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Healthcare Supply Chain Network (HSCN) Innovation Procurement: Outcome-based Specification Guide

Purpose

Key Questions: How can outcome-based specifications (OBS) be developed for innovation procurement?

This guide primarily focuses on the development of outcome-based specifications (OBS) to be used in innovation procurement. This document is for public buyers, providers, and end users within the broader public sector who want to procure innovation products to help meet their needs more effectively.

The identification and procurement of innovative products (equipment, goods, or services) improves the quality of patient care, and achieves better long-term value for money (VFM). It also stimulates innovation within the economy by enabling the market to respond to current and future public service needs. When Purchasing Organizations or Purchasers are procuring products, it is common practice to give potential proponents detailed specifications. However, overly detailed specifications may limit end-user options and result in incremental improvements rather than step-change solutions. This guide primarily focuses on the development of outcome-based specifications (OBS) to be used in innovation procurement. This document is for public buyers, providers, and end users within the broader public sector who want to procure innovative products to help meet their needs more effectively. For the purpose of this guide, a Public Buyer refers broadly to any buyer using public funds to acquire a product. Examples of public buyers could include, but is not limited to clinicians, administrators and educators, shared service organizations (SSO), group purchasing organizations (GPOs), or Local Health Integration Networks (LHINs). A related guide on developing evaluation criteria with respect to procurement is available here as well as a guide to evaluating the total cost of ownership.

Contents

  • Introduction
  • Outcome-Based Specification
  • Example of an Outcome-Based Specification Content for Child Health Information Systems
  • References
Contact Person/Organization: 

Healthcare Supply Chain Network (HSCN)

Type of Tool:

Publication Date: 
2015
Videos: 

Dr. Gabriela Prada at The Conference Board of Canada discusses value-based procurement