Wednesday, March 07, 2007

OM in Health care

As my wife works at consulting firm for a pharmaceutical companies, I begin to know a little bit about the health care system in US now. It is quite surprising to me when I heard that american people spend every 1 of 5$ of their income in health care from the radio, although I know this industry is huge. Then the next question is natural based on my background. What our OM/OR people can do for health care industry. Obviously we cannot develop the new medicine to cure the cancer. But there is some ways that we can improve the efficiency, which is all what we can do.

The first example comes into my mind is that an example about the quantity of cancer treatment in an LP book. The second example is how to minimize the total walking distance in the hosptial. But those are all about optimization model. We definitely can do more. The impact might be even more important than other industries such as airline which is consider the hot research area but suffer the hard time now.

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