Baptist Health Improves Warehouse Operations Without A New WMS​

Baptist Health South Florida is an internationally recognized healthcare network with 10 hospitals, more than 100 physician practices, and outpatient facilities spanning four counties from Palm Beach to the Florida Keys.

Like other U. S. integrated delivery networks (IDNs), Baptist Health adopted a self-distribution strategy with a central Distribution Center serving its facilities. Shortly after starting up a new 157,000 square foot DC in 2014, operations and IT teams at Baptist implemented Lucas to improve manual material handling processes, but not replace PeopleSoft as their system of record.

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“If anyone is looking to keep their current system of record for inventory, the Lucas solutions lets you do that. We got 70% of what we wanted in a new WMS with Lucas, but at 1/8 of the cost.”
Dale Adamson, AVP of Logistics and Distribution

Productivity, Inventory Accuracy, and Predictability for Customers

Manual Processes Prior to Lucas

Prior to Lucas, supervisors would sort and group printed orders by hospital, supply station, clinic or other shipping destination. Pickers would then choose their “favorite” hospital or route to pick, and the execution of the picks was left to the discretion of the pickers.

Picking errors were often untraceable since pickers didn’t always write their initials on the pick lists. There were many situations where paperwork disappeared.

The replenishment process was highly manual. Stock-outs were written on a board after getting the pick lists. Any discrepancies would be manually entered in PeopleSoft. Because of this manual process, hospitals would often receive shorted items 2 days later than expected.

Lastly, productivity reporting was based on manual input in PeopleSoft, using handwritten notes on the pick sheets. Sheets that didn’t have initials were attributed to a “ghost picker” who often accounted for a disproportion of total lines picked for a day.

Improving Warehouse Operations Without Changing Inventory Systems

“What it used to take 12-14 people to pick in one shift, we can now do with 8-10 people. The previous average picking rate in the LUM area was 50-56 lines per hour (LPH). Today it is 100-110. That is a 100% improvement, and in bulk picking, the number is about 20 percent.”
Dale Adamson, AVP of Logistics and Distribution