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VA Medical Centers Could Determine Supply Requirements More Accurately by Updating Factors Used To Compute Economic Order Quantities

NSIAD-84-28 Published: Nov 07, 1983. Publicly Released: Nov 07, 1983.
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Highlights

GAO reviewed the supply management procedures and practices at a Veterans Administration (VA) medical center.

Recommendations

Recommendations for Executive Action

Agency Affected Recommendation Status
Veterans Administration The Assistant Deputy Administrator for Procurement and Supply should clarify procedures to periodically update the costs used in medical centers' EOQ calculations.
Closed – Implemented
While VA is taking some corrective action the benefits to be derived from further followup would not be worth the cost.
Veterans Administration The Assistant Deputy Administrator for Procurement and Supply should develop automated systems to consistently and accurately define and update medical centers' leadtime calculations.
Closed – Implemented
While VA is taking some corrective action the benefits to be derived from further followup would not be worth the cost.
Veterans Administration The Assistant Deputy Administrator for Procurement and Supply should justify any ordering schedules not consistent with EOQ calculations.
Closed – Implemented
While VA is taking some corrective action the benefits to be derived from further followup would not be worth the cost.
Veterans Administration The Assistant Deputy Administrator for Procurement and Supply should develop procedures for minimum operating levels and fixed interval ordering levels to eliminate differences between fixed ordering intervals and computer EOQ ordering intervals.
Closed – Implemented
While VA is taking some corrective action the benefits to be derived from further followup would not be worth the cost.

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Topics

Cost controlInformation systemsInventory control systemsProperty and supply managementHealth care centersProcurementGovernment procurementVeteransAutomated systemsComputers