NHS London Procurement Partnership

Transcription

1 NHS London Procurement Partnership Delivering better patient care: Achieving procurement excellence for the NHS through procurement collaboration Mario Varela Managing Director Presenting to: Southern Universities Purchasing Consortium 24 th October 2013

2 A collaborative procurement organisation funded by our NHS members Established April 2006 LPP s innovative operating model of procurement maximises the benefits of a strategic procurement service Securing cost savings, improving quality and leveraging the combined power of partner organisations Working in partnership to deliver sustainable procurement solutions and secure best value for the public purse : Total : 82.31m m

3 Understanding the LPP collaborative 1: LPP represents, and is governed by, its NHS members Steering Board Executive Management Board Category Boards Acute and Mental Health stakeholder meetings A collaborative member-led approach to work planning, with decisions made according to member need LPP is funded by its NHS members, and must demonstrate savings and added value for each member s investment in the service we provide

4 Understanding the LPP collaborative 2: For , this translates into: Targeting 3bn of London s 6/7bn influenceable spend through a core set of category priorities Achieving a minimum saving of 300m/5 per cent Providing transparent, trackable and easily identifiable savings Providing professional procurement expertise and added value services such as benchmarking and analytics, and e-sourcing tools

5 : the highlights 1 LPP member conference: Sir David Nicholson attended and described LPP as the benchmark for collaborative procurement within the NHS Supported Rio and Cerner replacements work shortlisted for three national awards (HSJ Efficiency, Procurement Leaders, GO Awards) Replaced ICDs and Pacemakers framework: saving 2.5m out of 10m spend work shortlisted for three national awards (HSJ Efficiency, Procurement Leaders, GO Awards) Worked with NWL to cut agency staffing costs saving 1m pa

6 : the highlights 2 Introduced the Payroll, HR Administration and Transactional Recruitment - it is already saving two trusts 2m Piloted the Benchmarking & Analytics Service now rolled out to members and covering approx 85 per cent of London s non-pay spend Training provided for members e.g. Agency Workers Regulations update from Capsticks; Procurement Regulations review by DAC Beachcroft

7 Understanding LPP s other drivers: Better Procurement, Better Value, Better Care The new NHS procurement strategy has four themes: Delivering immediate efficiency and productivity gains Improve data, information and transparency Improving outcomes at reduced cost through clinical procurement review partnerships Improve leadership and capability

8 Delivering immediate efficiency and productivity gains: LPP: Introducing competition: Negative Pressure Wound Therapy pump hire cost cut 75% Demand Management: NW London cut annual agency costs by 15% Leverage: Soft FM framework open to all public sector Aggregation and commitment: Demand Aggregation Pilot

9 Improve data, information and transparency: LPP s new Benchmarking & Analytics service: now benchmarks 85% of London s non-pay spend (c 5bn) provides full analysis service for members to identify opportunities for leverage, collaboration, product switching etc

10 Improving outcomes at reduced cost through clinical procurement review partnerships: LPP: clinical engagement in the procurement process cut 2.5m from a 10m spend on ICDs and Pacemakers ; Using evidence based procurement to engage clinicians and maximise switching opportunities

11 Improve leadership and capability: LPP: bringing added procurement expertise to support our members in-house teams supporting LPP staff development top HCSA scores in 2011 and 2012 working with the DH on the development of a delivery model and a Centre of Procurement Development (Academy)

12 Testing the future: Members beyond London Collaborating with other NHS hubs: the new national Nursing Framework GPS Memorandum of Understanding Being open to other public sector bodies: Nursing framework Payroll/back office framework Transactional procurement framework Soft FM Demand Aggregation Pilot

13 Thank you Mario Varela BA, MCIPD. MCIPS, MBA (Cranfield) Managing Director NHS London Procurement Partnership Tel: