11th Annual International Conference on Industrial Engineering and Operations Management

Improving Operational Efficiency of Pharmaceutical Inventory

Chanikan Pholpipattanaphong
Publisher: IEOM Society International
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Track: Logistics
Abstract

    The pharmaceutical inventory is one of the significant parts involved in hospital operations. However, the
limitation of inventory space causes the complexity of inventory control. The purpose of this research is to improve
the efficiency of Maharaj Nakorn Chiang Mai Hospital’s Pharmaceutical Inventory. The principle of ABC-VED
Classification is applied in this research to prioritize the medicine inventory. Moreover, the optimal number of
inventory is defined using Economic Order Quantity (EOQ), Safety Stock (SS), and Reorder Point (ROP). The result
of the developed models can reduce the total cost by 17.62%, medicine storage by 64.40% and medicine shortages.

Published in: 11th Annual International Conference on Industrial Engineering and Operations Management, Singapore, Singapore

Publisher: IEOM Society International
Date of Conference: March 7-11, 2021

ISBN: 978-1-7923-6124-1
ISSN/E-ISSN: 2169-8767