the workflow in an effort to
identify and drive out waste and variability within processes. One of the most effective ways to drive out
waste and improve process consistency is through the use of standardized work practices.
work practice concept is a part of the lean thinking approach to process improvement. Lean thinking is a
quality focused concept that concentrates improvement initiatives within the workflow in an effort to
identify and drive out waste and variability within processes. One of the most effective ways to drive out
waste and improve process consistency is through the use of standardized work practices.
Many healthcare organizations and hospitals have focused on implementing standardized work practices
as part of their lean programs and the results have been impressive – improved patient satisfaction,
improved outcomes, and improved financial performance.
as part of their lean programs and the results have been impressive – improved patient satisfaction,
improved outcomes, and improved financial performance.
The concept of work standardization can be readily applied to an HME operation.
A few HME providers have achieved success with implementing robust work standardization methods. A
mid-size provider realized a 10% decrease in pending revenue after it implemented standard work
practices in its intake and customer service area.
mid-size provider realized a 10% decrease in pending revenue after it implemented standard work
practices in its intake and customer service area.
Another provider saw their DSO drop by five days after implementing standardized work practices in their
billing and reimbursement area.
billing and reimbursement area.
A large medical supply company reduced the number of pick errors in their shipping operation by 7
percent after implementing standardized work practices. The reduction in pick errors resulted in a direct
cost savings as costly product re-ships were reduced as well
percent after implementing standardized work practices. The reduction in pick errors resulted in a direct
cost savings as costly product re-ships were reduced as well
Standardize work practices are crucial to improving process results. In many instances, providers rely on
multiple individuals to complete similar work within functional areas. Whenever a group of people work to
complete similar work, they will often come up with very individual methods for completing that work when
standard practices are not in place. Different people doing similar work in a very different manner will
often yield different results.
multiple individuals to complete similar work within functional areas. Whenever a group of people work to
complete similar work, they will often come up with very individual methods for completing that work when
standard practices are not in place. Different people doing similar work in a very different manner will
often yield different results.
HME providers have many processes that can benefit from a robust work standardization approach
including intake, billing and reimbursement, documentation, and distribution, to name a few.
including intake, billing and reimbursement, documentation, and distribution, to name a few.
One way of creating standardized work is through the use of a checklist. A checklist is a tool that can be
used to help guide staff in their daily work. A checklist typically includes all of the key requirements and
tasks that must be completed in order to successfully complete work within a process. A checklist can
help to ensure work is complete and accurate before it is sent on to the next step or next process. An
ideal location to for a checklist is in the intake area. A checklist should briefly list all of the main process
steps or tasks that are required to turn that referral into a successful claim.
used to help guide staff in their daily work. A checklist typically includes all of the key requirements and
tasks that must be completed in order to successfully complete work within a process. A checklist can
help to ensure work is complete and accurate before it is sent on to the next step or next process. An
ideal location to for a checklist is in the intake area. A checklist should briefly list all of the main process
steps or tasks that are required to turn that referral into a successful claim.
There are many upfront tasks that must be completed upon initial intake – from the gathering of basic
demographics to insurance information. Many providers have less than solid standard procedures and
work practices in place. Getting it right in the front-end the first time can save costly rework on the backend
of the operation.
demographics to insurance information. Many providers have less than solid standard procedures and
work practices in place. Getting it right in the front-end the first time can save costly rework on the backend
of the operation.
Tips for Increasing Standardization:
• Role clarification – make sure everyone within the work area understands his or her role, who does what, when, and how they should do it
• Performance standards – ensure relevant performance standards are in place that reflect core process requirements
• Draw a diagram or a “blue print” of the workflow for a specific area- for example, draw a process flow chart of the intake area that identifies how work flows through the intake process and briefly describe what happens at each step within the process – this is a good way to help others “visualize” the workflow because it is a simplified visual explanation that is more powerful than a descriptive narrative of the process
• Implement checklists that list key process steps (in sequence) that must be completed before the work is passed along to the next step – for example, in an intake area, list each step that occurs from
the moment the phone or fax rings and describe what must take place at each main step
the moment the phone or fax rings and describe what must take place at each main step
• Continually assess first-time-quality - which is a measure of how often work moves through key process steps and does not require rework – for example, measure the number of complete and accurate initial intake forms
• Make sure clearly written procedures are in place – are they updated to reflect changing processes and are they consistently reinforced with the staff?
• Don’t assume standardization won’t apply to certain areas- although an intake and billing work process may vary based on payer-specific requirements, generally, you can standardize more than you realize
Implementing standard work practices can help to reduce variation in process results. Typical forms of process variation in an HME operation include missing information at intake, incomplete CMNs,
incomplete prescriptions, and missing insurance information – all of which lead to delayed and/or rejected claims.
Providers that implement more robust standard work practices will help to formalize the informal and
create an environment where people approach similar work in a more planned, and pre-defined manner.
Most people know what to do in their work area. The key is to get the people who are doing the same type of work to carry out that work in a more similar manner. Work standardization can help to optimize workflow, reduce errors, and increase process consistency.
incomplete prescriptions, and missing insurance information – all of which lead to delayed and/or rejected claims.
Providers that implement more robust standard work practices will help to formalize the informal and
create an environment where people approach similar work in a more planned, and pre-defined manner.
Most people know what to do in their work area. The key is to get the people who are doing the same type of work to carry out that work in a more similar manner. Work standardization can help to optimize workflow, reduce errors, and increase process consistency.
Contact Chris Calderone at chrisc@leanhomecare.com or at 734-709-5487 with questions or comments
about this article
©Copyright 2008 The Lean Homecare Consulting Group, LLC
© Copyright 2008 Lean Homecare Consulting Group, LLC
www.leanhomecare.com
Total Comments 0
