Key Performance Indicators

Jane PagePrincipal Pharmacist, Medicines ProcurementUniversity Hospitals of Leicester NHS Trust

Key Performance Indicators

An Update

Where are we now?

What can we do?

What use are they?

Overview

• Typical performance indicators gathered by (procurement) pharmacists

• Work done in South Central (Alison Ashman)

• Work done by David Samways et al

• KPIs commissioned by PASA

• KPIs in use – how to make them work!

Benchmarking

• Stockholding (stock-turns)

• Stock checks

• Stock write – offs

• Invoices processed

• Proportion of orders/invoices sent electronically

• Contract variance reports

South Central KPIs

• Spend

• Stock discrepancies

• Stock value

• Stock turns

• Invoices processed

• Expired stock

Stock turns per year

Average Hosp 1 Hosp 2 Hosp 3 Hosp 4 Hosp 5 Hosp 6 Hosp 7 Hosp 8 Hosp 9 Hosp 10 Hosp 11 Hosp 12

Contract Variance Reports

• Reported at Trust level by PASA

• Off contract spend as a % of total spend

• Monthly report

Pharmaceutical Supply Chain Project Nov 2004

• Key Outputs

• Best Practice

• Performance Measurement

• KPIs (defined as key, diagnostic or practice)

• 12 KPIs recommended measuring both supplier and trust performance

• www.pasa.nhs.uk/PASAWeb/Productsandservices/Pharmaceuticals/PSCP/

KPIs delivered (courtesy of NHS PASA)

1. Line items delivered on time, in full *2. Incorrect items received3. Incorrect quantities received *4. % lines returned vs. lines ordered5. % invoices matched 1st time (not done)6. Timeliness of payment7. Line orders involving manual

intervention by pharmacy staff8. % orders transmitted electronically *

Points 1-7 from JAC * from ASCribe

Line items delivered on time, in fullKPI1

• On time defined as within the lead time for that supplier (this is held on SMAINT and updated with each delivery.

• In full means total quantity delivered in one drop.

• Report works as long as deliveries are booked in on the day they arrive.

• Orders placed on Friday for delivery on Monday are classed as “not on time” for wholesalers.

Wholesaler Performance (On Time and In Full) UHL

60

65

70

75

80

85

90

95

Aug-07

Sep-07

Oct-07

Nov-07

Dec-07

Jan-08

Feb-08

Mar-08

Apr-08

May-08

Jun-08

Jul-08

Aug-08

Sep-08

Oct-08

Nov-08

Dec-08

Jan-09

Feb-09

Mar-09

Apr-09

May-09

%

What Next?

• More Trusts running KPI reports on Supplier performance

• Compare electronic ordering with numbers of delivery errors

• Improved reporting on invoice KPIs

• % invoices received electronically and processed automatically (paperless)

• Improved use of resources

Thank You