Case studies / Governing supplier contracts

£20M+ of healthcare supplier contracts governed

Supplier frameworks across more than £20M of clinical services contracts were brought under monthly review, with service levels enforced and terms renegotiated.

£20M+
supplier contracts governed
Sector
Healthcare
Organisation
King's Commercial Services
Years
2021 to 2022
Contract value
£20M+
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The problem

Supplier frameworks covering more than £20M of healthcare clinical services contracts needed active governance, so that suppliers delivered what the contracts said and milestones were met.

What was done

  1. Monthly supplier reviews

    Monthly reviews were chaired with suppliers to check delivery against each contract.

  2. Service levels enforced

    Service level agreements were enforced rather than left on paper.

  3. Supplier agreements negotiated

    High-value supplier agreements were negotiated to firm up delivery milestones.

  4. Claims and disputes

    Advice was given on contractual claims and dispute resolution where suppliers fell short.

The resultMilestone certainty improved by 25%

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Why this matters for your business

A contract only protects you if someone checks it. Where service levels are not enforced, a business pays full price for less, and service credits, rebates and refunds it is entitled to are never claimed.

Signs it could apply to you

  • Your supplier contracts include service levels or service credits
  • Invoices are paid without being matched to what was delivered
  • Rebates, volume discounts or price caps were agreed but nobody tracks them
  • A supplier has under-delivered and nothing was claimed back

How we would check it: Money you overpaid suppliers: we check every supplier invoice against the order, delivery record and agreed rate, and give you the evidence and a claim letter for each supplier.

This work was delivered in an earlier commercial role, before Sidra Advisory Ltd was formed. It is shown to illustrate the method Sidra Advisory now applies to client reviews. Client organisations named here have not endorsed Sidra Advisory.

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