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Benchmarking of Inventory and Stores Department at an Eye Hospital


  • Kanwalpreet Grewal
  • Agency : Inventory Department, Store Department, Inventory Control, Benchmarking
  • Objective : The objective of the study was to assess whether the existing practices at the central store of the eye hospital at New Delhi, meets the standards and to find the scope of improvement. Discussion with the staff and the higher authorities led to a conclusion of need of standardizing processes at the centre.
  • Background : In hospitals, the supply chain is a key strategic activity to generate profits by optimum utilization of resources, efficient inventory control and cost containment models.
  • Methodology : The study design evaluates the primary and secondary data collected from the centre. The central store department was observed, had interview and informal talks with the department staff.
  • Findings :
    The hospital had processes in place but was not standardized. There was a frequent problem of stock out and emergency requisition orders from the entire peripheral centre, this lead to imbalance in the stock in hand in the central store. This also led to frequent order placements. A set of safety stock for the hospital was calculated, by analyzing the secondary data of a quarter year of the purchase order master list maintained by the department. A sheet with the quantity of safety stock for every item stored in the central store was prepared. The safety stock is prepared both months wise as well as weekly.

  • Recommendations : To counter the problem of standardization and stock outs, a policy as well as standard operating procedures for the hospital was prepared. The results of the calculation of safety stock were observed to be less in quantity; the reason was analyzed to be very less lead time. This was because vendors shared a good relation with the organization and gave timely delivery of the order. The standard operating procedures as well as the policy is turned into the stores manual, and serves as the guidelines for the staff as well and management for strategic decisions. The safety stock lead to the fall in stock out level, and there was a proper stock for emergency requisitions. It also saved the cost of logistics for small quantity of material
the study was to assess whether the existing practices at the central store of the eye hospital at New Delhi, meets the standards and to find the scope of improvement.