RFID Pilot with Global Potential 29 April 2009
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1 RFID Pilot with Global Potential 29 April 2009 Garry Duvall, Deployment Manager Medical Logistics Division Defense Health Services Systems (DHSS)
2 DMLSS Mission Statement Dramatically improve the responsiveness of medical logistics support Implement business innovations that significantly increase effectiveness of clinical healthcare delivery while reducing costs Develop a high-quality, integrated medical logistics automated system for use by all Army, Air Force and Navy forces in both peace and war Materiel Facilities Equipment & Technology Management Wholesale Functions Peacetime MHS Wartime/Contingency Operational Continuum
3 Bringing E-Commerce to Health Care Operations Order Verified and Supplies Stocked 7am 8am Daily Supply Usage Daily Supply Orders Received 5am 6am 24 Daily Supply Orders Prepared and Shipped 5pm 4am Tomorrow s Supply Needs Determined 2pm 3pm Medical/Surgical Pharmaceutical Electronic Payment Defense Finance and Accounting Service (DFAS) Electronic Invoice Tomorrow s Supply Orders Processed 3pm 5pm
4 Why Investigate RFID? RFID could be another opportunity to build upon DMLSS history of increasing efficiency and customer service by applying technology Need to understand the technology s maturity and integration path in regard to how its fits with the DMLSS architecture Meet DoD Mandate (dated 30 July 2004) Passive RFID January 2006: Comfort Items, Petroleum, Lubricants, Oil, Chemicals, Additives, Barrier Material, Ammunition, Pharmaceutical and Medical Materiel January 2007: All DoD manufacturers and suppliers must tag all individual cases, all cases packaged within palletized loads, all pallets, and unit packs of UID items FY 2007: All DoD logistics automated information systems involved in receiving, shipping, and inventory management were modified to use RFID to perform business transactions Active RFID Applied to all freight containers, consolidated air pallets and large engine containers shipped to/from overseas DoD receiving points
5 Potential Benefits Increase Patient Safety Increase logistics velocity Increase resource utilization Reduce manual data entry / handling Prepare for pending epedigree Legislation prfid tag readable Barcode was not
6 DoD RFID Vision: Implement Knowledge- Enabled Logistics RFID will help support the warfighter and reduced costs through: Improved asset visibility Track and trace of materiel Real time inventory monitoring Fewer lost assets Better human resource utilization Demand-centric supply chain Iraq - OIF
7 Recommendations From the Initial RFID Study The short-term recommendations called for the implementation (late 2004 into 2005) of a multi-phase RFID pilot study to enable the DMLSS program to learn the following: How can current business processes (receiving, assembly, and shipping) benefit from the use of RFID technology? What are the potential RFID enabled business processes? What changes should the program make to the DMLSS logistics application to support RFID deployment? What is the program s responsibility for sharing RFID data with other DoD and commercial entities? What are the potential costs associated with the deployment of RFID solutions? How do medical suppliers support this initiative? How does the program adhere to the DoD RFID directive?
8 Recommendations from the Initial RFID Study (cont d) The pilot study will help the DMLSS program to understand potential benefits of RFID: Reduced duplicate orders Increased shipment accuracy Faster receiving Higher resource utilization: leverage people and equipment Understand potential benefits of RFID to the War Fighter : Better In-transit visibility: More info to the war fighter Faster order turn around The long-term recommendation presented a plan for the implementation, integration, and roll-out of RFID technology in a DMLSS production environment
9 Why Conduct a Pilot with a Prime Vendor DMLSS receives most of its products from prime vendors. A pilot is necessary to better understand how RFID transactions (like receiving) will take place in a real-world environment. Prime Vendors such as Cardinal and Owens & Minor are willing to pilot with DMLSS DMLSS seeks to better understand ASN processing with respect to RFID data for example, is real-time ASN processing necessary versus twice daily batches? DMLSS seeks to ensure that the right logistics processes are identified Before any new technology is implemented on a large scale, DMLSS would like to run a production version at a small scale to mitigate interference in daily operations at warehouses.
