1430 Panel Discussion - Day 1

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National Hospital Procurement Conference 2014

The 2014 National Hospital Procurement Conference explored a number of cost-saving measures in the hospital procurement ecosystem. Highlights included sessions on improving efficiency, savings and patient safety within Australian Hospitals.

For more information about the event, please visit: http://bit.ly/hosprocurement14

Published in: Leadership & Management
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1430 Panel Discussion - Day 1

  1. 1. National E-Health Transition Authority www.nehta.gov.au 0 Outsourcing of Services: Obstacles, Best Practices and Implications – Panel 4th National Hospital Procurement Conference Sydney, 24th July 2014 Stuart Cosgriff, Partner, Clayton Utz Rob O’Byrne, Owner and Group Managing Director, Logistics Bureau Tom Truman, Manager, Process Improvement, HPV
  2. 2. 1 National E-Health Transition Authority www.nehta.gov.au Outsourcing of Services: Obstacles, Best Practices and Implications 1. Panelists State Their Case 2. Questions – Open Forum 3. Panelists Summary Statement Agenda
  3. 3. 2 National E-Health Transition Authority www.nehta.gov.au • Stuart Cosgriff, Partner, Clayton Utz • Rob O’Byrne, Owner and Group Managing Director, Logistics Bureau • Tom Truman, Manager, Process Improvement, HPV Your Panelists
  4. 4. 3 National E-Health Transition Authority www.nehta.gov.au The Discussion 1. How can opportunities to outsource certain systems and processes be best identified and assessed? 2. What is the real impact of federal and state regulations, medical practices, and personal feelings in the process? 3. Saving benefits 4. What are the potential drawbacks?
  5. 5. National E-Health Transition Authority www.nehta.gov.au 4 Full Service Outsourcing 4th National Hospital Procurement Conference Sydney, 24th July 2014 Stuart Cosgriff, Partner, Clayton Utz
  6. 6. Full service outsourcing 1. Traditionally Government retains core service delivery (clinical and clinical support services) 2. The private sector has provided non-core services (maintenance, cleaning and security) 3. Governments expanded the scope of private sector provision, include services closer to core services (catering, distribution) 4. Fully outsourced models are being explored (Midland Hospital, Northern Beaches)
  7. 7. “Operational PPPs” - private sector provision of operational services The benefits: • operator led solutions • further optimisation of quality and cost of service delivery • furthers innovation and responsibility for design outcomes • efficiencies from a private sector labour force Full service outsourcing
  8. 8. www.LogisticsBureau.com7 Supply Outsourcing Is it really worth it? 4th National Hospital Procurement Conference Sydney, 24th July 2014 Rob O’Byrne, Group MD - Logistics Bureau
  9. 9. www.LogisticsBureau.com8
  10. 10. Outsourcing of Services: Obstacles, Best Practices and Implications Tom Truman Manager, Process Improvement, HPV 4th National Hospital Procurement Conference Sydney, 24th July 2014
  11. 11. Outsourcing An outsourcing agnostic  Potential benefits  Leverage competitive tension internal/external  Focus on core functions  Reduce risk / need for capital investment  increased flexibility  Issues  Supplier capability  Contract management resources and capability  Inability to fully transfer risk
  12. 12. Outsourcing Risks  Incorrectly scoped  Inadequately specified  Supplier capability not validated  Inflexible contract  Do not understand pricing model  Contract management capability  IR
  13. 13. 12 National E-Health Transition Authority www.nehta.gov.au Summary 1. How can opportunities to outsource certain systems and processes be best identified and assessed? 2. What is the real impact of federal and state regulations, medical practices, and personal feelings in the process? 3. Saving benefits 4. What are the potential drawbacks?
  14. 14. 13 National E-Health Transition Authority www.nehta.gov.au • Stuart Cosgriff, Partner, Clayton Utz: scosgriff@claytonutz.com • Rob O’Byrne, Owner and Group Managing Director, Logistics Bureau: robyrne@logisticsbureau.com • Tom Truman, Manager, Process Improvement, HPV: t.truman@hpv.org.au Contacts

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