Tendering for Medicines and Services with CMU. Kevan Wind, Medicines Procurement Specialist Pharmacist, London & East of England

Transcription

1 Tendering for Medicines and Services with CMU Kevan Wind, Medicines Procurement Specialist Pharmacist, London & East of England

2 What we will cover 1. Pricing and Procurement of Medicines in the NHS. 2. Specific arrangements in Secondary Care for medicines contracting. 3. Contracting for Services 4. CMU and Hub Contracting how they fit together 5. Suggestions for the Future

3 Currently in Procurement we are Operating about 4 reorganisations ago. But it still works!

4 Reviews on Procurement Too Numerous to Mention Common themes Needs Higher Profile Need for Data / Benchmarking Not done well Leadership Standards Control of Demand And now we have Carter as Steph has described.

5 Pharmacy Procurement Though Seen to be an exemplar WHY?? Pharmacists are good at networking and have loads Pharmacy systems provide usage data to high level accuracy Strategic Approach National contracting Strategic Awards Clinical Expertise allows Demand Side Management Formularies Clinical Interventions

6 This is a Good Job Because Medicines Spend High New Drugs Expensive and Increasing. Demand for Medicines Increasing

7 Procurement of Medicines is Complex & Highly Regulated PPRS OJEU PAS Schemes Retrospective Discounts Health Act Licensing System PL, ML, WDL NICE Commissioning Medicines Act Global Pricing Primary and Secondary Care Markets

8 Compelling Need to Supply 95% supplier Wholesaler 95% Customer A typical supply chain supplier 95% Wholesaler 100% Patient Pharmacy supply chain (therapeutic substitution) Mid Essex Trust recorded 55 problems in 2 weeks = 7hrs 55 mins to resolve = 0.1wte (of high level staff)

9 National Pharmacy Supplies Group (NPSG) Leads Procurement Strategy for Medicines Consists of Chief Pharmacists one from each (old) region. Provide advice to Commercial Medicines Unit (CMU), concerning the cost effective purchasing and distribution of pharmaceutical products to the NHS in England. Act as a focal point for the NHS for pharmaceutical issues of a national nature and provide pharmaceutical advice accordingly. Acts as a link between pharmacists and CMU at national level. Advise the Department of Health and pharmaceutical industry on significant commercial matters.

10 Pharmacy Market Support Group Anticipates critical generic product shortages and proposes and coordinates preventative measures. Prevents potential market monopolies being developed Encourages new entrants into critical markets Assists in managing branded products that have just come off patent Monitors the effectiveness of contracting through benchmarking, audit and quality assurance Ensures items are market tested regularly Informs suppliers about the contracting process Develops strategies to discourage suppliers from undermining contracts Co-ordinates contracting with Wales, Northern Ireland and Scotland.

11 PMSG Operates through Several Sub Groups Branded medicines (including IV fluids) Generic medicines Biosimilars Group Transition medicines (near patent expiry) Homecare

12 Contracting Organised Across England Generic Primary Care Medicines tendered on national contract Secondary Care Medicines phased contracts in six regions Transition All tender at most opportune time and slot into generic medicines programme. Branded National Contract for branded medicines Clinical Contracting for some classes

13 Contracting for Services How do you define a service? So how do you measure the bid? How do you measure performance? Contract Examples Homecare Dose Banded Chemotherapy Repacks Unlicensed Medicines Supply Contracts Outsourced Outpatients TPN (Ready to Use) Reconstitution Service

14 CMU and Hub Contracting London has no hubs (instead have LPP) Should be complimentary (Products and Services List) Pressure of delivering savings causes some conflicts. Not all trusts members of hubs (and some have complex geographical arrangements). Reasonable challenge is to ask does the body represent the pharmacy community. Credibility!

15 And a Development for the Future For service type contracts CMU hold the standard specification CMU hold the standard award criteria CMU manage the tender timetable Hubs (or equivalent) undertake the tenders including supplier engagement Identification of customers Identification of volumes Awards CMU undertake the market surveillance PMSG offer strategic advice locally.

16 Questions?