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About Us

Savings Methodology

Savings are largely the result of:

  • Contracting, which is a collaborative process with the health system that has reduced the cost of medical surgical supplies, drugs, and services while improving or maintaining quality and safety for patients, families, and staff. Running competitive processes and leveraging volume consolidation within the Saskatchewan Health Authority are some key factors in obtaining the best value for the province, including financial savings;
  • Implementation of the linen service, which has produced health system savings of $50 million in capital cost avoidance and an estimated operational savings of $4.18 million annually; and
  • Implementation of the provincial dictation and transcription service, which uses voice recognition technology. Savings to date have been used to pay off the initial project investment. The project was paid off in July 2018, with subsequent savings passed on to 3sHealth partners and/or redirected to the deployment of self-edit dictation software.

As of March 31, 2020, 3sHealth generated $59.7 million in shared service savings in 2019-20. This figure includes:

  • $51.01 million in recurring savings from prior years;
  • $8.7 million in net new savings, consisting of:
    • $2.85 million in contract savings;
    • $5.52 million in contract rebates;
    • $0.012 million in operational savings from dictation and transcription Services and from linen services; and
    • $0.32 million in capital savings.

Historically, 3sHealth received its revenue from a combination of fees for services as well as Ministry of Health funding. As of April 1, 2018, 3sHealth no longer receives funding from the Ministry. Instead, 3sHealth implemented a self-sustaining funding model, which allowed 3sHealth to gain revenue through fees for services as well as contract rebates and dividends generated through the provision of provincial contracting and linen services.

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