External management consultants do not save the NHS money and could make healthcare services less efficient, according to new research by academics at three universities.
A study of 120 English hospital trusts over four years by researchers at the universities of Bristol, Warwick and Seville revealed that trusts spent an average of £1.2m a year on management consultants. Although a minority of trusts experienced some improvements in efficiency, the study found that higher spending on consultants was generally associated with increased inefficiency, as measured by patient outcomes and financial performance.
Andrew Sturdy, Chair in Organisation and Management at Bristol University, and one of the authors of the report, said analysis of the data over time “pointed to the fact that it is spending on management consultants that makes hospital trusts more inefficient, rather than the other way around”.
The study data did not point to a conclusive reason for why management consultants make NHS services less efficient. Possible explanations cited by the researchers include the “highly disruptive” nature of management consultancy projects, “artificial demand” generated by sophisticated selling techniques, and consultants being used to “justify or force through existing decisions” without considering alternative sources of expertise.
Sturdy suggested further research was required to identify how and when management consultants should be used in the NHS. “In the meantime, given the financial pressures facing the NHS, trusts should seriously rethink their use of external management consultants that do not deliver value for money – and, in fact, do quite the opposite.”
If you’d like to read more from MiP, sign up to receive our free monthly emails – we’ll keep you up to date on news and events in health and care management
The new government has an ambitious ten-year plan to transform the NHS by shifting care closer to home and tackling the UK’s poor record on public health and prevention. But with multiple short-term challenges and little money to spend, ministers will need more than goodwill and good intentions if they’re to turn those ambitions into reality.
Meet Your Reps: Jenny Owen, nurse, MiP health and safety rep and a manager in NHS England’s North West region, talks to Craig Ryan about championing the underdog and why she still needs a “clinical fix”.
The last party conference season before the general election showed that UK politicians still have to get their heads round what the NHS needs and what it can be expected to deliver.
The NHS is still struggling to recover from the pandemic, but studies show productivity was falling even before the Covid shock. We asked the experts: what’s driving this, does it matter and why are managers vital to turning productivity around?
As the party conference season gets underway this weekend, Sir Chris Ham sets out the challenges facing the UK’s political parties as they draw up their NHS policies, and argues that the multiple crises facing the NHS can be overcome with honesty, realism and political will.
Telemedicine could bring huge benefits but, managed badly, we could end up combining the worst aspects of private healthcare and public-sector IT.
Managers and doctors from Ipswich Hospital tell us how they joined forces with local partners to dramatically reduce their bed blocking problem.
Bournemouth and Christchurch trust has the best staff survey results in England, and ambitious reform plans agreed with partners across Dorset. But getting here has required more than good management, chief executive Tony Spotswood tells MiP
How the struggling gastroenterology department at St Mark’s Hospital worked with patients and quality improvement managers to deliver dramatic results.
NHS guardians have a tricky but powerful role in tackling poor care and boosting staff engagement. National Guardian Henrietta Hughes speaks to Healthcare Manager.
NHS publishes new Staff Standards and a framework for managers which aims to improve staff experience and working conditions.
MiP Chief Executive Jon Restell warns MPs that NHS reforms are at risk if the management capacity needed to make them happen is cut.
MiP says Health Secretary James Murray was right to recognise the innovation and creativity in the NHS, but the very people who drive it are the ones who are losing their jobs.
Managers in Partnership is the only dedicated union to managers working in healthcare. We understand the value you add to healthcare services. We will always support you and champion your work. Sign up today and stand alongside thousands of your peers.
