Major healthcare supply chain saved £1.3 million

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The Challenge

A major healthcare organisation was facing insufficient inventory management in the post-COVID-19 era.

Following a study undertaken by Unipart Consultancy in 2022 that engaged all 42 of the organisation’s Integrated Care System (ICS), the following was revealed: 

  • The organisation had a low maturity level in inventory management
  • Insufficient data and data maintenance was causing increased shortages 
  • Many colleagues involved in inventory management were untrained. 

The Solution

Unipart Consultancy’s performance improvement experts collaborated with the healthcare organisation to devise a pilot supply chain plan for a single ICS within the healthcare organisation, as ICSs were recognised as central in leading supply chain development at various levels.

The key outcome of the pilot development programme was to create best-in-class processes for inventory management that would lead to increased levels of inventory management maturity within the ICS, aligning their priorities and resources for enhanced patient care.

This pilot aimed to develop supportive solutions that considered the pressures of the ICS and the overall supply chain strategy. Another aim was to improve inventory management at a local level as this was found to be the most significant driver for enhancing quality and resilience.

£1.3 million

one-off capital savings for acute trusts

The Impact

The ICS development project helped the organisation identify ways to achieve greater efficiencies and productivity, leading to the following transformation results:

  • Acute trusts saved £1.3 million on one-off capital savings 
  • Further savings of £5-8 million per ICS were identified on one-off capital savings
  • Acute trusts saved, on average, £500,000 in ongoing operating costs 
  • £1-3 million savings identified per ICS in ongoing operating costs 
  • Customised plan for improving supply chain processes created for each participating ICS
  • Priority actions identified for ICSs moving forward to drive inventory management maturity
  • Improved operational performance to optimise the use of resources and eliminate unnecessary waste
  • Inventory management processes identified to align future resource needs with rising demand for services
  • Optimised ICS processes and structures designed to improve performance.
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