NHS Supply Chain helps suppliers boost savings

28 May 2013

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28 May 2013

NHS Supply Chain has helped one of its suppliers cut packaging and transport costs by 63 per cent.

It assisted a supplier of clinical waste containers to redesign the packaging of a selection of its product range, which reduced packaging and transport costs and saved 46 tonnes of paper, plus a quarter of a tonne of plastic.

This was just one of a number of successful pilot programmes that have demonstrated strong savings opportunities for suppliers. NHS Supply Chain has now extended the scheme, with the launch of its new strategic sourcing programme, designed to reduce costs and deliver increased value across the healthcare supply chain.

The programme will focus on a number of key areas, such as reducing costs and material waste on packaging, supporting carbon reduction targets and ‘trailer fill’ to reduce vehicle miles.

NHS Supply Chain, operated by logistics group DHL, was created in 2006 when the NHS outsourced its purchasing and supply. It aims to deliver £1 billion savings to the NHS by 2016 and believes the new programme will maximise efficiencies within the supply chain.

Jonathan Kaye, head of strategic sourcing at NHS Supply Chain, said in a statement: “Suppliers gain from the supply chain expertise within our business and [that of] DHL to support the introduction of efficiencies that will help them reduce costs. In turn, this will help to ensure that NHS trusts that purchase from NHS Supply Chain framework agreements are working to meet their own strict savings targets.

“It’s about taking a holistic view of the supply chain and identifying where we can work together with suppliers to drive efficiencies that deliver benefits all around.”

The programme is an opportunity for suppliers to take the lead and replicate these improvements across all their product areas and supply chain routes, the statement said.

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