Supermarket-style barcodes to drive down the cost of NHS equipment and stationary procurement

Currently, some hospitals are paying nearly three times as much as others for the same products, such as surgical gloves and stents. But the new system from standards specialist, GS1 UK, will make it easier to track and compare purchases, helping to eradicate price variations and slashing spending by cutting down on surplus stock.

The use of a single barcode system has already been widely adopted across the retail sector, enabling the introduction of supermarket price comparison websites and ultimately driving down cost.

And it is also expected to improve patient safety as barcode systems have been shown to reduce medication errors and the risk of wrong-site surgery, while boosting the tracking and tracing of surgical instruments, equipment and other devices to improve record keeping and reduce error, malfunction and contamination.

By simply using barcodes, NHS procurement will become more efficient as organisations can see how much they are paying for products compared to others. It's a simple idea that could save the NHS millions

The system was unveiled last week by Health Minister, Simon Burns, who said: "The NHS cannot afford to continue paying different prices for the same products. By simply using barcodes, NHS procurement will become more efficient as organisations can see how much they are paying for products compared to others. It's a simple idea that could save the NHS millions. Most importantly, this is a vital opportunity to save money for re-investment in frontline care at a time when the NHS needs to make efficiency savings. The NHS has enormous buying power if it works consistently and GS1 barcoding is a key foundation block to improve it."

The NHS has enormous buying power if it works consistently and GS1 barcoding is a key foundation block to improve it

Leeds Teaching Hospitals NHS Trust has been trialling the system and has already saved £570,000 in a year. By scanning barcodes as equipment is used on wards, the system can track available stocks and forecast future orders. This means the trust no longer needs to ensure that surplus stock is available in case it runs out as the system tells them exactly how much equipment they have in stock in real time. Graham Medwell, information manager in the supplies department at the trust, said: "Leeds Teaching Hospitals NHS Trust fully supports the Department of Health's recommendations that the GS1 barcoding system should be adopted throughout the NHS.

Since adopting the standards there have been real improvements in stock control, with levels available to view in real time. This has led to significant efficiency savings and improved productivity

"Since adopting the standards there have been real improvements in stock control, with levels available to view in real time. This has led to significant efficiency savings and improved productivity."

Now ministers want those businesses supplying the NHS to identify and label their products with GS1 barcodes.

Burns said: "The Department of Health expects that all products should be identifiable by, or carry, GS1 barcodes by the end of 2012."