Forgot Password

Sign In


  • Company Information

  • Billing Address

  • Are you primarily interested in advertising *

  • Do you want to recieve the HealthTimes Newsletter?

The South Australian government has outlined a plan to make major health savings

Photo: SA aims to cut health spending
The South Australian government will look to make savings of more than $270 million across the state's public hospital network over the next three years after a damning report detailing a culture of inefficiency and overspending.

The government has appointed corporate advisory and restructuring group KordaMentha to take charge of the first stage of a turnaround plan.

The company will be paid $18 million but Health Minister Stephen Wade says savings of $41 million are expected by the middle of 2019, with $101 million to be recovered in 2020 and $134 million the following year.

Key priorities include improving the efficiency of care, cutting unnecessarily long hospital stays, better workforce planning, and increased financial controls and accountability.
"I am confident the plan to correct the network's budget is not only comprehensive but achievable," Health Minister Stephen Wade said on Monday.

"There has been extensive analysis of the issues causing the ($300 million budget) overrun, but there is also a detailed plan with realistic goals to ensue the network operates efficiently, in line with its national and international peers."

KordaMentha partner Chris Martin said the company's plan provided a clear road map to ensuring the Central Adelaide Local Health Network delivers improved patient outcomes and operated at or better than national standards.

"While the organisational and financial recovery will be a complex and, at times, challenging undertaking, we are confident that with the appropriate leadership, resourcing and stakeholder commitment, the target outcomes can be achieved within a three-year timeframe," the company said.

The recovery plan also comes as Lesley Dwyer takes up her new role as chief executive of CALHN, promising to deliver significant cultural change within the health network.

"I want all of our staff to take ownership of this new direction for the network," Ms Dwyer said.

"This will be a challenging time for all us all, but it's also an opportunity to refocus our efforts to provide best practice patient care, optimise our governance, take back financial control and to add value in everything we do."


Thanks, you've subscribed!

Share this free subscription offer with your friends

Email to a Friend

  • Remaining Characters: 500