25 June 2021

Supply chain surety a key HSV focus

Story 4 supply chain surety a key focus 2

The COVID-19 pandemic has highlighted the importance of certainty and security of supply for health-related products and services.

Key points:

  • The State Supply Chain established during the pandemic helped ensure ongoing supplies of essential PPE.
  • HSV helps health services plan in advance to mitigate against spikes in demand.

HSV has put in place significant targets for supply chain savings and benefits for Victoria's public health services. The establishment of HSV's new Derrimut Distribution Centre in western Melbourne is a central part of HSV establishing statewide supply chain operations.  

In addition to the increased focus and importance HSV places on driving supply chain benefits, our work to improve the certainty and security of appropriate health service products and services is highlighted by the risks to supply, which increased during the COVID-19 pandemic.

While this aspect of supply chain surety is not new, the pandemic highlighted the need for better understanding and planning to mitigate these risks.

This important work is in addition to our plan to deliver significant savings and benefits over the next five years.

"The benefits of ensuring stock can be sourced can be seen in our ability to continue to support increased surgical demand," says HSV Director Procurement Joe Neill.

"Working closely with the Department of Health, Monash Health and health services, HSV helped establish and maintain the State Supply Chain during the COVID-19 pandemic and ensure ongoing supplies of essential PPE," says Joe.

Sourcing product during the pandemic saw an initial scramble for supply of any nature with spikes in demand and shortages of supply. While supplies have since stabilised, the ongoing effect is longer-term supply chain disruption for raw materials which has led to shortages in specific areas such as sterilisation wrap.

More recently HSV experienced short-term disruptions in medicines supply and felt the effect the Suez Canal blockage on the health supply chain.

"HSV should, has and can play an important role in delivering surety benefits and increased understanding and awareness of supply chain risk to enable health services to plan in advance to mitigate against these issues," says Joe.  

"A great example has been our work with health services and the Department of Health to help establish a fit testing program for masks to increase clinician safety in the workplace," he says.

For more information, contact a HSV Customer Relationship Manager or the HSV helpdesk on (03) 9947 3700 or email helpdesk@healthsharevic.org.au.