1. NHSS Procurement Review Workshop Systems and Logistics Barry Hurcombe NSS Logistics 4th Nov 2014

2. NDC Activity NDC picks and ships c90,000 lines per week Over 3/4m items picked per week Annually c5m lines over 43m items Catalogue of c9500 stock keeping units (skus) Exceeding throughput budget of £140m this year Proven, well established transferable model

3. NDC Activity NDC continues to grow each year (14/15 Projection £144m) 50% growth over last 5 years General medical supplies, Janitorial supplies, non Pharmaceutical lines, Lab supplies, Theatre lines + Primary care supplies all within NDC coverage Rich in both data and expertise providing key performance data to help influence and support positive change: Operational KPI measures, Benchmarking, non compliant spend, preliminary demand management activity, SG Pandemic stock, support contract transition, support local transport optimisation programmes, WPM implementation & system support & maintenance, Cross Docking, Rationalisation / Consolidation

4. Rationalisation / Consolidation 3153 53% of skus below £3k annual value Over 3000 with spend below £900 Commonality of product usage across Health Boards is limited

5. Commonality of products

11. 15% Does variability have an impact on patient safety? Does variability have a potential training impact? Does variability have an impact on savings?

12. NDC Activity NDC is a proven, well established and transferable model So what’s next?

13. WPM / Theatre Stock Management WPM service introduced in conjunction with migration to NDC Projected Benefits Releasing valuable clinical time (supporting time to care) Reduction in ward stock holding Reduction of ward stock obsolescence Standardised process for ordering and receipt Bar code data capture to avoid transposition errors Trained resource to manage stock on behalf of wards

14. Level 1 service for everyone NDC Only counted Introduced in Primary Care WPM provided to Theatres Relationships well developed New items not included Reviews regularly carried out No consistency of ward stock layout Level 1, 2 & 3 service All items counted Only available in Acute sites No WPM offered to Theatres Relationships strained New items added routinely Reviews not carried out Positioning of Ward stock consistent across wards WPM Consistency of Deployment Are we getting the most out of the system and the service ? Is the local knowledge available to extract the information you need for decision making? Is there an optimum approach we should all follow? Do we need a web accessible solution?

15. Theatre Stock Management-Why? Limited visibility of real time stock availability and value Significant levels of overstock Reliance on manual stock control & ordering & knowledge of stores person Pockets of safety stock (squirreling) Limited electronic facility for batch control or tracking (Manual recording in place in most areas) Limited ability to determine costs per procedure, or by patient or by clinician No ability to confirm or track consignment stock usage No linkage with Theatre’s procedure scheduling systems Impact of potential legislation on GS1 barcode scanning

16. Theatre Stock Management-Why? Limited visibility of real time stock availability and value System provides real time visibility of stock position and value Significant levels of overstock System holds optimum stock levels and reorders only after consumption Reliance on manual stock control, ordering & knowledge of stores person Stock requisition generated on consumption & interfaced through Pecos Pockets of safety stock (squirreling) System provides visibility of all stock held Limited electronic facility for batch control or tracking (Manual recording in place in most areas) System will capture batch codes for tracking Limited ability to determine costs per procedure, or by patient or by clinician data extraction easily obtained for reporting No ability to confirm or track consignment stock usage System provides real time visibility of stock position and usage No linkage with Theatre’s procedure scheduling systems data extraction easily obtained for reporting Impact of potential legislation on GS1 barcode scanning Will be able to read GS1 barcodes

17. Theatre Stock Management Current Programme Plan Powergate Pilot in place in Dumfries and Galloway NHS Tayside deployment of Powergate agreed and engagement commenced NHS Lothian agreed in principle for Powergate deployment Keen interest in progressing Powergate Theatre Stock Solution expressed from National waiting Time Centre, NHS Ayrshire and Arran and NHS Lanarkshire View of experience from Chris Sanderson (NHS D&G)