Background information
Region Västernorrland faced significant financial challenges, where the costs of administrative work needed to be reduced. As a complement to internal reviews and process improvements, the Regional Council decided to commission an external investigation. The study aimed to reduce costs in the context of administrative tasks across the region, but also to identify options for action that could lead to more efficient administrative work.
Challenge
In Q4 2022, Sirona was commissioned to investigate and develop measures for more efficient administrative work in Region Västernorrland, where the proposal was to be presented in three scenarios with financial effects of SEK 50, 100, and 200 million in savings. An impact analysis of the impact of the proposed measures on the region's operations was to be produced, together with a time perspective on the expected impact.
Implementation
Initially, an overall analysis of the historical development of costs and staff within the region, both overall and specifically in terms of administration, was carried out to obtain a comprehensive picture of the development and a first indication of areas with efficiency potential. Historical trends were used to estimate future cost gaps if no action is taken. To get an idea of the region's situation in comparison with others, a national comparison of costs and number of employees was made.
In order to map the region's administrative processes and get an idea of possible areas for improvement, over 50 interviews and focus groups were conducted with selected key individuals in both the healthcare and administrative functions of the region. This was supplemented with an in-depth external analysis to compare Region Västernorrland with other selected regions. Together with Sirona's proven experience and existing database of measures in health care, proposals for measures were formulated, including effect calculation, impact analysis and success factors.
Outcome
The project identified a total of 54 measures in six different categories: structural measures, digitization, skills shift, coordination, standardization and robotization. 21 of these measures were prioritized and concretized through in-depth investigation. Based on the size of the impact and the complexity of implementation, the 21 prioritized measures were packaged into three scenarios with associated packages of measures. When fully implemented, the three packages of measures are estimated to lead to a reduction in the region's annual costs of SEK 300 million per year, together with qualitative effects such as freed-up time for managers and healthcare staff and improved quality and efficiency in processes.
In order to obtain a comprehensive basis for decision-making prior to implementation, the region commissioned an additional assignment from Sirona aimed at investigating, analyzing and concretizing the 33 proposed measures that were downgraded during Sirona's investigation. The results of the additional assignment showed potential cost reductions of an additional SEK 40 million per year if all measures are fully implemented, together with qualitative effects such as improved work environment.
Sirona presented the results of the study and success factors for implementation to the Regional Board on site in Härnösand in May 2023. Special focus was placed on success factors for implementation.
Want to know more?
If you want to know more about how Sirona worked on the assignment, contact Marit Vaagen.
