27 February 2024

Health service input to Procurement Activity Plan vital in managing costs

Health service input to Procurement Activity Plan vital in managing costs2

HSV has held a series of workshops to develop the next Procurement Activity Plan (PAP), which covers the two-year period from July 2024 to June 2026.

More than 60 procurement leaders from Victorian health services attended in person and online workshops to discuss greenfield opportunities in the sector in a bid to manage costs more effectively.

While previously the draft PAP was presented to the sector for feedback, the workshops gave health services an opportunity to provide early input into the development of the plan.

HSV Chief Executive Neil Rodaway said he believed this approach reflects how HSV’s end to end supply chain processes are continuing to mature and should lead to better results for the Victorian health sector.

“Our focus is on how we can save more together and it’s great to see all parties working on how best to achieve this.

It’s important for us to work together with health services to manage costs, particularly in the current fiscal environment,” he said.  

“By engaging with health services earlier in the process we gain a better understanding of our customers’ needs. We benefit from their ideas in the development phase and we have an opportunity to address any complexities in implementing these opportunities, helping us to drive better outcomes for our customers,” Neil says.

“I believe this will lead to an improved PAP that continues to deliver and create savings and improved efficiency.”

“Our focus for the workshop was on cost reduction, particularly high-value greenfield opportunities that deliver a return on investment,” says HSV Deputy Director Procurement Sandra Ireland.

“We are very grateful to the health services representatives who gave up their time to participate. The process was very productive for everyone involved.”

Director, Procurement Resources at Western Health Arnold Sottile-Roxas said the in-person workshop was a very worthwhile approach.

“We haven’t been able to come together this way since before Covid,” Arnold says.

“It was fantastic having the opportunity to provide input on ideas for savings and efficiencies in person. I felt HSV was really listening to our ideas and building closer collaborations with health services to help us achieve our procurement and supply chain objectives.”

Chief Executive Officer of Omeo Health Mary Manescu, who made the long trip to attend the in-person PAP workshop, said she also found it to be worthwhile.

“It was really good to come together and hear other health services’ views – there were a lot of synergies in our interests and priorities. I look forward to seeing the PAP and hearing what HSV does with the ideas from this session,” Mary says.

Following the workshops which concluded on 26 February, the team is now working to analyse and prioritise initiatives and compile the final PAP for publication.