Simple innovation leading to multiple service savings for
Baxter Health
“The fridge solution is an innovation and we are now replicating it throughout Australasia.”
Benjamin Vernon
Transport Manager
Scope of contract and services being provided
Baxter Healthcare had a requirement for a time-critical delivery of refrigerated medication to healthcare providers.
The medication to be delivered was critical for the treatment of patients with haemophilia, particularly as they were experiencing degradation of the medication using standard courier services, which resulted in the medication expiring.
SUB60’s role
We provided Baxter Healthcare with a portable refrigerated solution and delivery mechanism to ensure that the medication (ADVATE) was maintained at a constant temperature, to prevent service failures.
This was an innovation for Baxter Healthcare’s team, who were originally looking for a refrigerated vehicle. This solution is far more cost-effective and provides them with an onsite portable refrigerator (owned by SUB60) which they can load and then be picked up by any vehicle in our fleet within 20mins.
Results we achived
This dedicated solution meets and exceeds our SLA of 12 hour turnaround for all participating labs, generating significant cost savings and efficiencies.
Value we added
The price of this medication is $30k per item, and with delivery failures this was costing Baxter Healthcare/DHBs $100k. With the reduction in failures Baxter Healthcare was able to make considerable savings on the cost of rework.
The refrigerated solution was significantly cheaper as a delivery mechanism because the other solution – a refrigerated vehicle – would have required a $40k investment from Baxter Healthcare and would have cost 50% more per consignment, as it would have been a specialised service and costs would have been high due to the ad hoc nature of the requirements for this medication.
Further innovation
Subject to being successful in this process the plan is to take this solution to Christchurch.