Neutral Vendor Solution Case Study
Pilgrims' Friend Society, founded in 1807, is a Christian charitable organisation dedicated to providing care and support for the elderly in the United Kingdom. With a rich history deeply rooted in its Christian ethos, the society operates 11 care homes across the country, striving to create a nurturing and compassionate environment for elderly residents.
Recognised for its commitment to quality care, Pilgrims' Friend Society has continually evolved its services to meet the changing needs of the aging population. The organisation is characterised by a strong sense of community, emphasising the spiritual, emotional, and physical wellbeing of its residents. Pilgrims'Friend Society's long standing legacy and unwavering dedication to enhancing the lives of the elderly, position it as a respected and integral player in the realm of elderly care in the UK.
The Background
Pilgrims' Friend Society faced significant challenges with the use of agency labour in its business. This was primarily because it had multiple agency relationships in each of its 11 locations. Using so many suppliers meant that they were working on many different terms and conditions, they had a myriad of charges in place and there were concerns over legal compliance and the legitimacy of how the workers were being paid.
In response to the financial challenges and concerns about compliance, Pilgrims'Friend Society implemented a strategic intervention with Datum RPO to optimise operational efficiency. The first key element involved the standardisation of agency agreements, unifying terms and conditions across all partnerships. This not only streamlined processes but also eliminated unnecessary expenses such as mileage and late notice charges. Simultaneously, a comprehensive cost reduction plan was put into action, targeting nonessential expenditure without compromising the quality of care provided. Strict financial oversight and budgetary control measures were established to ensure sustainable financial health.
A crucial aspect of the intervention was the development and implementation of a tailored reporting system. This system, customised for each of the 11 care homes, facilitated more effective monitoring and management of agency resources. The generated reports provided valuable insights into individual home performance, enabling targeted improvements and contributing to the overall success of Pilgrims' Friend Society's efforts to navigate and overcome financial challenges.
The Solution
Datum set up multiple training sessions for Pilgrim’s Friend and the agency suppliers. The objectives for the meeting were clearly communicated which resulted in an excellent level of attendance and buy in from all attendees. This focus on continuous learning has contributed to successful fulfilment across all shifts, ensuring a skilled and well-prepared agency workforce.
In line with PFS's commitment to excellence, efforts have been made to expand nationwide coverage by adding agency suppliers to bolster catering supply. These additions were made following an extensive agency panel review.
Ongoing developments are in progress within Pilgrims' Friend Society to continue the tailoring of services to meet their specific organisational requirements. Initiatives include the customisation of induction processes, addressing COVID-19 vaccination protocols, and the implementation of a report suite tailored specifically to PFS needs.
To bolster financial efficiency, Datum has also undertaken measures such as the removal of additional costs, including mileage, extra National Insurance expenses, and other associated expenditures. Terms have been standardized across all suppliers. These collective efforts underscore Pilgrims' Friend Society's dedication to enhancing operational effectiveness and ensuring the provision of high-quality care.
The Result
- Significant Cost Reduction
- Total savings of 33%+
- Standardisation of supplier margins
- Additional cancellation costs, mileage, same day bonus (£2.50 per hour) and additional National Insurance % charges have been removed
- Standardisation/removal of overtime charges
- Operational Efficiency
- Management of temporary worker pay rates to help attraction
- VAT Concession consistency applied across all suppliers
- Tailored Reporting Enhancements
- The implementation of tailored reporting systems allowed for informed decisionmaking at both the organisational and home-specific levels.
- Home managers had access to real time data, enabling proactive management strategies.
Client Testimonial
"Datum have supported us in gaining far more visibility on our agency spend and standardising our terms and condition, this in turn has helped us to better manage and significantly reduce our agency spend. Our Account Director from Datum has been extremely supportive and helpful in ensuring positive engagement from our managers and system users, this has led to a smooth and positive adoption of system amongst users.”
Joshua Field Director of HR- Pilgrim’s Friends Society
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