The Neutral Wholesaler framework agreement derived from a desire to secure consolidated routes of supply into London to reduce the number of vehicles travelling into the city, enabling trusts to reduce their carbon footprint.
Benefits of the contract
The major benefits of utilising this framework agreement are:
- a reduction in carbon footprint associated with consolidation
- wholesaler holds stock off-site and provides a just-in-time service into hospitals
- wholesaler holds inventory from numerous suppliers which allows trusts to order a variety of products from one place
- improved inbound logistics at trust level
- prices are set through individual trust contracts with the suppliers. Wholesalers' operating costs are covered by suppliers who save money by delivering into one location and can also reduce invoicing costs
- allows for locally or hub contracted products to be routed through a neutral wholesaler on a cost neutral basis by enabling supply chain efficiencies to suppliers.
Trusts work with the provider to develop specific services for their own organisations under a local Service Level Agreement. The wholesaler also provides contract management of the service.