Case Study: Provider Transformation

Turnaround and Transformation Project (September 2014 to January 2015)
Turnaround and Transformation Project (September 2014 to January 2015)

Background

  • Two site acute healthcare provider with circa £350m annual turnover.
  • The Trust was forecasting a £27m deficit in year, Kingsgate were engaged to recover the position in-year one and plan for year two.

How We Helped

  • Reviewed Trust in year financial position including rapid assessment of the existing savings plan and other opportunities.
  • Developed run rate improvement plans to quickly deliver improvement in the year end position
  • Improved controls, governance and accountability for the delivery of operational and financial plans.
  • Supported the annual plan process, including negotiations with commissioners and cost improvement plan development for the following year through to Board approval
  • Provided expert support in clinical administration, job planning and capacity and demand modelling, estates and facilities strategy and management, and 18-week RTT delivery.

Results

  • Recovered financial plan in year one from £27m adverse, delivering additional £10m expenditure savings and year end control total.
  • Reduced nurse agency by 75% over 6 months
  • Removed premium payments of £500k per month
  • Delivered £20.5m CIP year two
  • Pipeline of further opportunities worked up with the Trust to support future delivery
  • Developed an accountability framework which developed over time to match the ongoing maturity of the organisation
  • Delivery of RTT improvement trajectories to deliver national targets
  • Implemented revised job planning policy and process aligned to demand