Steria Success Story - The NHS and Steria
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Steria Success Story - The NHS and Steria



Saving the NHS millions: achieving huge economies of scale while demonstrating both innovation and best practice in business efficiency

Saving the NHS millions: achieving huge economies of scale while demonstrating both innovation and best practice in business efficiency



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Steria Success Story - The NHS and Steria Steria Success Story - The NHS and Steria Document Transcript

  • Success Story The NHS and Steria The NHS Shared Business Services story Saving the NHS millions: achieving huge economies of scale while demonstrating both innovation and best practice in business efficiency Challenge summary As the world’s largest publicly-funded health service the NHS offers a comprehensive system of healthcare for all UK residents. It employs over 1.7 million people and deals with around 1 million patients every 36 hours Understandably, operational efficiency is a priority for all NHS organisations – yet the savings must be achieved without undermining the delivery of a world class health service. In 2005 the Department of Health chose to meet this challenge by forging a unique joint venture commercial partnership with Steria. NHS Shared Business Services (NHS SBS) was set up to deliver back office functions in a shared services model that would bring economies of scale, cost savings and best practice business processes to participating NHS trusts. Key points On target to deliver £224m in savings over 10 years Enabling NHS trusts to focus on strategic decision making and business improvement activities High performing shared service delivering economies of scale, cost savings and best practice processes Significant saving for NHS trusts – between 20% and 40% of back office costs Hackett-benchmarked World Class provider of business services to the NHS Fully integrated UK and India service delivery, providing strength in process industrialisation and service innovation Consistent 99% or higher accuracy across all payroll and employee benefits services The Challenge By 2012 50% of NHS organisations had become NHS SBS clients. Their shared challenges have moved on. They are seeking to improve quality and healthcare outcomes in the face of stringent budget cuts. They must also address a new governance regime, demands for accountability and a restructuring of the NHS as it moves to clinical commissioning. Our solution Initially providing Finance & Accounting back office processing, NHS SBS now provides its clients with a wide range of value-added services. These award- winning services enable NHS trusts to focus on strategic decision making and business improvement activities. The services embrace the more usual back office processes on top of F&A, such as Payroll & Pensions and Commercial Procurement, as well as more specialist Finance services, including VAT support and capital purchasing and project management expertise. With extensive NHS experience within its team, NHS SBS is also able to offer health-specific services. These include Family Health Services (FHS), launched in November 2008 and ophthalmic payment processing.
  • How we worked together A culture of innovation and customer focus rapidly brings new services into play. For example, when the UK Treasury announced the VAT rate change, adjustments were made so trusts could move seamlessly to the new rate. A focus on operational excellence and continuous improvement is a business strategy for which there is a robust programme of activity. This has included investment in systems and the development of added-value services. One such service is transforming the provision of Family Health Services with high quality, cost effective administration processing and data management processes. Other new services include ePay, a web-based solution for effective claims management and the recently launched range of Commissioner Support Services, designed to meet the needs of the newly formed Clinical Commissioning Groups. Service excellence is paramount. The success of this programme is evident in the customer satisfaction scores with 94% of NHS SBS customers saying they would recommend the business in 2011. By operating a shared services delivery model, NHS SBS is able to deliver economies of scale. For example, NHS SBS is the largest Oracle shared platform user in the UK, enabling clients to share data across the business without the cost of numerous Oracle licences. This capability was reinforced with the award of a contract to provide the Integrated Single Financial Environment (ISFE) to the NHS Commissioning Board from October 2012. This means that from April 2013 NHS SBS will be providing finance & accounting services for 211 clinical commissioning groups and 23 commissioning support units. The automation and standardisation of labour intensive transactional processes, along with an integrated onshore-offshore delivery approach are other key elements of the business model. NHS SBS uses its strength in Business Process Outsourcing industrialisation to develop new ways of working to transform and modernise the NHS. Results and benefits NHS SBS clients benefit from the efficiency and cost savings made through innovation and sharing of best practice. Access to accurate and timely management information improves financial controls and helps meet the demand for accountability. Highlights include: Finance & Accounting team process over £43 billion payments and recover £14 billion of NHS debt per annum Largest provider of Payroll services to NHS – paying 200,000 NHS employees and processing over 2.5 million payroll transactions per annum Largest provider of Family Health Services in the NHS – processing 2.6 million transactions per annum and 1.3 million screening call/recall services Procurement providing £2 billion third party non- pay spend per annum – savings opportunities of £350 million in procurement costs achieved. Three Cherry Trees Lane, Hemel Hempstead, Hertfordshire, HP2 7AH Tel: +44 (0)845 601 8877 st043ukv1 Contact About Steria Founded in 1969, Steria works across 16 countries, has offices in Europe, India, North Africa, and SE Asia and 2011 revenues of €1.75billion, 21%* of Steria’s capital is owned by its employees. Headquartered in Paris, Steria is listed on the Euronext Paris market. *Including the Employee Shares Trust in the UK “I was struck by the commitment, enthusiasm and professionalism of all the staff I met within the different functions. They are clearly committed to continuous improvements in their systems and delivery recognising that the end result of their efforts is an improvement for the NHS” Director of Finance and Deputy Chief Executive, North Cumbria University Hospitals NHS Trust