Procurement Collaboration Drives Efficiency

Client:

Two NHS Hospital Foundation Trusts comprising of a teaching hospital trust specialising in HIV, Burns and Paediatrics; a specialist tertiary centre for Oncology and Community healthcare trust.  Collectively the collaboration controls a budget of c£600m.

 

Challenge:

The organisations required support to implement the collaboration and review current procurement practices throughout the two Trusts.

Initiate the collaborative immediately and drive instant in year non-pay savings.

Improve the perception of the respective procurement departments in both organisations.

Develop an ethos which enables organisations with different cultures to work together for mutual benefit.

 

Approach:

Develop an improved organisation structure.

Devise a robust procurement strategy to support operations, assist commissioning, facilitate capital purchase and enable CIP delivery.

Implement, improve and standardise processes & practices.

Introduce ’best in class’ e-procurement, contract management and e-tendering, supported by effective systems to maximise efficiency.

Deploy a category management approach supported by trained and experienced category specialists.

Instigate robust catalogue management as a tool to constrain rogue expenditure and improve financial visibility.

 

Outcome:

Developed a robust and pro-active governance process.

Co-located the teams within one office to drive efficiencies and support joint working.

Commenced restructuring to implement a new organisation structure.

Initiated a systems and technology improvement programme to prepare the foundations for future demands.

Developed a CIP and PMO for the delivery of non-pay savings, which were fundamental in the Trusts’ achieving their savings targets of £14m and £22m.

 

“These have been demanding exercises, given the structures, opinions, histories and insecurities. Linea staff have brought to bear functional experience coupled with the necessary academic knowledge and intellectual rigour and have been resolute in controlling the change management essential to delivering successful outcomes.” Executive Director of Finance

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