The UK care home sector is grappling with a staggering staffing crisis, with over 500,000 new hires needed by 2030, according to Skills for Care. This year alone, the sector has faced a vacancy rate of 9.9%, with a whopping 95% of organisations struggling to recruit and retain staff. As a result, many care homes find themselves relying on agency workers to fill the gaps. 

 

Factors like low wages, high turnover, and the demanding nature of care work—exacerbated by the COVID-19 pandemic—have created a perfect storm. The memories of the pandemic's impact still haunt both current staff and potential recruits. 

 

At Procure4, we’ve worked with numerous organisations, including Barchester Healthcare, to tackle these challenges head-on. Our efforts have led to a remarkable 50% reduction in agency labour usage in one recent case, alongside delivering over 20% in savings. This frees up vital resources to attract and retain talented permanent staff. 

Procurement is about more than just securing goods and services; it’s about empowering people. At Procure4, we champion “People Powered Procurement.” We believe that effective procurement is rooted in understanding the unique needs of care home providers and their people and creating sustainable, innovative solutions that benefit everyone involved. 

 

Research from the Chartered Institute of Procurement & Supply (CIPS) reveals that streamlining procurement processes can slash costs by up to 20%. This means more funds for staff wages and training. By establishing preferred supplier lists with recruitment agencies, care homes can maintain a steady stream of qualified temporary staff. Ensuring all suppliers meet compliance standards not only creates a safer environment, but also mitigates risks associated with fragmented supplier networks. 

 

Smart procurement can boost workforce efficiency by providing high-quality equipment and supplies that reduce administrative burdens. When care homes optimise their procurement practices, staff can focus on what truly matters: providing exceptional patient care. Studies show that organisations investing in efficient procurement see direct improvements in operational efficiency, leading to better patient outcomes. Happy staff are more likely to stay! 

 

E-procurement solutions can revolutionise purchasing processes, tracking inventory and analysing spending patterns to cut procurement cycle times by up to 50%. By integrating workforce management tools, we can minimise administrative tasks and ensure adequate staffing - without overwhelming employees. In our collaboration with Barchester Healthcare, we implemented enhanced reporting systems – including a customised dashboard - that provide real-time procurement insights, because if you can’t measure it, you can’t manage it! 

 

Optimising procurement means nurturing strong, collaborative relationships with suppliers. Care homes that invest in these partnerships can negotiate better terms and pricing, freeing up resources for staff development and retention. Reliable suppliers on a Preferred Supplier List (PSL) can quickly provide temporary staff during peak times, ensuring care homes are never left in the lurch. 

 

At the core of effective procurement are strong contracts that safeguard both clients and suppliers. By outlining clear terms, care homes can maximise process efficiency and receive excellent account management from suppliers. For example, Procure4 has ensured that our private healthcare clients benefit from 24/7 support from agency contacts, guaranteeing access to temporary staff whenever needed—because optimal patient care is non-negotiable. 

Procurement optimisation transcends mere cost savings; it elevates care quality and enhances workforce well-being. By streamlining supply chains, boosting efficiency, leveraging technology, and fostering strong supplier relationships, UK care homes can more effectively tackle labour challenges. 

 

As the care sector evolves, embracing innovative procurement practices is crucial to meeting the growing demand for services while creating a supportive and rewarding environment for staff. By investing in procurement optimisation, care homes can not only survive but thrive in the face of challenges, ensuring a brighter future for both staff and residents alike!