Dive Brief:
- In 2009, 25-bed critical access facility Monadnock Community Hospital faced a crisis when an unexpected ice storm hit the state of New Hampshire and took out the hospital's power for two weeks.
- The storm put the hospital in extreme financial peril and CEO Peter Gosline decided to see if he could turn things around by following a lean Six Sigma model hospital-wide.
- Over the five years since Gosline implemented a lean program, engaging the staff directly in efforts to improve processes and reduce waste, the hospital saved $1 million per year.
Dive Insight:
While it's far from pervasive, there's a buzz about the possibilities of lean Six Sigma among hospitals, and making it happen generally offers some benefits. And there's plenty of case studies that back up how effective lean can be. For example, using lean Six Sigma, Morton Plant Hospital in Clearwater, FL reduced ED length of service by 21% and recovered more than $4 million in cost of quality. It will be interesting to see whether hospitals implement lean more widely this year, particularly given the financial pressures hospitals are under lately.