Product Selection Based on Criteria and Standards Pat Solkshinitz, R'N' Product Facilitator Product

1
Product Selection Based on Criteria and
StandardsPat Solkshinitz, R.N.Product
FacilitatorProduct StandardizationCalgary
Health RegionCalgary, Alberta, Canada
2
Calgary Health Region

• Calgary has 4 acute care hospitals
• Foothills Medical Centre
• Alberta Childrens Hospital
• Rockyview General Hospital
• Peter Lougheed
• Care in the Community
• Healthy Communities
• Regional Warehouse for Inventory Products
• Regional Surgical Specialties Assembly Centre

3
Regionalization of Health Care Systems in Calgary

• Standardization of Practices has led to
  standardization of products and medical
  equipment. (see handout 1 Definition and
  Process for Product Standardization and
  Evaluation)
• Standardization of products/equipment has
  resulted in decreased costs and improved quality
  of patient care.

4
Standardization of Medical Products and
Equipment Recommendations prior to
Tender/Purchase

• Identify current products being used (numbers
  used, types, brands, specifications)

• Identify Practice (Current and Changing)

• Research Technology
• Utilize Clinical Specialists in Product Review
• Research Government Guidelines
• Utilize ECRI Product Reports/Testing Data
• Benchmark with other Institutions or Regions

5
Identify Current Products

• Initial Information Gathering

• how many products are used annually
• who uses the product

• how many products have similar characteristics/spe
  cifications
• how many variations/sizes of the product are used

• what is the cost of each product

• obtain samples of all current products

6
Identify Current Practice

• Current Practice
• identify steps in practice where the product is
  utilized
• identify the group of staff/patients that are
  dedicated to this practice

• Change in Practice
• identify where steps could be streamlined
• incorporate emerging technology that will improve
  patient outcomes

7
Research Product Information

• Research technology using
• clinical staff members
• clinical publications
• Government Regulations/Standards/Guidelines
• ECRI Testing and Reports

• Benchmark
• with other health facilities/regions

8
Therapeutic Products Program

• Health Canadas Therapeutic Products Program is
  the national authority which regulates drugs,
  medical devices and other therapeutic products
  used in Canada.
• Medical Device Problem Reporting
• Medical Devices Bureau

9
Medical Devices Bureau Regulations

• This is a branch of the TPP which monitors and
  evaluates the safety, effectiveness and quality
  of diagnostic and therapeutic medical devices in
  Canada.
• Web Site www.hc-sc.gc.ca/hpb-dgps/therapeut/htm
  leng/schedule.html1101 (New Medical Devices
  Regulations - May 27, 1998)
• Medical Device Licence Classifications (see
  handout 2 Medical Device Classifications)
• Class I
• Class II
• Class III
• Class IV

10
Selection of Criteria

• Criteria for Tendering Purposes
• current product information/specifications
• size, shape, function, material, packaging
• (See handout 3 Product Specifications Profile)
• staff members agreed upon new specifications
• may use new/emerging technology specifications
• may use current product specifications chosen as
  standardized product by staff members

• Note any changes to practice with new product
  criteria
• Note any change in usage related to new product
  criteria and/or practice

11
Steps in Product Selection

• Identify Problem or Need (see handout 4 Needs
  Assessment Worksheet)
• Establish Product Specifications
• Tender Process
• Decision to Evaluate pre or post tender

• Review Evaluation results
• Award Product
• Implement Product
• Re-assess product in 6-12 months
  post-implementation

12
Mandatory versus Non-Mandatory Weighted Criteria

• Establish what the product must do
• if the product does not contain this property -
  you cannot use it)
• Establish what you would like the product to do
  that is not mandatory
• these are specifications that are nice to have

• Weigh the non-mandatory criteria according to its
  importance (scale of 1-10)
• Include all mandatory and non-mandatory criteria
  in the RFP document (see handout 5 and 6
  Mandatory and Non-Mandatory Criteria Sample)

13
Mandatory Criteria

• Do not make the mandatory criteria so rigid that
  there is only once choice of product that could
  ever meet your needs
• costs can be affected if choice is removed
• supply of product could be limited and sporadic
• potentially you could have no bid responses from
  vendors (re-tendering time and costs would be
  involved)

• Ensure that criteria is simple and fully defined

14
Non-Mandatory Criteria

• Weigh the specific function so that it best meets
  your needs and offers you more than one choice of
  product
• Use a simple scale of 1-10 to keep the results
  workable

• Ensure that not all criteria is weighted 10 -
  this will allow for easier identification of
  best product once results are tabulated

15
Tendering Process

• Outline specific products, usage, specifications
• Prepare Request for Proposal (RFP) Document based
  on hospital purchasing standards (see handout 7
  Calgary Health Region RFP )

