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Member Clinical Contract Approach
- 2. Canada’s healthcare procurement services organization, advancing the purchasing interests of healthcare facilities from coast to coast Aggregate volumes to achieve greatest value for our members Invested in Canada’s healthcare system Who We Are 2
- 3. Our Reach More than 250 members representing over 800 hospitals across seven provinces and the territories Greatest purchasing power ever assembled within Canada’s public healthcare system 3
- 4. Clinical Service Contract Approach 4
- 5. Capital Equipment? Used across multiple departments? Clinically Complex? Potential for Innovation? 1. Plan and Develop a Strategy 5
- 6. 6
- 7. • Strategy input • Help develop clinical criteria • Evaluate products and services • Help facilitate contract implementation • Represent nursing, infection control, biomedical engineering and more 7
- 8. 8
- 9. Meets the unique needs of members Delivers the best overall value 9 1. Plan and Develop a Strategy
- 10. Contracting documents are always posted for prequalification. Samples may be requested but pricing is not submitted at this stage. 10 2. Prequalify Products
- 11. • Products are scored by clinicians against predetermined clinical criteria • Scoring is individual • Weighting based on nature of contract • Suppliers who prequalify invited to participate in the Request for Proposal (RFP) 11
- 12. Allows our members to commit to contracts in advance, as they are informed of prequalified brands and are ensured that the products have met our members’ criteria. 12
- 13. Commitment in advance Commitment in advance to the contract with supplier selection post-award Commitment within the first six months post award Product Launch 13 3. Commit to the Contract
- 14. Prequalified suppliers are invited to provide their proposals, which are scored to assess price, quality of service and other non-clinical considerations. 14 4. Request for Proposal and Award
- 15. The MMAC, comprised of Directors of Materials Management and Supply Chain practitioners, meets twice per year to make recommendations for contract award. 15
- 16. Our local teams collaborate with our national team to assist our members. Liana Scott Vice President, Member Support Krista Stagliano Vice President, Materials Management Cassandra Paulozza Clinical Coordinator, Materials Management Sue DiCroce Business Director, Clinical Services 16 5. Implement and Support
- 17. Generate cross-reference reports Facilitate supplier meetings Develop implementation plans in collaboration with members HealthPRO remains involved every step of the way. We: 17 5. Implement and Support
- 18. National purchasing power Exceptional financial savings through our national collective efforts Highest quality products through our unique prequalification process Local member support teams help members throughout the contract lifecycle Assurance of compliance with procurement regulations A strong, national and collective voice impacts issues that matter 18 Benefits of working with HealthPRO
Editor's Notes
- Introductions. Greet the group and thank them for their time.
- HealthPRO is Canada’s healthcare procurement services organization. Founded in 1996, we are a national organization with offices in Vancouver, Edmonton, Regina, Mississauga and Halifax. We are invested in Canada’s healthcare by advancing the purchasing interests of healthcare facilities from coast to coast. We demonstrate this by creating and managing the best value healthcare contracts and by leading important healthcare initiatives on your behalf.
- HealthPRO has more than 250 members which represents over 800 hospitals across seven provinces and the Territories. Collectively, we bring together the most significant purchasing power ever assembled within our country’s healthcare system. Our members include both independent healthcare facilities as well as hospitals represented by provincial authorities and shared service organizations. Some of our members in Western Canada include HSSBC, Alberta Health Services, 3sHealth, Winnipeg Regional Health Authority and the Regional Health Authorities of Manitoba. In Central Canada our membership includes the major SSOs: HMMS, Shared Services West, COHPA, Plexxus, 3SO and Champlain Health Supply Services. Our members in Eastern Canada includes all provincial authorities and SSOs in Nova Scotia and Newfoundland and Labrador.
- We have developed a rigorous five step approach for our clinical contracts. Members are involved throughout the process, working with HealthPRO’s clinical and business teams to ensure we are able to produce contracts that provide maximum value for all members.
- Approximately 18 – 24 months in advance, HealthPRO begins developing the contract strategy with our member committees comprised of clinical and business professionals. Many factors are taken into account when determining what the final contract will look like including: - the complexity of the product or service; - the level of clinical sensitivity; - and how difficult it would be to transition to the product in the hospital. One of the major decisions at this point is whether the contract will be awarded to a single supplier or to multiple suppliers. Commodity products are likely to be awarded to a single supplier, while more complex products — or those associated with costly capital equipment — are likely to be awarded to multiple suppliers, giving each member the ability to choose the one that best meets their specific needs. Contracts for innovative or rapidly evolving products tend to be awarded for shorter periods of time or have technology clauses detailed, while contracts for commodity products tend to be awarded for longer periods of time and are more straightforward.
- Regardless of the strategy we end up with, our approach always complies with the Agreement on Internal Trade and all applicable provincial and regional regulations governing our members. (Tip: If presenting to Ontario members, highlight that we comply with the BPS Supply Chain Directives.)
