Strategy and Development

DCC Healthcare’s strategy is to build a substantial, broadly based, healthcare business principally focussed on the provision of value added services to the healthcare and health & beauty sectors.

In the markets in which DCC Hospital Supplies & Services operates, healthcare provision is primarily funded by governments. As fiscal budgets tighten and the burden of ageing populations increases, healthcare providers are increasing their focus on cost saving opportunities and value for money. Individual hospitals, hospital trusts and procurement groups and other healthcare providers are seeking to source equivalent quality, lower cost products and looking to outsource activities deemed to be non-core. DCC Healthcare is working to meet this demand by growing its portfolio of cost effective products, including generic pharmaceuticals and own brand medical products, and by providing value added outsourced services, including IV pharmaceutical compounding services and stock management and distribution services.

Outsourcing trends are also visible in the health and beauty sector, where brand owners are increasingly outsourcing non-sales and marketing activities (including product development) and streamlining their supply chains. DCC Health & Beauty Solutions, given its high quality licensed facilities and the depth of its technical, regulatory and financial resources, is well positioned to capitalise on these trends.

DCC Healthcare’s primary focus is the generation of strong organic profit growth and superior returns in its existing businesses by developing and expanding its service offerings to meet the changing needs of the healthcare and health & beauty sectors. In addition to driving continuing growth through existing channels to market, the business is also focussed on growing in developing channels such as homecare.