HSV adjusts PAP activity in response to continuing demand on health services

HealthShare Victoria (HSV) has adjusted the timing of a number of planned procurement activities to assist clinicians and employees at public health services who are managing an extraordinary level of demand as a result of the ongoing pandemic.

HSV will delay six greenfield activities for up to six months and extend several agreements by between two and 12 months to ensure continuity of supply and minimise transition requirements.

Whilst the impacted procurement activities will delay $4 million in savings over the two years of HSV’s current Procurement Activity Plan (PAP), the delay recognises the importance of continuity of supply for health services, enabling them to focus on treating an increased number of patients.

“While this situation is challenging and outside of our control HSV will reprioritise the available resources within our control to focus on COVID support and supply chain surety,” says HSV Deputy Director Procurement Sandra Ireland.

HSV has completed 34 procurement activities since July 2021, delivering $34 million in savings (cost reduction) this financial year. We are tracking as planned to deliver $172.5 million in total savings (cost reduction) and benefits (cost avoidance) this financial year.

Additional savings and benefits are forecast this financial year for the remaining 11 activities due for completion which includes two greenfield activities – SAP Success Factors Licencing Agreement and Mobile Workstations.

HSV’s PAP supports our strategic goal to deliver $838 million in savings in the five years to 2025 and is developed in collaboration with clinicians and health services to meet public health services’ diverse clinical and operational needs.

The next round of health service engagement is scheduled for late April 2022 when the draft PAP update (FY23:H1 PAP) is released for feedback before being finalised in June 2022.

As part of the ongoing development of the PAP, HSV is seeking health service contract registers to identify collective sourcing opportunities and align priorities.

The current Procurement Activity Plan (FY22:H2 PAP) is available to view on the HSV website.

If you would like to discuss the PAP review or any other procurement matters, please contact your Customer Relationship Manager or the HSV helpdesk at helpdesk@healthsharevic.org.au or phone 03 9947 3900.