11.07.2015 Views

Hierarchy of Healthcare Supply Chain Metrics - IDN Summit and Expo

Hierarchy of Healthcare Supply Chain Metrics - IDN Summit and Expo

Hierarchy of Healthcare Supply Chain Metrics - IDN Summit and Expo

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Cash to Cash Cycle TimeThe time it takes from procurement <strong>of</strong> product to the timecash flows back into the <strong>IDN</strong> from their customers.Includes:Days Payable Outst<strong>and</strong>ing (DPO) - time from receipt <strong>of</strong>goods to payment.Inventory – days <strong>of</strong> inventory on h<strong>and</strong>Days Receivables Outst<strong>and</strong>ing –average collection timefrom invoicing to cash receiptDependencies:Comprehensive SC Cost, Supplier Concentration,Documented Cost Savings, Purchase Order Cycle Time

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