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A typical hospital has 225 medication errors per year. Approximately 35 percent of these are a result of the prescription, 30 percent from dispensing, and the remaining from administration. Suppose that a hospital has 9000 annual admissions, and that the average patient receives five prescriptions during a hospital stay. Patients stay an average of 3.5 days, and each ordered medication is dispensed daily. The average patient receives 12 medications per day. Compute the average DPMO for each of the three categories of medication errors. To what sigma level do these values correspond? HINT: consider the process is off centered.

Operation Management, Management Studies

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