Operational Efficiency

    • Illustrative Expertise:

      • Procurement
      • Strategic Sourcing - Opportunity Assessment and Implementation, including Quick Wins
      • Process Optimisation
      • Supply Chain
      • Asset Utilisation

      Case Study: Sizing the Savings Potential for Branded and Generic Medicines

      FirstCatalyst was asked to help identify and implement savings opportunities across all branded and generic medicine spend categories

      • Situation:

        Our client, a major private healthcare provider, was seeking to:
        • Increase and accelerate delivery of procurement savings
        • "Up-Skill" the Procurement team with best practice tools and methodologies

      • Solution:

        FirstCatalyst helped perform a spend and opportunity assessment to identify and deliver rapid savings across all medicines. To help identify and deliver savings, we:
        • Obtained and analysed product line (e.g. SKU) level data (quantity, spend, price) for the latest financial year
        • Conducted internal and external benchmarking to 'size the opportunity'
        • Developed a sourcing strategy to deliver the benefits identified (Quick Wins vs. Strategic Sourcing waves)
        • Conducted make vs. buy analysis on Reconstitution of Cytotoxic Chemotherapy drugs
        • Developed an implementation plan with both internal and external resource requirements
        • Developed and helped execute an internal and external communication plan to ensure employees and suppliers were provided with a consistent message

      • Impact:

        FirstCatalyst helped the client (during the subsequent Implementation) to:
        • Identify incremental savings opportunities by category
        • Develop a phased implementation plan to deliver the benefits identified
        • Deliver average of 16% savings on Quick Wins within 3 months
        • Deliver average of 22% savings on Strategic Sourcing over 6 months