
WELLINGTON, NEW ZEALAND – Health New Zealand Te Whatu Ora (HNZ) is outsourcing radiology services to cope with the soaring demand in the Southern Health District.
With a plan to outsource 89,589 radiology procedures—more than any other region in the country—HNZ is taking this significant step for the first time on a national scale.
The district’s need for radiology has reached unprecedented levels, driven by a global shortage of healthcare workers affecting both public and private providers in New Zealand.
Hamish Brown, HNZ Southern Operations director, acknowledged the staffing challenges, stating, “While we do have vacancies within our radiology workforce, we are mitigating the impact through a number of outsourcing arrangements across the district.”
This move is part of a broader strategy to ensure the continuous delivery of radiology services to patients despite these workforce shortages.
Strategic outsourcing to address demand
Over the past decade, the demand for radiology services in New Zealand has doubled, leading to the adoption of outsourcing as a critical strategy.
Rachel Haggerty, HNZ’s director of Strategy and Planning, emphasized the necessity of this approach, stating, “We are seeking to get better value for our patients across the country.” She highlighted historical differences in service levels across former health board districts as a contributing factor to the current situation.
HNZ is evaluating applications from various private radiology providers in New Zealand and Australia to ensure a competitive tender process. Advancements in digital technology allow for certain radiology procedures, such as x-rays, to be conducted remotely, expanding the scope of outsourcing.
This decision follows a high-risk score given to Dunedin Hospital’s radiology department by International Accreditation New Zealand last year, underscoring the urgency of the situation. HNZ aims to balance the public and private sectors, fostering constructive relationships to maintain a resilient healthcare system.