The Queen’s Health System

The Queen’s Health System is a comprehensive healthcare system serving Hawaii. It has four acute care hospitals and 10 laboratories. Queen’s is a regional healthcare provider committed to operational excellence and delivering high-quality patient care across all facilities.

Queen’s faced multiple supply chain challenges that threatened operational efficiency and clinician satisfaction:

• Aging Omnicell cabinets requiring expensive upgrades with prohibitive costs for system-wide replacement
• High maintenance costs with limited supply chain value, particularly for medical supplies (versus pharmacy)
• Clinicians spending excessive time in the supply chain process, including waiting in line at Omnicells
• The system required constant clinician intervention to order accurately, leading to artificially inflated PAR levels
• Staff manipulating PeopleSoft system to get needed supplies, entering zero to order full PARs instead of accurate counts

The Queen’s Health System selected BlueBin’s 2-Bin Kanban system as its preferred point-of-use solution. The decision was driven by the need to reduce clinician time spent on supply chain tasks and make the replenishment process more efficient for clinical and supply chain staff.

The biggest reason we went with BlueBin was to reduce the time clinicians spend in the supply chain process itself… BlueBin kind of, well, the Kanban system, in general, solves both of those larger issues and streamlines the supply chain replenishment process.

— Matt Sasai, Director of Supply Chain Operations and Logistics

Enhanced Clinical Engagement

The implementation brought unprecedented clinical involvement through mock events, allowing staff to redesign their supply nodes completely. Clinicians appreciated the opportunity to:

• Reset PARs based on actual usage rather than inherited systems
• Arrange supplies according to their specific workflow preferences
• Group related items together (e.g., all respiratory supplies in one area)

Improved Workflow Efficiency

Clinical staff immediately experienced workflow improvements:

• No more waiting in line at Omnicells or login delays
• Multiple people can access supplies simultaneously without interruption
• Simple grab-and-go access eliminates patient charging workflow complexities
• Clear bins provide better visibility and brighten supply rooms

Data-Driven Supply Chain Management

BlueQ Analytics provided supply chain staff with unprecedented visibility:

• Real-time velocity reports showing which items are critical or moving quickly
• Immediate identification of items that haven’t been scanned (63 items identified in the first month)
• Suggested PAR levels based on actual usage data, not guesswork
• Visual dashboard eliminates the need for Excel pivots and manual usage analysis

We actually see it visually through my dashboard and the data. Those are some of the biggest things that really stand out to the team, as something they didn’t have before, such as the visual cues.

— Matt Sasai

Standardized Methodology

The implementation enabled Queen’s to standardize how supply nodes are built and designed across the system. PAR decisions are now based on usage data rather than clinician requests, and adjustments are made using suggested PARs from the dashboard rather than anecdotal feedback.

Even in the early stages of implementation, Queen’s had already seen measurable benefits:

• Usable data available within 30 days of go-live
• Ability to identify and address PAR discrepancies immediately
• Five nodes installed in the first month with positive clinical feedback
• Data-driven conversations with clinicians about supply needs and PAR adjustments

They obviously enjoy the time back. They used to talk about how there used to be a waiting line at the Omnicells when they’d have to pull supplies… It’s just a grab-and-go, and multiple people can be in the room at the same time, getting supplies simultaneously without interrupting their workflow.

— Matt Sasai

Queen’s Health System plans to leverage BlueQ Analytics data for broader strategic initiatives:

• Inventory reduction ROI analysis across all units
• Optimization of inventory locations and supply chain storerooms
• Supplier performance evaluation and contract negotiations
• Department spend analysis by category and GL for better benchmarking

When asked what he would tell colleagues considering a new point-of-use system, Matt Sasai was emphatic about the value proposition.

If you’re on the fence about it, don’t think twice about it… It’s been night and day. If you’re an Omnicell user… the concepts may seem simple, but really, having the 2-Bin system, the way we replenish, and then how easy it is to scan and make those requisitions is a huge time saver, and it simplifies the process for your staff. The data you get on the back end is invaluable.

— Matt Sasai

Conclusion

Queen’s Health System’s implementation of BlueBin’s 2-Bin Kanban system demonstrates how Lean methodology can transform healthcare supply chain operations. By combining simplified clinician workflows with powerful analytics, the organization is positioning itself for sustainable operational excellence and improved patient care delivery. The early success and positive reception from both clinical and supply chain staff suggest significant long-term benefits as the system matures across all four hospitals and 10 laboratories.