Collaborative approach to Procurement. Health Business Services Strategy John Swords Head of Procurement, HSE/HBS

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1 Collaborative approach to Procurement Health Business Services Strategy John Swords Head of Procurement, HSE/HBS

2 Introduction Outcomes Value Collaboration Acknowledgement (Storm Emma) New Beginning's

3 Procurement Organisation Structure Office of the Head Of Procurement John Swords Sourcing & Contracts Sean Bresnan Logistics & Inventory Management Francis Mollen Procurement Systems Brian Long Corporate Procurement Planning & Capacity Development Brendan White

4 Work Plans Element Works Sourcing & Contracts Sourcing Plan Logistics & Inventory Management Continued Implementation of a National Logistics Service across the Health Environment. Purchasing Plan Procurement Systems Corporate Procurement Planning & Capacity Development Integrated Financial Management System. Procurement Data Warehouse Compliance Improvement Plan Competency and Capacity Development plan

5 Scale & Complexity ( One Voice ) 3.2 Billion Spend in the overall health environment Medical & Surgical Supplies 24% Equipment, Lab & Diagnostics 16%

6 2018 Pipeline (Significant Procurements) Equipment, Lab & Diagnostics Project Equipping for National Maternity Hospital at St Vincent's University Hospital Equipping of Paediatric Ambulatory Care Satellite Centres, National Childrens Hospital Procurement Mechanism Total Contract Value Tender 40m Tender 25m Clinical Chemistry & Immunoassay Analyser, Our Lady Lourdes Hospital Drogheda Equipping for Palliative Care for University Hospital Waterford Tender Tender 4.1m 1.7m Equipping for 100 Bed Res Care Unit, CHO5 Tender 1.3m 6

7 2018 Pipeline (Significant Procurements) Medical Consumables & Pharma Project Wound Management Infusion Consumables & Equipment Renal Eqpt & Consumables (Saolta, ULHG, DML) Procurement Mechanism Drawdown from existing Framework Agreement (FWA) Direct Drawdown from existing FWA Total Contract Value 40m 24m Mini Competition 30m A&A Recycling Tender 8m Audiology Consumables Tender 8m 7

8 Brexit Difficult to predict Risk assessment on-going Three keys risks emerging Supply Chain Parallel Trading (Teckal) Patient Transfers Currency No one has all the answers or all the questions we must remain focused on the big picture Readiness Survey to issue shortly

9 IFMS (IFMS) Integrated Financial Procurement Management System Technology is the way forward SAP Currently Stabilising current Infrastructure Information is key (Quality In Quality Out) Coding / Unique Identification E- Invoicing

10 Key Driver Patient Safety (Traceability) Starting in the right place What do we need? Starting with the Patient! Ability to recall Patient level costing Inventory management Regulation (all medical devices require a barcode)

11 What is driving the need for standardised coding? Track & Trace difficult? Current systems of product catalogue numbers includes duplicate/triplicates identifiers for different products across manufacturers Manufacturer Catalog # Description Medtronic Mosaic 305 Porcine Heart Valve. BD mL BD SafetyGlide Syringe.. J & J Protectiv IV Catheter System.. Manufacturer Product # Distributor Product # MT Hospital or Healthcare Provider Product # M Source, Jackie Elkin, Medtronic

12 Current Challenges Paper based processes Time consuming, manual Everyone using a different code for the same product Compliance issues IFMS requires unique ID and Standardised data Future

13 The importance of UDI for the NDC HSE Audit in the NDC Product Identifiers 79% of All products in the NDC have a GS1 GTIN GS1 GTIN now requested in tender documents GS1 UDI being used to track assets (Instrument trays and Endoscopes) GS1 is the preferred standard of the healthcare industry

14 The HSE need for Unique product identification HSE is adopting industry best practice for: Improved patient safety* Operational efficiency Regulatory compliance Enables: Increased traceability Shared services Scanning at patient bedside Patient level costing & recall management GS1 GTIN - Global Trade Item Number is the unique product identifier/barcode found on most medical device, pharmaceutical and retail packages *See McKinsey report Strength in Unity

15 Key Driver Patient Safety (Traceability) Starting in the right place What do we need? Starting with the Patient! Ability to recall Patient level costing Inventory management Regulation (all medical devices require a barcode) + Safer Patient Outcomes Adds value to the process

16 Conclusion Thank you HSE/HUG Supplier event The Life of a healthcare product from Manufacturer to Patient Friday 4 th May 8.30am-12.30pm Venue: HSE Dr Steevens, Boardroom

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