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Working With NHS Supply Chain – Daniels Helps Save Tax Payers By Making Packaging Efficiencies
We supply clinical waste containers to the healthcare sector. A good majority of our work is with NHS trusts and as a result we were in a good position to leverage their supply chain to aid reducing the cost and waste of packaging and transport by looking at ways that we could work together to avoid price increases for the NHS and thereby benefiting the tax payer.
The challenge we faced was Polypropylene price increases of up to 60%, we decided to work in collaboration with the NHS Supply Chain to help mitigate cost from the supply chain, avoiding significant price increases for the NHS.
NHS Supply Chain’s packaging development team worked with us to identify opportunities to maximise pallet loads to reduce deliveries and product miles. Having reviewed their entire range, the team presented a proposal highlighting 2.5 L and 5 L products as the biggest savings opportunity.
However, due to the requirement for extensive trialing and technical issues, the focus was changed to 11.5 L and 22 L containers, which delivered savings more quickly through the removal of unnecessary outer casing. This approach delivered a faster return for both organisations and secured buy in from key stakeholders to the next phase of project.
Working with NHS Supply Chain, Daniels Healthcare save nearly 1,000 pallets through packaging efficiencies. More specifically these are the results we have experienced by working together:
- 63% reduction in packaging and transportation costs
- 46 tonnes of paper saved
- 0.24 tonnes of plastic saved
- 938 pallets saved equating to 18 full loads
- 19.4% more on pallet
- Saving for customers on packaging disposal costs.
I’m proud of this project and look forward to consistently reviewing how Daniels can be more efficient with our manufacture, distribution and handling of Daniels products. For us, this bulk-pallet approach will bring benefits to both parties and deliver tangible benefits to NHS customers across the UK.
Reduced packaging; increased pallet utilisation; avoiding cost increases and reduced environmental impact demonstrate in four key areas the positive impact this project.