2 September 2022

Enhancing expertise ahead of supply chain expansion

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In the last 12 months HSV has enhanced its logistics, data analytics and demand planning expertise to prepare for a significant expansion of our supply chain services.

“Our aim is to drive down costs and improve service delivery for our customers, so we’re building a more efficient and responsive operating model and warehouse management system to help us achieve that,” says HSV Director Logistics Armin Odobasic.

HSV’s supply chain operations moved from Tullamarine to a new 23,000 square metre Derrimut Distribution Centre in late 2021. The warehouse holds more than 2,000 medical and health-related items and the number of lines and units stocked will increase over the next 12 months.

A new Performance and Insights team led by Head of Performance and Insights John Stewart will develop and implement analytics tools and practices that will inform our decision making and continuous improvement of cost management and customer service provision.

“As we establish a true supply chain function, logistics and its supporting capabilities will play a critical part in assuring supply of our distribution centre’s range of items,” says Armin.

“The Performance and Insights team will work with the available data to drive commercial, service and improvement decisions that will have expected positive impacts for our customers.

“The team’s focus will be to establish baseline data sets that represent distribution centre performance from a cost and service perspective, as well as supporting the Demand and Supply team to establish the appropriate tools to manage our stock levels and identify approved alternatives for proactive substitution,” he says.

The team has completed accurate Delivery In Full On Time (DIFOT) reporting, as well as developing customer reports that provide visibility of product usage and broader stock availability.

HSV already provides supply chain services to the Royal Melbourne Hospital and allied health services across multiple campuses – which collectively use approximately 30 per cent of the health-related goods ordered by Victoria’s public hospitals.  

With the extension of HSV’s supply chain services to other metropolitan, regional and rural health services statewide – plans are to onboard at least one regional and two major metropolitan health services in the next 12 months – an onboarding and delivery model is being developed to support a streamlined and customer-focused process alongside the Logistics team’s onboarding of the State Supply Chain.