Case study – Stock reduction and supply chain efficiency in the NHS
Client
- Multi-site NHS Trust providing acute care to more than half a million people.
- Under financial pressure to improve financial position with a starting point of “too much stock, in too many locations”
Approach
- Total inventory of £5.7m which had increased 7% per year
- Undertook review of all inbound supply chains into each site to identify improvement areas and quantify financial impact
- Quantified value of stock in each stock location and current approach to stock management and receipt & distribution
- Defined optimum “to-be” supply chain approach and network
- Defined stock reduction opportunity and implementation plan
Results
Comprehensive transformation plan defining five areas for improvement:

- Transformation of stock management and inbound supply chain.
- Sampling indicated “just-in-case” rather than “just-in-time” stock management, in some case up to 87% overstocking
Total stock reduction of £544k identified
Click here to download a PDF of this article