HCL – Hospices Civils de Lyon (Hospital)
The main focus was to deliver significant cost savings and quality improvements in the hospital’s supply chain.
Objectives of the project
Improvement of the hospital’s sourcing and procurement. HCL’s business needs include:
- Realising and emphasise fast savings.
- Generating financial savings of 15% in a three-year period.
- Ensuring sustainability in the hospital’s approach to purchasing by:
- Developing a sustainable purchasing strategy
- Re-engineering the organsation and staffing of the hospital’s purchasing department
Measurable & concrete results
On operational sourcing actions, €7M of annual savings (16% of the addressed baseline) of which € 4M was realised in 2010. Examples of contracts negotiated:
- Medicine, with pharmaceutical companies such as Sanofi, Covidien, Thoratec
- Medical instruments or equipments, such as heart valves, medical gas
- Maintenance contracts for technical installations, covering heating and climate control, and uninterruptible power supply
- Cleaning and facility management, paper and printing and people transport.
Definition of a three year sourcing strategy for 20 key commodities, such as:
- Blood supply and treatment, haematopoietic organs
- Neurological consumables
- Power and gas supply
- Medical devices
- Telecom contract
- IT services
Definition and implementation of a completely new centralised sourcing organisation
- Diagnostic of the hospital’s procurement function and operations
- Structuring of purchasing by domains and category and purchasing mapping
- Definition, validation and explanation of principles of new sourcing organisation
- Detailed organisational structure (nominative scope of sourcing responsibility)
- Redesign of key sourcing processes
- Change management for all people directly and indirectly involved with the new organisation