- Based on the nature of the product, HealthPRO identifies and engages a variety of healthcare professionals to participate in the process. Our clinical Advisory Committee, or CAC, is made up of approximately 45 clinicians from member hospitals across the country. This standing committee is integral in guiding our contract strategy, assisting in the development of clinical criteria/specifications and evaluating products. The committee meets twice per year in person and several more times per year via conference call and webinar. The committee represents a broad spectrum of professional practice areas and, collectively is qualified to provide guidance and advice for most of our contracts. (Tip: As part of this slide, the presenter should highlight how many seats the member has on the CAC and have their names on hand.)
- For those contracts where a more specific focus or knowledge base is required, HealthPRO will assemble a subcommittee. A subcommittee is made up of clinical experts for specific areas and provide focused expertise for a contract or group of contracts. Some examples where we have recently used subcommittees are hand hygiene, gloves, IV therapy and respiratory therapy.
- Throughout the planning process, HealthPRO works diligently to ensure the resulting contracts meet the requirements of members while delivering exceptional overall value. We continuously strive to find the perfect balance between clinical quality at the best possible price.
- Once the various committees have provided their input, HealthPRO conducts a prequalification process. Most often, this begins with a Request for Qualification that is publically posted on national tendering sites including Biddingo.com to ensure all suppliers have an opportunity to respond. Sometimes we prequalify by imbedding the clinical criteria in a publically posted Request for Proposal, but specify that a clinical prequalification phase will occur before the pricing proposal is considered. Regardless of the method of posting, suppliers are required to respond with a list of their products that meet the criteria, and provide supporting documentation such as clinical studies. We also normally request samples for evaluation at this stage, but never do we request pricing, as we believe that clinical prequalification should not be influenced by the price of the product.
- When we receive the responses, the CAC or subcommittee evaluates the products and scores each submission. Depending on the complexity of the product, the evaluation may include any or all of literature review, table top evaluations or in-hospital trials. Only products that are prequalified move on to the next phase of the process. The score that is given at this stage carries forward to become part of the final award decision.
- Before we move on to the next step, it’s important to note that prequalifying products prior to analyzing price is something that differentiates the HealthPRO process from many others. While you may not know at this stage which products will be awarded, you can be assured that it will be one of the products that have already been evaluated, scored and deemed to be prequalified by a clinical committee. This is a big help to members in deciding whether they wish to commit to a given contract.
- Now we are about half way through the process. Are there any questions at this point before we go further? (Pause for possible questions) Now onto our 3rd step in the process, which is Committing to the Contract. Traditionally, most HealthPRO contracts were awarded to a single supplier and members committed to the contract in advance, with the assurance that one of the prequalified suppliers would be awarded. However, over the last few years, as single hospitals have come together to form more complex regional and provincial organizations, standardization has become more difficult and costs associated with changing products have come to be of more concern. As a result, HealthPRO has developed a number of alternate commitment models for different types of contracts. In some cases, we allow commitment for a period of 6 months after award, giving the member time to trial the awarded supplier should they need to. In some cases, we allow commitment at any time throughout the life of the contract.
- Up until this point, we have reviewed several types of contract strategies and models, commitment methodologies, types of clinical engagement and evaluation processes, all undertaken in close collaboration with our members. In this fourth step, the Request for Proposal stage, HealthPRO Business teams invite prequalified suppliers to submit a proposal that addresses price, service, breadth, in-servicing and training, implementation support and many other components. Once submitted, the proposals are evaluated and scored by HealthPRO as well as our Materials Management Advisory Committee (or MMAC), a group of materials management professionals from our various member hospitals across the country. If you recall a few minutes ago I spoke about the clinical score. It is at this stage that the score from the clinical evaluations is married with the score from the RFP. In a single supplier award, the supplier with the highest combined score is awarded the contract. In a multi supplier award, each prequalified supplier who submits a compliant bid is awarded a contract and committed members are then given the information to allow them to make a decision that best meets their individual needs.
- To provide you with some background, our MMAC is made up of approximately 40 professionals from member hospitals across the country. For the most part, they are Directors of Materials Management or Supply Chain practitioners who, similarly to the CAC, meet twice per year to evaluate proposals under consideration and recommend contract awards. (Tip: As part of this slide, the presenter should highlight how many seats the member has on the MMAC and have their names on hand.)
- Our last step, and the step that is always ongoing is contract support. Member Support teams are located throughout the country and work closely with members throughout the entire contract lifecycle. These are just a few of the people who play a role in supporting (insert the name of the member). (Tip: Identify those who support the particular member and in what capacity; insert the pictures of those who support the particular member.)
- Your dedicated Member Support representative (tip: ensure you identify the Member Support person) works closely with both your team and the HealthPRO clinical and business teams to ensure you are provided with the customized assistance you need throughout the entire contract cycle. For example, when the contract is awarded, we work together to develop customized implementation plans that can be supported by the hospitals, as well as help resolve any challenges that may arise. We also provide cross-reference reports to assist with product conversion. Once the contract has been implemented, the member support team will continue to work with each member, as well as suppliers when required to ensure ongoing compliance to the contract. Compliance support ensures that each member is using the correct products and is receiving maximum benefit from the contract award. In the event you encounter any product issues with the contract, we act as a liaison with the supplier. We also provide various support tools including weekly contract updates detailing any product additions, shortages or discontinuations. In short, we are there for you every step of the way.