Sustainable food procurement initiative
Case study: supply and distribution of meat and poultry
Case Study
Supply and Distribution of Meat and Poultry
Region
National
Organisation
NHS Purchasing and Supply Agency
Description
NHS Trusts spend approximately £10m on meat and poultry. There are 272 NHS trusts in England with over 500 kitchens. Kitchens have a limited amount of money to spend on food and drink for patients (approx £2.50 per day).
The Better Hospital Food Programme has provided recipes and specifications to achieve the nutritional value while retaining a quality appeal. Trusts require a consistent quality product 365 days a year in order for it to provide good quality food within the allocated budget.
NHS Purchasing and Supply Agency provides a framework agreement on behalf of all trusts in England under public procurement guidelines; agreements are awarded to supply companies who can prove their quality of product and service and provide the best value for money for trusts (including regional suppliers).
Benefits
- Consistent quality cuts of meat available prepared at supplier level for ease of use within hospital kitchens. All products are from Assured Food producers accredited against EN 45011.
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Value for money purchasing within the specification developed with NHS caterers. Suppliers are able to compete for NHS trust business against alternative suppliers on a level playing field. This ensures companies remain competitive while providing products to the specification.
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Division into lots to allow regional multi supply options for trusts
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Benchmarking suppliers to ensure they provide product against specification which is regularly updated and available to trusts
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Best practice advice given to contractors from industry within a forum environment so maximum benefit can be taken by all suppliers. We hold annual meetings with all suppliers to discuss best practice and issues that affect suppliers that influences there ability to supply to NHS trusts.
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Compliant with EU Directives
Lessons learned
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Framework agreements are more flexible than contracts for unspecified quantities. Two-year agreements give an opportunity for companies to build business for the longer term.
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The specification was constructed to allow regional suppliers to take part in a patchwork style to ensure national coverage. Large national companies were also able to compete for local business but were not always so responsive to local conditions. Regional supply allows the opportunity for local requirements to be met improving the local economy and minimising food miles. Local companies are also keen to be involved with local trusts. Opportunities also exist for groups of NHS trusts to aggregate demand and negotiate discounts with suppliers for commitment.
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Variable product quality between regional suppliers can lead to variable meal quality. A robust programme of independently assessing product quality has to work within the contracting activity. Working with representative trade bodies such as MLC will ensure best practice is up to date. Working with customer groups will make sure the requirement and delivery of that requirement is up to date (for example an organic or ethnic requirement).
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Any variable commitment to the contract from trusts can lead to variable prices and uncompetitive pricing. Guaranteed trust commitment to supply sources ensures the best value for money. NHS trusts hold individual budgets and are free to purchase from suppliers in accordance with trust policy. The flexible agreement gives trusts the competitive pricing to meet the challenging budgetary demands. It also actively manages quality and supplier performance to enable suppliers to meet the future demands of NHS catering.
Future developments
- We work closely with the trade bodies, particularly Meat and Livestock Commission to advise best practice for suppliers. We liase closely with NHS Estates to ensure the specification meets the menu demand of caterers.
Further information
Please view the following address www.pasa.nhs.uk
Mike Tiddy
mike.tiddy@pasa.nhs.uk
Page published: 20 July 2003