The Challenge
A large multi-billion dollar health benefits program was experiencing cost escalation and challenging service levels. A provincial government had decided to outsource the program’s processes and IT and engaged Deetken to support the entire procurement and negotiation process as the finance and economic team lead.
Deetken was engaged again at the end of contract life to lead a re-procurement of the service, this time using an outcomes-based methodology.
Our Approach
Deetken played a central role in the development of the procurement strategy, developing procurement documents, evaluation criteria and frameworks, conducting due diligence, refining the solutions with proponents and leading negotiations.
In the re-procurement, Deetken built on the gains in the original procurement by developing an economic model and procurement strategy based on an outcome-based methodology that aligns the interests of the service provider and the province.
Throughout the procurement and the subsequent re-procurement, Deetken worked closely with stakeholders from within and outside government, including healthcare delivery organizations and other agencies that would be heavily impacted by the change.
We also supported the transition from the current service provider to the new service provider, a complex initiative involving the transition of 100s of staff, including all HR and bargaining group considerations, and provided extensive change management support.
Outcome
As a result of Deetken’s leadership, the government was able to successfully procure and re-procure business processes and IT services to support the functioning of its health benefits operations, and achieve maximum value from its outsourced contracts.
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