Third Kelly market - Independent Sector Treatment Centres
| Market | High Suitability | Low Suitability |
|---|---|---|
| Public sector market size | Large - £2.5bn over 5 yrsPS is a significant customer | N/A |
| Supply capacity | A shortage of specific health procedure delivery Supply is very sensitive to changes in demand | N/A |
| Degree of competition | Insufficient competition (5 major suppliers only)Opportunity to encourage other players into the market | N/A |
| Predictability of demand | Demand plans not visible to the market | Predictable demand |
| Substitutability of skills | Specialised skills requiredNeed to meet NHS standardsLong lead-time to develop such skills | N/A |
| Statutory obligations | Need to maintain NHS provision to citizens | N/A |
| Government policy initiatives | Several Health policy initiatives will significantly impact the market | N/A |
| Implementability | Mixed support from Key stakeholders | Potential for some Key stakeholders to oppose work |
| Approach | High Suitability | Low Suitability |
|---|---|---|
| Board level support and ownership of this programme | Top of the Office authority to proceed On-going participation in the process Ministerial engagement | N/A |
| The market has synergy with your business objectives | Compatibility with strategic objectives. | N/A |
| Programme appropriately organised and resourced for this market | Team established according to problem domainFull set of skills obtained for the work | N/A |
| Required to establish an understanding of Demand and Supply and to propose ways to improve competition and capacity in this market | To ensure supply improved to meet demandBuilding an improved health sector procurement approach | N/A |
| Deliverables | High Suitability | Low Suitability |
|---|---|---|
| Public sector spend and demand profile for the supply side | Derived from a comprehensive survey Actual expenditure and projected demand plans | Data aggregated from many sources Extrapolated / interpreted data used |
| Recommendations for a better market approach | Active support from major stakeholders Implementation taken forward by (some) key stakeholders | N/A |
| Structures/groups for taking forward recommendations | Structure(s) in existence to take forward Senior people participating | Health market has many professional representative bodies |
| Outcomes | Likely | Unlikely |
|---|---|---|
| A more responsive market for the public sector requirements | Scoped for addressing capacity issues Levers for change exist | Other political and policy objectives too Many different levers in different parts of health market - potential for conflict? |
| Less dependency of public sector on a small number of suppliers | Additional players potentially Cross-over opportunitiesInnovation opportunities | Momentum needs to be maintained - else retrenchment possible |
| Better interchange between key stakeholders | Better early two-way communications | Not all pressure groups in support of market shaping |
