Blog: The importance of a strong supplier base for NOE CPC
Our focus for April is #SuppliersMatter. To explore this topic in further detail, Steve Sercombe, Procurement Director, addresses the importance of a strong supplier base for NOE CPC.
“Suppliers are an integral part of what we do here at NOE CPC and without them the NHS could not function. We depend on our suppliers to maintain and deliver vital goods and services – it’s true of NOE CPC and it’s true of the NHS – and their value is often overlooked and understated.
“During the pandemic, the importance of suppliers to keep the NHS moving really came to everyone’s attention, not just in the NHS but in the wider general public’s perception.
“It is important for us to have a healthy supplier base, and they are a crucially important group of stakeholders in what we do. We currently have around 500 suppliers across our various framework agreements and we are really conscious of building and maintaining positive relationships with those organisations. Last year, we invested in two supplier relationship managers, and they have been working hard to enhance our collaboration with our suppliers. We are keen to do more to engage with suppliers to understand what makes them tick, how their businesses function, the challenges they face and what’s important to them.
“We do all of this while recognising that we are going through difficult economic times. The current economic climate, with rising inflation and the cost of living crisis, means it’s difficult for the NHS to manage within its current financial envelope, but we recognise it’s difficult for businesses too. They are facing rising costs, on occasions staffing and skills shortages, and there have been transport, logistics and supply chain issues over the past few years in many market sectors. We are very conscious that these issues impact both on the NHS directly, and also on our suppliers, and we need to be working with them to understand the challenges they face and the vulnerabilities they have got.
“We are keen to encourage opportunities for small and medium enterprises (SMEs), who play an important role across the NHS supply chain, and we have them well in mind when we are procuring goods and services on behalf of the NHS. Big isn’t always beautiful when it comes to the supplier base, and just maintaining the status quo isn’t always the best way of doing things. We are always keen to identify new and better ways of doing things, and we have tasked our new supplier relationship managers to identify opportunities to improve how we work with suppliers.
“We also know that there is a lot of knowledge and expertise within the wider supply chain that can be brought to bear for the wider NHS. Tapping into that and looking to apply it within the NHS is something we are keen to do more of. We are looking at more ways to bring supplier contributions to our members, and this will include our series of Tech Talks, in which suppliers of our Technology (ICT) frameworks are delivering talks in their areas of expertise throughout the year. You can read more about this series later in the newsletter. Going forward, we will be looking to do more supplier-focussed events.
“We hope to better understand our suppliers’ challenges and also the opportunities to work better together so we can become even more closely aligned. We are quite conscious of the fact that there are a lot of different parties involved in NHS procurement, and we want to be seen as an organisation that takes supplier relationships seriously and be seen as a good stakeholder to work with.
“We fully recognise that a healthy supplier base is an absolutely essential component in providing the service we provide as NOE CPC in support of the NHS, and we are committed to further enhancing our work with suppliers over the coming months and years."