Routes to Market Opportunities for Suppliers Jim

Routes to Market – Opportunities for Suppliers Jim Miller Strategic Sourcing Director, National Procurement Owen Inglis-Humphrey Director of e. Procurement and Systems, National Procurement Colin Sinclair Logistics Director, National Procurement

NHS Strategic Sourcing Jim Miller Strategic Sourcing Director

National Procurement The Opportunity Health Board Demand Market Developments Service Improvements Pharmacy Medical Equipment Consumables & Services Non-Medical Strategic Programmes

National Procurement The Process Strategic Sourcing Toolkit Options, trials, evaluation Clinical Advisory Panel Solutions Local Implementation

National Procurement The Landscape • Category A - “buy once for Scotland” • Category B - “buy once for the sector” • Category C - “local/regional collaboration”

National Procurement Success • Successful implementation and delivery of a contract depends upon a number of areas including: – Contracts should be easy to use – They should be fit for purpose – They need to provide obvious value

National Procurement NHS e. Procurement Owen Inglis-Humphrey e. Procurement Director

National Procurement Shop window • • • Quality Content Clear and informative Accurate and timely Appropriate and usable It’s your shop window across NHSS

National Procurement The transaction • • • Clear and unambiguous Quick and easy Based on (Shop Window) content Automated transfer It’s our request to you

National Procurement The invoice • • • Accurate and timely Clear and unambiguous Based on the transaction Automated transfer It’s your request to us

National Procurement NHS Logistics Colin Sinclair Logistics Director

National Procurement National Logistics Strategy – Key Elements • • • Single NDC for NHS Scotland High Quality Customer Focused Service Consistent Service Delivery Wider Availability of Product from One Central Source Drive Logistics Savings Link to National Procurement Strategy – Strategic Sourcing – e. P&S “An effective, efficient and consistent Logistics service is vital to support front line staff in delivering high quality patient care”.

National Procurement Logistics Infrastructure for NHSScotland Commodity Groups - A Commodity Groups - B Commodity Groups - C Suppliers 800 Major Distributors (Fewer) Selected commodities NHSS NDC NHS Delivery Points (600+) NHSS Requisition Points (50, 000) Customers 150, 000 Efficient IT enabled processes Accountable and measurable Service Visibility Managed Suppliers Customer driven & defined services Costs reduced Modern Infrastructure High control of the supply chain High Reliability Best Practice Service

National Procurement Increasing Supply Chain Performance Working with NP Cost to Serve Route to Market Consistent Service Level Management Information Increased order consolidation Access to more routes to market & increased sales channel Enhanced reputation Provide best in class info about NHS activity Reduced costs of tendering, ordering & invoicing Reduced supply chain costs through consolidation & access to network Less lost sales supported by the NHS Brand Reduced uncertainty

National Procurement The Logistics Strategy Will Be Further Developed to Cover a Wider Scope of Commodities and Services to Drive Out Additional Benefits Establish Phase 1 0 -3 yrs Develop Phase 2 3 -7 yrs Print Catering food Dressings Fully Phase. Other 3 Exploit theatres Pharmacy Urology Medical Surgical Continence Ward Provisions EA R Bulk INC paper UE FL Stoma N GI SIN Disposable linen care Hotel Services products £ 500 million £ 5 -25 million benefit pa CEEstates N CSSD Home delivery public sector 7 yrs + Desktop stationery £ 100 million £ 2 -10 million benefit pa £ 115 million £ 7. 5 million net benefit pa

National Procurement The NHS Scotland Future Logistics Supply Chain Vision Goes Beyond Developing a Modernised Infrastructure. • NHS Scotland understands that there is a link between Healthcare Policy and the supply chain impact of those policies. • • What items are bought, how they are bought, how and where they are consumed Understanding the impact of future trends. Examples: – changing demographics, increased home delivery of patient care – changing clinical practice – changing infrastructure for healthcare delivery • How these future changes manifest in terms of physical delivery • How to provide these services efficiently and effectively • Working with suppliers to embrace change and enhance capability The Logistics strategy is a key component of the wider NP Strategy.

National Procurement Question and Answer Delegate Open Forum