Developing shared procurement capability across five Ambulance Service Trusts

Savings
£500k
Potential savings identified

Potential savings based upon just ~2% of Trusts' total addressable spend

Consensus
Data and procurement alignment

Identified strategic and operational opportunities to align procurement data and ways of working

Strategy
Preferred model and implementation plan

Developed consensus on a preferred model and implementation plan to deliver collaborative procurement

Opportunity

The ambulance sector is under severe pressure to deliver a high-quality service with increasing limitation on its financial resources. Individual Trust’s currently purchase identical / interchangeable products at different prices with separate procurement functions, leading to overspend.

Five Trusts identified an opportunity to deliver savings asa collective through collaborative procurement. This meant reaching alignment on best value suppliers / products, and leveraging collective buying power to negotiate lower prices.

Approach

TN completed a baseline analysis of current Trust spend across a range of products e.g., medical consumables to identify potential savings, and co-create an operating model for shared procurement going forward.

  • Mapped 'as is' state of Trust procurement models
    Captured and codified each Trust's current procurement models to scope strategic and operational benefits of collaboration
  • Baselined procurement dataset
    Aligned and analysed each Trust's procurement datasets, identifying potential savings that could be achieved through collaborative procurement
  • Problem solved feasibility
    Engaged with expert leads across each Trust to validate projected savings and understand risks from a clinical perspective
  • Designed operating model
    Co-created an optimal operating model for shared procurement through an iterative process of engagement with procurement leads and execs and refinement of potential models

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