Withheld report gives few specifics

Carole Heatly.
Carole Heatly.
A financial consultant's report the Southern District Health Board released by order of the Office of the Ombudsman reflects the "starting point for the journey'' of the embattled board, chief executive Carole Heatly said yesterday.

Ms Heatly's press release accompanied the 40-page report from Alma Consulting, of Auckland.

It was written in March last year when the extent of the board's financial failure was becoming evident inside the organisation, but released only after an investigation by the Office of the Ombudsman.

It is unclear why the health board was determined to keep the document secret, as it covers familiar ground around main areas of cost concern and the need to reduce expenses.

Apart from the establishment of a "turnaround task unit'' focused on cost reduction, there are few specific prescriptions.

There were opportunities for savings in several areas, such as transport, pharmaceuticals and home-based support, but they would not be enough.

A wider approach was needed, the report said.

"Consequently, SDHB needs to look at every corporate function, primary and community service (including NGOs) and hospital service and identify what things should stop, what should change and what could start to maximise value for money.''

The board was likely to "always'' have a deficit in some areas, such as aged residential care, as funding did not match expenditure.

The board spent at least $486,800 for Alma's advice.

Alma is one of a string of national and even international consulting firms enlisted in recent years.

Most recently, the board contracted April Strategy, of London, to run patient feedback sessions next month.

Ms Heatly's press release said the board was doing much more than just targeting cost savings.

"We needed to address the fundamental elements that will enable us to build a high-performing health care service for our community in the long term.

"This is the journey we are currently on.

"Organisational culture is now a core focus for us, and we are confident the Southern Future programme now under way will provide valuable insights in shaping the future of the Southern DHB.''

eileen.goodwin@odt.co.nz

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