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Becker’s Healthcare Podcast
Clinically Integrated Supply Chain Transformation at Akron Children’s with Joseph Carr
00:17:53
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- [00:00]
A
Welcome to Becker's Healthcare Podcast. I'm Chris Sosa, your host. I'm very happy to be joined today by Joseph Carr. He is vice president of supply chain and support services for Akron Children's in Ohio. Joseph, thank you for joining us today.
- [00:12]
B
Thanks for having me.
- [00:14]
A
Awesome. Well, we want to give our audience an idea of everything that's going on supply chain wise at Akron Children's. But before we do that, could you please just introduce yourself and give us our audience a little bit more information about your background and your organization?
- [00:28]
B
Sure. So I'm Joseph Carr, vice president of supply chain and support services at Akron Children's Hospital. Pretty neat to share. The mission of Akron Children's is to improve the health of children, teenagers and young adults through excellence in patient care, education, research, advocacy, and community partnerships. So our vision is to be most trusted, inclusive and accessible pediatric health system in our communities we serve. So what makes Akron Children's special is the legacy, the culture, and our responsibility to Northeast Ohio. So since 1890, we've treated every child as we would our own and never turned a child away. So that commitment really matters deeply in our region. We're deep rooted here. Families rely on us not only for everyday pediatric care, but for the very complex and critical needs. Being a Level 1 pediatric trauma center, we serve as a regional safety net and referral destination. And caring for children, you know, in the most vulnerable moments, ensuring that they have access close to home. So Today we have two hospital campuses, six regional health centers, and more than 50 primary and specialty care locations across Ohio. And care for over a million patients each year. From surgeries and urgent care to school health and home care, we go beyond hospital walls, being a vital part of the health and stability of the communities. And we've only had a few CEOs in our history. We are very fortunate to be led by Chris Gessner, a visionary leader, supported by one of the strongest executive teams I've worked with. And so the culture, financial resiliency, and forward thinking mindset, the inclusiveness are very exceptional here. And honestly, not many workplaces include therapy dogs, Elmo executives dressed as Nemo, and an occasional hall of famer in the hallway. It's a place that keeps you inspired every day.
- [02:42]
A
It sounds like a fun place to work, to be sure. Joseph, before we get into what lies in the future for Akron Children's, let's look at 2025, just for a moment here. So what would you say is the most important initiative you and your team led in 2025? Take us through how it evolved and the results that you'd like to highlight.
- [03:05]
B
Sure, you know, without question, it's been transforming our supply chain support services into a clinically integrated strategic model. We branded that Commit for Kids program and so think of historically, more than 80% of contracting and inventory decisions were handled by clinicians and department leaders, which inevitably pulls them away from patient care. So our goal was to shift that back to supply chain while keeping clinical voices at the decision centerpiece and aligning operations with our mission to give caregivers more time with patients. So to do that we formed a multidisciplinary team. 20 stakeholders partnered with our GPO Vizient alongside with 135 hospital consortium to standardize more than 100 clinical product categories. Now we hosted a nine day product expo with over 140 clinicians capturing their feedback to guide adoption. And alongside that we completed 11 Lean projects last year to introduce automation and core performance metrics and enhance our processes. So the results have been transformative. We opted into close to 40 product categories, generating half a million in immediate savings. And now we're projected to deliver more than 2 million in annual savings, reducing SKUs, improving contract compliance. And you know, as a previous clinician, one important thing to me is freeing up 90% of the clinicians time previously spent on supply related tasks to focus on patient care. So think of that spend that we talked about and that span of control. We expanded from 15% to over 90% of manageable spend. In addition to that, we did a lot of other good things, you know, developing a heat map and expanding clinician engagement with GPO councils. If you kind of look at our baseline with like a good gardener supply chain maturity model, we went from a one plus to a near four in a short period of time. So without strong clinical partnership and external collaboration through strategic suppliers, it wouldn't have been possible. Yeah.
- [05:36]
A
As a nurse, Joseph, you have that background, so you're able to bring that into your role here on supply chain. So obviously in any sort of undertaking like this, they're going to be growing pains whenever you learn something new. And changes can be difficult and time consuming. Right. But now that you've had a chance to look back on that initiative that you just shared with us, I mean, what's been, how have clinicians come to view this whole integration that you've just outlined?
- [06:07]
B
It's very unique here. The clinical integration, oftentimes thought of as being resistant to change, has been the complete opposite. I go back to the days when I was a clinician and I started in healthcare at Mayo Clinic and where, you know, folks saw potential in me and I probably asked a question like what's the price of that? And they said, hey, let's see you as a guinea pig and build a clinically integrated model. And it just kind of became natural to have those discussions and to speak to the quality over price or outcomes over cost equation with everyone. It really connects the dots for them in different languages. And just the, the receptivity has been phenomen from the C suite all the way cascading through to the leadership. It's been the PH has been really well primed to bring something of such a strategic nature and nonetheless do it in a short period of time. Many organizations, the change management, the readiness as we've teamed up with OPEX has not been primed for, for those type of ambitious transformations. And so we're very fortunate a lot of folks would take a couple years to do that here. It's just been a lot more expedited because of the engagement, the partnerships and also building strategic partnerships outside of, you know, inside our walls with our GPO and distributors that's accelerated the transformation.
- [07:54]
A
That's fantastic.
- [07:55]
B
I.
- [07:55]
A
It's always ideal to build that trust equity with the staff when you're making huge changes like this, I would imagine. So as we look into 2026 then, now that you have got some of these grand projects off the ground. Right. So what would you say are your biggest priorities for, for you and your team, that is, and any headwinds or, or even tailwinds that you're focused on for this year?
