Phase I

• Evaluate ordering and inventory purchasing practices and offer suggestions for efficient ordering, inventory, and storage of office supplies.
• Prepare an implementation plan including educational components for ordering office products from General Stores, preferably on-line.
• Identify all dollars that can be saved and removed from specific budgeted accounts.
• Measure the effectiveness/impact of this team’s recommendations after implementation of the plan.

Process Improvements that have been defined and are to be implemented

Recommendations

1. Continue to educate and communicate with staff regarding the cost savings from ordering office supplies from General Stores.
   • Continued communication to staff, e.g. Noon News, e-mail broadcast, flyers, etc.
   • Regular training sessions for on-line ordering offered at UI Hospitals and Clinics.
   • Annual product fair to be held at UI Hospitals and Clinics
2. Continue efforts to centralize office supply purchasing from General Stores by establishing Phase II of the Standardization of Office Supply Purchases Team. While there has been improvement and savings, there continues to be opportunity for additional savings.

Phase II recommendations

• Establish a product review panel that will assist in establishing a standard product catalog.
• Develop criteria for product evaluation and selection.
• Review the need to continue office supplies in Processed Stores inventory.
• Specifically identify all dollars that can be saved and removed from specific budgeted accounts.

• Identifying and establishing appropriate communication with the large number of individuals who are authorized to order office supplies within UI Hospitals and Clinics and COM.
• A variety of communication methods were used including Noon News announcements, an article in Compass, presentation to the Ambulatory Clinic Leadership Team, announcement included in hospital orientation program, personal e-mails and/or notes to persons who place orders to General Stores via fax, and flyers and catalogs distributed.
• Resistance to change: (1) changing vendors, (2) changing method of ordering
• A product fair was held at UI Hospitals and Clinics. The fair included the opportunity to sign up for ITS access and a training session for ordering from General Stores on-line. Training sessions were offered at UI Hospitals and Clinics.
• General Stores continues to offer the best savings for office supplies through their contract with Corporate Express. There was a significant increase in office supply ordering from General Stores and the associated savings as a result of the communication efforts and product fair. In addition, the volume of office supplies ordered through General Stores has been maintained. (Please refer to attached graphs).

  As Donetta Boone, Director, Audit Services (please refer to attached report) indicates, there is still a significant opportunity for saving to be realized. Persons from the UI Hospitals and Clinics and COM continue to order a significant amount of office supplies from outside vendors which results in a higher cost to the institution. This points out the need for continued communication to staff, regular training sessions for on-line ordering offered at UI Hospitals and Clinics, and an annual product fair to be held at UI Hospitals and Clinics.

Continue to educate and communicate with staff regarding the cost savings from ordering office supplies from General Stores.
Action Steps

• Continued communication to staff, e.g. Noon News, e-mail broadcast, etc.
• Regular training sessions for on-line ordering offered at UI Hospitals and Clinics.
• Annual product fair to be held at UI Hospitals and Clinics.

Person/department responsible: Gary Anderson, Business Manager, General Stores

Continue efforts to centralize office supply purchasing from General Stores by establishing Phase II of the Standardization of Office Supply Purchases Team. While there has been improvement and savings, there continues to be opportunity for additional savings.

Phase II recommendations

• Establish a product review panel that will assist in establishing a standard product catalog.
• Develop criteria for product evaluation and selection.
• Review the need to continue office supplies in Processed Stores inventory.
• Specifically identify all dollars that can be saved and removed from specific budgeted accounts.

Person/department responsible: Terri Stoner, Value Analysis Program

Summary from audit report dated January 9, 2001 from Donetta Boone, Director, Audit Services, Full report attached
Estimated realized and unrealized savings projected for FY 2001