Doubling revenue
We doubled revenue with redesigned capacity.
Challenge:
A regional hospital laboratory wanted to increase the efficiency of lab processes, reducing waste and errors. They needed to prepare for growth in outreach services and recognized the need to develop new capabilities.
Effort:
Clearpath people interviewed key influencers to learn processes, habits, and constraints. We evaluated process design, information management needs, and logistics. The flow and layout, performance data, and process opportunities were analyzed so that we could design tools and plans for improvement and develop needed skills.
Result:
$4.3 million of new revenue was created immediately. The laboratory implemented a capacity plan to handle over $26 million of new work in three years. A “pay-out as you go” working plan measured specific performance improvements in six categories; this accounted for 70 projects, both short- and long-term. We were awarded a consulting bonus of $126,000 in the first year and over $450,000 total (on a “pay for performance” contract).
“We reduced waste and costs, and grew revenue beyond anyone’s imagination - even the Hospital Board. But you organized the chaos into workable plans that we could actually get done. We feel good about ourselves now.” - CFO & Lab Director
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