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The benefits of renewing your maintenance contract on time

Tuesday 11 April 2017

Over the last 4 months, the maintenance team at NHS Supply Chain have been working with customers to drive the on-time renewal of April contracts. This planned approach, which involves contacting customers in advance of renewals to highlight key deadlines and determine requirements, generates significant Trust benefits and has seen a 30% increase in the value of contracts being renewed on time through the framework.

Planning your maintenance renewals in advance gives you the time to make the right decision when it comes to cover levels and the length of the contract term. Since January, the uptake of multi-year contracts has risen by 10% which, alongside reducing administrative costs for all parties, also attracts higher levels of discount than an annual contract. In many instances this allows pricing to be fixed for the contract term making forward planning of budgets more manageable. In addition to fixed pricing, some suppliers also offer incentives for renewing contracts on time in the form of additional discounts. When applicable, the maintenance team will work closely with customers to ensure that the maximum levels of savings are achieved.

We know that at the end of each maintenance contract there is a patient, which is why we have a dedicated point of contact working alongside each trust to give advanced notice of renewals to ensure a smooth transition process. This helps to prevent the impact of breakdowns and unplanned down time, instead allowing you to maximise the incentives available. £1m per year of on time renewal incentives are missed due to contracts not being renewed on time which could equate to 40 band 5 nurses.

Although our peak activity is in April, there are contracts that need to be renewed almost every day of the year. If you would like to renew your maintenance contract or would simply like to understand more about our framework and the savings opportunities available, please email maintenance@supplychain.nhs.uk.

Thank you to all of our customers and suppliers for working alongside us to deliver this improved level of service to the NHS.

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