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1 Purchaser/Supplier Global Relations: New Projects to Improve Health Care System Performance Transforming Purchaser/Supplier Cooperation to Improve Healthcare Efficiency: A Global Challenge Dr. Gabriela Prada Director, Health Innovation Policy, The Conference Board of Canada Paris, November 4, 2014

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Page 1: 1 Purchaser/Supplier Global Relations: New Projects to Improve Health Care System Performance Transforming Purchaser/Supplier Cooperation to Improve Healthcare

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Purchaser/Supplier Global Relations: New Projects to Improve Health Care System Performance

Transforming Purchaser/Supplier Cooperation to Improve Healthcare Efficiency: A Global Challenge

Dr. Gabriela PradaDirector, Health Innovation Policy, The Conference Board of Canada

Paris, November 4, 2014

Page 2: 1 Purchaser/Supplier Global Relations: New Projects to Improve Health Care System Performance Transforming Purchaser/Supplier Cooperation to Improve Healthcare

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Objective. Independent.Evidence-based.

Three guiding principles are central to our research approach: insights, understanding, impact.

Our services: research, convening, education, and dialogue.

About The Conference Board of Canada

Page 3: 1 Purchaser/Supplier Global Relations: New Projects to Improve Health Care System Performance Transforming Purchaser/Supplier Cooperation to Improve Healthcare

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Innovation Paradox• The introduction of new products and processes

into health systems has traditionally been perceived as a cost driver, which has prevented the adoption of innovations that can enhance health system performance and decrease overall costs.

• However, the manner in which innovation is procured can prove decisive in turning a burden into a substantial advantage.

Page 4: 1 Purchaser/Supplier Global Relations: New Projects to Improve Health Care System Performance Transforming Purchaser/Supplier Cooperation to Improve Healthcare

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• Innovation Procurement in Health Care – A Compelling Opportunity for Canada, July 2011

• Council for Innovation Procurement in Health Care

• Two international roundtables

• Innovation Procurement for Medical Devices - Driving Health System Improvement, April 2014

CBoC has been studying procurement as a tool to drive performance

Page 5: 1 Purchaser/Supplier Global Relations: New Projects to Improve Health Care System Performance Transforming Purchaser/Supplier Cooperation to Improve Healthcare

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29.8%

31.6%

29.8%

8.8%

Very important Somewhat important

Important Not very important

45.0%

55.0%

Yes No

Importance of Innovative Products

% Reporting that Procurement Approaches in their Organizations

Support the Development and Uptake of Innovative Products and

Services

Page 6: 1 Purchaser/Supplier Global Relations: New Projects to Improve Health Care System Performance Transforming Purchaser/Supplier Cooperation to Improve Healthcare

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In search for solutions

•Procuring for solutions or services

•Negotiated RFPs

•Public Private collaboration and partnerships

Page 7: 1 Purchaser/Supplier Global Relations: New Projects to Improve Health Care System Performance Transforming Purchaser/Supplier Cooperation to Improve Healthcare

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Conclusion

•Traditional procurement approaches do not work well to acquire innovative technologies. However, there are a few approaches and strategies that are helping health care organizations to extract greater value from their procurement transactions.

•All of these models are based on closer dialogue, collaboration and trust. These models are contributing to more sustainable health care systems, improved productivity, and enhanced patient outcomes.