A leading Swiss provider of medical laboratory services came under high cost pressure in 2022 after the government-regulated test prices for diagnostic procedures, such as blood tests, pathogen detection and tissue tests, were reduced. Cost optimization programs were launched in all areas of the company. As Chief Operating Officer, the current interim manager was responsible for the area from which the greatest savings were expected: the laboratories at the company's 16 sites with more than 550 employees.
Three starting points for a sustainable efficiency programme identified
In the analysis, the interim manager recognized that sustainable cost optimization could only be achieved through more efficient processes in the laboratories. On the one hand, the aim was to reduce the high costs of test reagents by using them more efficiently. On the other hand, it was important to optimally manage the utilization of highly qualified - and correspondingly expensive - personnel, which was characterized by work peaks and waiting times.
Successfully turning employees into change agents
To realign the processes, the interim manager formed two working groups that were open to all laboratory employees. In this way, she ensured that all the necessary expertise was taken into account. She also turned the employees into designers of the change processes, which had a very positive effect on motivation.
The working groups identified several areas in which efficiency could be improved quickly and effectively. These included above all:
- Targeted deployment of highly and less qualified specialists
- More ergonomic design of laboratories and workstations
- Optimization of logistics for sample transport
Better utilization of expensive human resources ensured
In one of the most important sub-projects, a working group recorded all tasks performed by laboratory staff and divided them into tasks for highly qualified expert staff (such as testing samples, Calibrate and maintain equipment) and simple specialist tasks (such as unpacking and distributing samples). The subsequent analysis of the personnel deployment planning revealed that the experts and specialists were not always optimally deployed. In fact, the experts too often took on tasks for which they were overqualified. To remedy this, the interim manager hired several full-time employees with the right qualifications. This allowed the experts to concentrate on the more demanding tasks. At the same time, fewer specialists were needed, who were (and still are) difficult to find on the Swiss labor market - and at high wages. The improved distribution of tasks helped to significantly reduce personnel costs.
Working hours flexibly adapted to requirements in consultation with employees
The introduction of flexible working hours made a further contribution to reducing personnel costs and increasing efficiency. Using the data in the laboratory information system, the working group was able to see at what time of day how many samples from which customers arrived at which laboratory. On this basis, the working group calculated how many employees were needed at each time of day in order to efficiently absorb peaks (high volumes) and prevent staff waiting times. By adjusting working hours to the actual volume of samples, personnel resources could be used efficiently, especially during peak times.
Ergonomic design of work routes and workstations increases efficiency
In a further step, a working group used pedometers to analyze the routes and distances covered over the course of a week and mapped these in detail. The employees then derived a fundamental redesign of the laboratory layout. The workstations and equipment are now arranged sequentially in a horseshoe shape. This significantly reduces walking distances and speeds up sample processing. The redesign was completed within a week, with employees from the group and suppliers of the laboratory equipment as well as the laboratory's IT team enthusiastically pitching in.
Workshops on workplace organization according to the 5S method
The working group achieved a significant increase in productivity and quality by creating ergonomic and standardized workstations. This made it easier to move from one station to the next. Weekly workshops on workplace organization according to the 5S method increased awareness of efficiency and work quality. This made a major contribution to a significant reduction in errors. Smaller measures, such as height-adjustable desks, enabled employees to alternate between sitting and standing work. These initiatives boosted employee motivation and contribute to improving laboratory processes in the long term.
Rescheduling of logistics processes shortens delivery times for major customers
One particularly critical interface in the processes was the collaboration between logistics and the laboratory. In collaboration with the working group and based on information from the laboratory information system, the interim manager developed a new concept for sample transportation together with the logistics coordinator. The optimization of the logistics routes contributed significantly to a more even utilization of the laboratory and prevented overtime in the evening. At the same time, the route optimization ensured that laboratory results could be delivered around three hours faster.
Efficiency gains achieved within nine months - motivation boosts performance
After nine months, the interim manager and her working groups had successfully implemented the company management's requirements. The measures made it possible to reduce average throughput times from five to three hours. The personnel requirements in the particularly important large laboratory were reduced by half while maintaining the same test quality. The working groups remained in place and identified further optimization potential, which was gradually implemented.
In addition to the financial gain, the restructuring resulted in another advantage: employee satisfaction and motivation increased significantly, which had a positive impact on performance and staff turnover.