10 RFID Pilot With Owens & Minor Pilot will be conducted at 3 Military Treatment Facilities: National Naval Medical Center, Bethesda DeWitt Army Community Hospital, Ft. Belvoir Malcolm Grow Medical Center, Andrews Air Force Base Owens & Minor has agreed to tag pallets and re-pack cases of med/surg supplies Owens & Minor will add RFID tag data to ASNs (Advanced Shipment Notice) Development for RFID integration into the DMLSS AIS and testing of the system is complete DMLSS has conducted RFID Site Surveys at each test site and planned the RFID hardware and software configurations for MTF Alpha Site deployment began in August 2008
11 Plans for DMLSS / Owens & Minor Pilot Evaluation DMLSS plans to evaluate the pilot based on metrics collected at each test site Baseline metrics were collected during the RFID Site Surveys Pilot is scheduled to last for approximately 6 months; metrics will be collected at 1-2 month intervals Metrics that will be used in the evaluation include: Overall receipt processing time Time spent on discrepancy resolution Time spent sorting goods and verifying quantities Time spent performing data entry
12 DMLSS Phased Approach to Developing RFID Capability Phase I Enable Receiving of RFID tagged Cases, Pallets, Totes Process RFID EDI transactions; Pilot with Owens & Minor Identify Notes coded items such as Hazmat, Refrigerated Initial effort is for alpha sites only Ft. Belvoir, Bethesda, Andrews AFB Funding and resources are not in place for full deployment beyond select major sites Future Considerations Passive Tags affixed to case/pallet + item level Will add QA Data to EDI 856 ASN UID Lot Number Expiration Date TEWLS Assemblage Management Shipping to downstream customers
13 The State of RFID Today Numerous RFID technologies are establishing foot prints in medical logistics Passive RFID (prfid) in supply chain Asset Tracking in brick and mortar facilities Point of Use (POU) / Point of Care (POC) in clinical environments Defense Health Services Systems-Medical Logistics is working with Services, industry partners and FDA to develop standardized solutions to enhance the medical logistics supply chain Through joint research, stove-piped and cost prohibitive solutions can be avoided
14 Asset Tracking in Medical Treatment Facilities MTFs are using asset tracking systems to track high value and highly utilized items in a hospital Ft. Bragg has deployed Versus (Wi-Fi) at Womack Army Medical Center Eisenhower is deploying asset tracking with Ekahau Real Time Locater System Wilford Hall investigated asset tracking using SAVI tags Other MTFs exploring asset tracking: Bethesda, Wright Patterson, Walter Reed, Keesler, Elmendorf
15 POU / POC in Clinical Environments Point use technology offers benefits to track high value medical consumables in hospitals Wilford Hall has installed several smart cabinets tracking inventory of over $2M Mobile Aspects has developed an interface with DMLSS AIS and is awaiting DIACAP approval to turn on the interface Motion Computing is offering a tablet design for clinical care Offers built-in RFID reader, 1D/2D barcode scanner, built-in HF tag for asset tracking Offers FIPS certified Bluetooth CAC reader
16 Challenges Standardization across DoD Enterprise wide AIT strategy Security and compliance (IA, Noteworthiness) Cost of infrastructure and deployment Collaboration of Government and Industry Technology supplement/replace manpower Business practices and enterprise solutions
17 What Can Industry do to Help the DoD? Vendors need to understand the DoD environment prfid equipment and software will be used in mobile and fixed hospitals Ease of use and administration Should be interoperable define common and open data standards Security Must have FIPS compliant devices for wireless communications Data at rest encryption Smart card enabled for logon / authentication Support Worldwide prfid use Fixed infrastructure - OK to have different devices for regions Mobile support, need one device for all regions Solution must be rugged
18 Questions?
19 Backup Slides
20 DMLSS Ordering Process PO WAW F PO DAAS C PO Vendor system Shipment Order ASN WAW F ASN DAAS C 856 EDI Transactions ASN DMLSS Receipt Processing Goods Shipped Goods Arrival Shipment Moves from Vendor to Warehouse
21 Basic Pilot Components and Operation
22 The Power and Scope of DMLSS 59,000 requisitions processed per day $19M materiel received per day $20B real property managed 420,000 RPIE items managed 280,000 facility work orders managed $650M facility projects managed 976,000 of biomedical equipment items managed $3.3B of biomedical equipment items managed 610,000 work orders generated Training conducted 600 on-site personnel trained 13,000 e-lessons attended 1,126 point of use supply cabinets managed 1,223 Customer Area Inventory Management (CAIM) decentralized ordering points serviced 19,000 registered users supported 12,000 non-cocom users 7,000 COCOM users
23 Next Steps to Encourage RFID Adoption RFID deployment expectations are varied across all organizations DMLSS / Defense Supply Center Philadelphia (DSCP) see RFID as necessary in order to comply with DoD mandate Services do not see usefulness in the technology and are reluctant to adopt until pilot proves the technology is beneficial DSCP worked an increased distribution fee for RFID into med/surg Prime Vendor contracts Fee increases vary between Prime Vendors Owens & Minor will not use the increased fee during the pilot Services are reluctant to pay the increased fee and are therefore reluctant to adopt RFID
24 RFID MTF Pilot Validate future prfid investment Validate known costs and expected benefits Identify new costs / challenges Information Assurance hurdles Acceptance of WiFi Local infrastructure change coordination Remote support and administration Inconsistent WLAN configurations
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