Case study – Targeting non-pay savings in the NHS
Dorset County Hospital NHS Foundation Trust targets non-pay saving programme through spend analysis and procurement opportunity assessment
- The Trust provides a full range of district general services, including an accident and emergency department and five community hospitals, to a population of around 250,000.
- Dorset County Hospital has approximately 400 beds, seven main theatres and two day theatres. www.dchft.nhs.uk
The scope covered all non-pay expenditure at the Trust including clinical, non-clinical, estates and IT.
The approach considers both a qualitative and quantitative assessment;
- All Trust transaction data extracted, cleansed and categorised using NHS eClass
- Interviews with procurement team and stakeholders to assess the context of expenditure and the savings opportunity
The Procurement Opportunity Assessment provided the Trust with a number of key deliverables to meet their objectives of delivering cost savings and efficiencies whilst meeting Department of Health and Carter challenges on procurement:
- Spend analytics providing complete transparency of non-pay spend in terms of spend, categories, suppliers and purchasing responsibilities
- Savings opportunities identified and prioritised
- A sourcing strategy for each savings initiative
- Prioritised sourcing work plan to deliver the savings
- Assessment of procurement function capability against NHS Standards of Procurement
- Recommendations into Procurement Transformation Plan to meet Carter Report challenges