• Ensure timelines are appropriate
• Responding Vendors have enough time to organize
  an appropriate bid
• Your Purchasing Department has enough time to
  organize all of the bids and samples received
• Time is allowed for staff members to review bids
  and move to evaluation if required
• Time to allow for ease of transition from old to
  new product

16
Product Selection Weighting

• Inform vendors in the RFP that product will be
  selected based on varying of the following
• Clinical Acceptability
• Latex-free Product
• Price and Price Protection
• Value Added Content
• Overall Best Value
• Acceptance of Standard Terms and Conditions

• Percentage used to award product varies - Price
  is usually 30-50 of equation - clinical can be
  50-70 depending on the clinical needs

17
Organizing Bids

• Review bids on all levels (i.e. grouping certain
  products or analyze each single item)
• Analyze current costs versus potential costs
  related to grouping and single

• Organize products for review by staff members on
  a low cost to high cost basis
• Organize and ensure samples of all products are
  available for staff members to review
• Ensure that all requested product specification
  material has been received by the bidding company
  (i.e. data relating to product performance, third
  party research material)

18
Review of Product Bids

• Use Staff Member group established to assist
  with this process
• include high use areas, specialty use areas
• Ensure no conflict of interest issues with group
  members (see handout 8 Statement of Full
  Disclosure)
• Ensure samples of products are available for
  review and discussion
• hands on review of products is required to make
  informed decision
• have current product samples available to compare

19
Review of Product Bids (continued)

• Systematically review all clinical requirements
  and how well those are met by the vendors (do not
  include pricing during this phase - best
  product to be chosen based on meeting clinical
  needs first)
• Total up non-mandatory scores
• Establish which product best meets clinical needs
  based on criteria
• Apply weighting to this product from RFP
  document

• Evaluate product selection if required

20
Evaluation Process

• Select Appropriate Products for Evaluation (based
  on need, tender) (see handout 9 and 10
  Evaluation Process Model and Product and
  Equipment Review Questions)
• Write reasonable, obtainable product criteria
• Target appropriate areas in which to try a new
  product (include them in the criteria development)

• Write Evaluation Criteria that thoroughly
  encompasses the important points of the product
  and its function
• Write Evaluation Forms that are easy to utilize
  and analyze (see handout 11 Central Venous
  Catheter Kit Criteria)

21
Forming Evaluation Criteria

• Obtain information from staff members as to the
  most important factor/function of the desired
  product
• Organize the product evaluation criteria from
  start to finish (turning the machine on to
  turning the machine off - and include everything
  in between) (see handout 12 and 13 Neonatal
  Cardiac Monitor Evaluation and Vital Signs
  Monitor)

• Ensure that specific considerations related to
  its use are evaluated (i.e. the acceptable weight
  of the product if it has to be carried)

22
Evaluation Criteria Weighting

• Add weighting factors to those items that are not
  considered mandatory but are more important than
  others
• Weigh the specific criteria/function in relation
  to its importance (scale of 1-10 with 10 being
  the most important)

• Allow for comments to be made in addition to
  answering specific questions
• Keep questions as simple and low in number as
  possible to maintain ease of use/completion

23
Analyzing Evaluation Results

• Tabulate all answers and number of responses (see
  handout 14 Summary Central Venous Catheter
  Kit)
• Comments need to be reviewed and added to final
  analysis as they will many times verify the
  numbers results (see handout 15 Summary
  Epidural Tray)

• Apply weighting factor to those questions that
  have been pre-selected (see handout 16 Summary
  Cardiac Electrodes)

24
Analyzing Evaluation Results (continued)

• Organize summary for presentation to staff
  members involved in the process (keep it simple)
• Allow staff members to review and make a
  recommendation/decision based on the results

• Document summary and outcome for review with
  bidding companies

25
Award of Product

• Product awarded based on tender results or
  evaluation process (see handout 17 Product
  Award Sheet)
• Notify companies and allow for ample lead time to
  stock product
• Education requirement related to product
  implementation must be addressed before product
  is implemented

• Changes to policy/practice must be in place
• Important to use up old product before
  implementing the new (as time will allow)

26
Award of Product (continued)

• Communicate decision of product award to all
  users of current products involved
• Ensure all necessary parts have been awarded
  for use with the product (i.e. disposable
  associated with equipment)

• Prepare cost analysis related to product award
  for period of contract term
• Ensure that alternate products have also been
  chosen by this group (i.e. acceptable substitute
  products if required for backorder situations,
  manufacturing problems, etc.)

27
Follow-Up Post Implementation/Award

• Assemble updated usage and cost information data
  on products 6 to 12 months post-award
• Communicate with departments using new
  product/equipment as to satisfaction level

• Clinical Engineering review of awarded equipment
  (repairs, etc.)
• Review findings with Vendor - make any changes as
  necessary (i.e. number of supplied
  products/equipment needs to increase)