- [08:19]
B
Yeah, you know, as we've gotten organized with our strategic plan that cascades of course from the organization. Our vision centers on three words, Collaboration, performance, value. We love it. Ultimately it ties back to our mission giving clinicians more time. And we see five pillars for us that are customized to supply chain that start with logistics, distribution and inventory assurance. So very key for us in this year is to lay the foundation with launching an off site distribution and LUM model with our strategic partner medline to be able to free up our time and storeroom activities to expand inventory management operations into nursing units and freeing up their time so become operationally efficient. That's our first pillar with that section. And then customer fulfillment and relationships is our second pillar. Deepening our clinician engagement through the Commit for kids. Strengthening service focused supply chain support. Again expanding their voice, the voice of the customer into not just our internal four walls, but also in the industry. To elaborate on that, I think it's probably important to recognize. On a personal note, the mission of Akron Children's is deeply meaningful to my family. To translate our fourth child, Luca Tiana. Luca has special needs related to a genetic neurological condition. So as caregivers, we understand firsthand the importance of a standalone children's hospital. It's truly been a blessing, a second home for our families. So that perspective is a gift. And so not only do we receive care, but be in a position to advocate for children and the families. This is our journey. So when we talk about customer relationships and fulfillment, fulfillment and expanding and advocating in that voice, it really is something that is meaningful to myself and, of course, my team. The third pillar is data technology, process and reporting. So we are focused on building a supply chain control tower aligned with our ERP implementation that's to go live with Workday in 2027. So the design of that, of course, is going to be imperative to our success. Gives us visibility, risk management, decision making, etc. Fourth pillar is work, culture and engagement, modernizing our structure. We just finished up building career ladders and investing in talent development through our partners, too. So just seeing the growth and development of the teams, that's very meaningful to me as a leader, that kind of makes me. That's my barometer for how successful I am as a leader at the end of the day. And the last pillar is growth and financial performance, right? Expanding the sourcing, cost management, reinvest the savings in patient care and expand access across Northeast Ohio. So I say the biggest headwind is capacity. Think of healthcare as evolving rapidly. And so AI and automation are starting to reshape us. The forecasting, sourcing, intelligence, the workflows. And so the challenge is adopting innovation in a way that strengthens, not distracts from our mission, and then assuring also that our teams are properly equipped to manage the changes that are on the horizon. So keeping that balance act of running at the right pace of transformation without causing burnout is something that would usually keep me up at night.
- [12:38]
A
It's a delicate balance, to be sure, Joseph, and one that any number of your colleagues in health care are facing too. I'm sure they can relate to this when they listen to that. And you guys can exchange ideas beyond what you're sharing with us here. But while we are here, I am curious. So when you look at all these things that you just laid out for us, coming for app controls in 2026, and it's a lot, and I'm sure you're looking forward to all of it, when I asked this question it doesn't have to be a downer, let's just say that. But what do you think is going to be the hardest thing? You'll have to do the toughest thing. It could be also thing you're most looking forward to. But you know, it's going to be going to take a lot of work, let's put it that way. So what would you put into that category?
- [13:20]
B
Yeah, I think going back to that earlier point, managing the pace of transformation while protecting our team's well being and staying mission focused as we modernize the systems and redesign processes and expand our strategic thinking, our role, preparing for all these technological shifts. We gotta maintain daily operations. Right. That clinicians depend on. And at the same time, AI and advanced analytics are starting to transform from predictive to sourcing intelligence and automation. So that challenge is introducing that level of innovation in a way that empowers people rather than overwhelms them. That means pacing change thoughtfully, providing strong training and support and being very clear, which helps my background to regularly explain the why, which is always gives caregivers more time with patients and ensures reliable care for kids. So tie it back to the mission, tie back the why of why we are doing what we're doing to, you know, really bring value to the organization and ultimately as an organization, bring value to the community.
- [14:46]
A
Yeah. Explaining the why certainly is among this generation of leaders. Beckers has found that that's very important. And you know, not to say that it wasn't before, but it definitely just seems to be more at the forefront now in a positive way. Certainly. Joseph, last thing I want to ask you is also future oriented here. So you mentioned again some of the projects you've got going on, including the new control tower and other initiatives you have going. So where do you see the best opportunities for growth as far as Akron Children's is concerned? And you can look at that in a year, five years, whatever timeline you think fits best.
- [15:24]
B
It's pretty neat to see that intersection, an intersection of clinical integration, operational excellence and community outreach. So as that intersects, you know, it's important for us to embed supply chain expertise into clinical operations and vice versa, as we've had clinical leader join our team to help with implementation. By doing that, we reduce variation and manage costs responsibly. Right. And free up clinicians to focus again on that patient care. The operational strength creates the capacity to grow. That's why that talent development is so imperative. So opportunities for growth beyond our walls. There's a tremendous opportunity to expand outreach into more communities. And bring services closer to where families live. Whether it's supporting ambulatory expansions, school based health, specialty, pediatric services, different service lines or new partnerships, it just means improving access, especially for families who might otherwise face barriers to care. That is very common for caregivers. The challenge of just getting a non verbal, non mobile child to receive care, it's a lift just to literally get them from a house to a car. Imagine to do all of the rest. So ultimately our differentiator is culture. We really feel strongly about humility, work ethic and kindness and that really is a foundation that allows us to scale thoughtfully while staying grounded in why we exist. Which going back to our mission is improving the health of children, families across our communities. Very special place and very blessed to have my role here.
- [17:25]
A
Well Joseph, thank you so much for joining our podcast and giving our audience a great background of where Akron Children's has been for over 100 years. Well over 100 years, and where it's going to be going in the next foreseeable future here. Yeah, we're going to see you coming up at a conference which we can't wait for and hopefully this is definitely not the last time we connect.
- [17:47]
B
Thanks so much for the time, Chris. Great to connect.