Category Management Service Provider Contracts for NHS Supply Chain

As part of the future Target Operating Model of NHS Supply Chain, the Authority sought to award contracts for the provision of category management services for each of the four defined Product Groups. The procurement was conducted under a single procurement containing four Lots.

Lot 1: Medical Consumables - Surgical Consumables and Infection Control

Lot 2: Medical Consumables - Rehabilitation and Community

Lot 3: Non-Medical - Food; and

Lot 4: Non: Medical - Facilities (including Office Solutions)

During the procurement, Lots 1 and 2 were abandoned, and Lots 3 and 4 continued through to award of contract.

In accordance with Regulation 55(1)(b) of the Public Contracts Regulations 2015, the Authority advises that it did not conclude the procurement procedure for Lots 1 and 2. The procurement commenced on 11/04/2022 under Contract Notice reference 2022/S 000-009671, the decision in respect of Lot 1 and 2 was based on value for money and organisational strategy considerations. The Authority determined that it will transition the services covered by Lots 1 and 2 of the Procurement to an internal delivery model. The Authority considered that insourcing these services will better achieve the objectives of the target operating model.

The Authority will therefore not be awarding any contract for Lot 1 or Lot 2 pursuant to this procurement.

As outlined above, the procurement in respect of Lots 3 and 4 continued, and the Authority has awarded contracts for Lots 3 and 4 as outlined within this award notice.

Each contract will be for an initial period of forty-five months (excluding the anticipated three month implementation period) and may be extended for up to an additional twenty-four months subject to achieving the relevant criteria set out in the contract. The total operative period of the contract, following implementation, shall not exceed sixty-nine months.

Under the contractual arrangements, the Authority appoints Category Management Service Providers (CMSPs) to operate on behalf of NHS Supply Chain. Under the contractual agreements, the CMSPs will procure frameworks for the provision of supplies and/or services which it will make available for purchase by: 1) NHS Supply Chain, 2) any NHS Trust; 3) any other NHS entity or healthcare provider (including private organisations, primary care, community settings and social care); 4) any government department, agency, or other statutory body (including Devolved Authorities, Crown Dependencies and/or Pandemic & Emergency Planning Programmes), and/or 5) any private sector entity active in the UK healthcare sector on behalf of a public-sector organisation listed in 1) to 4) above.