4 MANAGEMENT DISCUSSION AND ANALYSIS 87 Escalating costs of consumables, spare parts and maintenance services • Rationalise and renegotiate subcontract and vendor arrangements. • Centralise procurement, standardise specifications and leverage bulk purchasing. • Improve inventory planning, usage monitoring and demand forecasting. • Enhance internal technical capability to reduce external service dependency. • Enhanced efficiency, cost visibility, control, and analysis through improved Procure-toPay governance that track timely completion, streamlining and strengthening the purchasing processes to improve operational efficiency, compliance and cost transparency. • Realised cost savings of over RM11 million by advancing contract cost analytics, centralising and pooling procurement, strengthening vendor partnerships, and optimising workforce planning, management, and overtime controls to improve overall efficiency. Technology and Innovation • Established Virtual Edgenta Mediserve Call Center (“V-EMCC”) on 23 June 2025, a highly scalable cloud-based virtual call centre which provides round-the-clock support for hospital operations, while becoming the first MoH virtual call centre to fully adopt a remote working model. • Onboarded 33 hospitals with V-EMCC, supporting over 350,000 calls and 306,000 service requests per year. • Entered over 2.3 million data records in the centralised Assets and Systems Information System (ASIS). • Formed a new subsidiary, UEMS NXT Pte. Ltd., in Singapore to enhance our technology capabilities and strengthen our smart building consultancy services. • Leveraged our centralised database and real-time data capture to improve cleansing and portering services via UETrack™, optimising tasks such as linen management, consumables ordering, and toilet cleanliness inspections. • Launched partnerships to develop digital solutions and expand on our service repertoire and standards, including in Singapore where we signed 3 MoUs with technology firms to strengthen energy and workforce management and were appointed as a key collaborator for a multi-agency collaboration on drone technology applications. Occupational Safety and Health Leadership • Strengthened our Health, Safety, Security and Environment (“HSSE”) culture through structured campaigns and recognition programmes, anchored by award-winning safety management practices. Rising manpower costs due to minimum wage increases and skill mismatches exacerbated by increasing service complexity of contract requirements • Review and redesign job specifications to align with evolving service requirements. • Accelerate multi-skilling, crossdeployment and competency-based training programmes. • Optimise shift planning and workloadbased rostering. • Strengthen productivity tracking and performance accountability. • Strengthened productivity and service responsiveness in front-line support via implementation of centralised call-centre. • Achieved a 15-minute turnaround time for 85% of monthly portering requests, significantly improving operational efficiency and ensuring timely support for internal departments and stakeholders. This contributed to smoother daily workflows and enhanced overall service satisfaction. • Enhanced asset performance and system reliability by optimising maintenance strategies and monitoring processes, resulting in improved uptime and availability of building facilities. These efforts minimised disruptions, reduced downtime and ensured a consistently safe and functional environment for occupants. Challenges Mitigation Actions Results CHALLENGES AND MITIGATION
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