Using Six Sigma in a Hospital

1
Using Six Sigma in a Hospital

• Kim Legendre, MBA
• Director of Planning Development
• Thibodaux Regional Medical Center

2
About Thibodaux Regional

• 149 bed acute care facility
• Specialty Services Include Cardiovascular,
  Neuro, Oncology, Rehabilitation, Womens Services
• Located in Southeast Louisiana
• Not-for-Profit, Hospital Service District
• Ranked in Top 1 Percentile by Press Ganey for IP
  and OP hospital services

3
Focusing on a Vision

• Why are we here?
• Where are we going?
• How do we get there?
• Greg Stock, CEO, Thibodaux Regional Medical
  Center

4
How Do We Get There?

• At Thibodaux Regional Medical Center, we want
  to be clearly recognized as best in class. By
  making Six Sigma a way of life at Thibodaux, we
  believe we will be able to perform far beyond the
  level of ordinary healthcare organizations.
• Greg Stock, CEO
• Thibodaux Regional Medical Center

5
How Projects Were Selected

• Alignment with Strategic Plan
• Based upon 5 areas of focus
• People
• Service
• Quality
• Cost
• Growth

6
Current 6 Sigma Projects

• Accounts Receivable
• Cath Lab Scheduling
• Radiology Turn-Around
• Medication Management
• ER Patient Satisfaction
• ACU Patient Satisfaction

7
Values of Six Sigma

• Genuine Focus on the Customer
• Data- and Fact-driven Management
• Proactive Management
• Planning for Perfection, not just striving
• Empowers employees

8
Values of Six Sigma

• Eliminates rework hidden factories
• Leaders held responsible accountable
• Systematic methodology that can be repeated in
  various settings
• Working better -- not harder
• Learning to do more with less resources

9
AR Project

• Importance to Patient
• Resources for patient care, technology
  equipment
• Reducing patient financial liability hassles

10
AR Project Successes

• Quantified avoidable denials
• Reduced DNFB accounts to lowest point in over 3
  years (3.3M - 1.4M)
• Identified offenders
• Quantified which DRGs MDCs have greatest impact
  in terms of and days
• Identified contracts needing attention

11
AR Project Successes

• Changed the way staff viewed analyzed work
  processes
• Enhanced staff communications
• Created staff accountability by clearly defining
  measuring objectives
• Supports productivity performance
• Recognized true star employees by measuring
  performance, not perception

12
Nat. Avg. 71.0 Days
13
Monetary Impact
14
Summary

• Application in many industries including
  healthcare
• Proven process that can help healthcare providers
  excel in increasing hostile environment
• Reduces risks in decision making because results
  are proven before action is taken