Background information
The healthcare contract between Stockholm County Council (SLL) and Capio for the operation of St. Göran's Hospital expired at the end of 2012. To ensure that the population of Stockholm County continued to receive emergency care at St. Göran's Hospital, SLL needed to evaluate and define what care should be offered at the hospital. It also wanted to develop a strategy for who would be responsible for delivering the care.
Challenge
Sirona was engaged to act as strategic and operational advisor for the procurement and buy-back/sale of the operation of St. Göran's Hospital. The procurement is considered to be one of the largest acute hospital procurements in the world.
Implementation
Sirona developed a framework for best practice in business analysis procurement of healthcare and healthcare-related services. According to the developed framework, our team conducted comprehensive healthcare analytics to deeply understand the cost and quality of operations. For example, a thorough analysis was conducted of all healthcare data within SLL regarding production, quality, patient mix and cost outcomes. Sirona also carried out a comprehensive medical and financial management review, a follow-up of performance statistics and an analysis of compliance with quality indicators. Throughout the project, Sirona worked in close collaboration with the client, SLL, through continuous coordination, led by SLL's internal team. In providing advice, Sirona's team collaborated with most of SLL's other contractors, such as Setterwalls law firm and KPMG.
Outcome
The results showed that the total reimbursement in the first year was about SEK 120 million lower than the previous year, a reduction in costs of about 10%. SLL also created a new organization for the operation of St. Göran's Hospital, and the same operator as before was entrusted with continuing to deliver care. The comprehensive review of operations showed high quality and low costs. Sirona's work helped to create real competition for the tender and consequently high quality at an attractive price for SLL.
