Tenders and procurement
QIPP is the “lens” through which everything the NHS does will be viewed. The purpose of QIPP is to provide support and structure to help deliver the required savings. Thirteen workstreams were originally developed, including procurement. The procurement workstream is primarily focussed on reducing and optimising non-pay expenditure (including costs to procure) for provider NHS organisations through improved procurement. The aim is to drive out efficiencies in the short term and enable foundation trusts to manage their expenditure with external suppliers more effectively in the longer term.
The Department of Health has produced a procurement diagnostic which will help foundation trusts to assess how effective their procurement activities are and how they can improve them.
FTN Product Pricing Benchmarking
The FTN completed a DH-commissioned benchmarking exercise on procurement, to quantify the variability in prices paid for common clinical products across the provider sector. The aim of this project was to:
- Examine and understand the drivers of price variation across a fixed number of clinical products
- Provide the price transparency that is needed for trusts to negotiate the market effectively
- Facilitate empirically-based peer-to-peer discussions on common challenges, best practice, and how to improve procurement efficiency
A report of the findings is available below and via our benchmarking pages.
National Audit Office Reports
The NAO produced two procurement reviews in 2011, which comment on the level of price variation in the procurement of consumables within both foundation trusts and NHS trusts and on collaborative procurement across the public sector.
2 February 2011 |
NAO report from the Comptroller General on procurement of consumables by acute trusts and foundation trusts looking at trusts' capabilities, use of national and regional structures, and their spending...
23 February 2011 |
FTN Publication - Procurement Matters - A best practice procurement diagnostic
1 January 2011 |
A National Audit Office/Audit Commission review published in 2010
18 February 2011 |
Presentation by Department of Health to Chairs and Chief Executives' Network
8 February 2012 |
Results of a survey of members of the FTN procurement working group to verify and explore the barriers and incentives surrounding procurement. responses is given below.
24 November 2011 |
Sivakumar Anandaciva, Benchmarking Manager, FTN presented results of a project commissioned by the DH to compare prices of a range of clinical products. He talked about FTN Benchmarking, project aims,...