Building Health Commissioning Capability of Australia's Primary Health Networks -Service Providers' Perspective

Australia's health system is strong, but fragmented across primary, secondary, and tertiary care. Primary Health Networks (PHNs) were established to streamline non-hospital-based health services and improve service effectiveness and efficiency across Australia, which can be achieved by fostering strong relationships with providers to build commissioning capabilities. Successful commissioning depends on the providers' ability to respond to commissioning opportunities.

This study aimed to identify capability development opportunities that support service provider organisations commissioned by PHN to deliver effective and efficient services in primary care.

A mixed-method case study approach was used, including an anonymous online survey and a focus group discussion.

The study confirmed the key factors for health commissioning success in the following four dimensions: workforce development, effective engagement, support and guidance, and strong relationships. The study further recommends seven key strategies for capability development, highlighting the need for PHNs to focus on building the capability of primary care organisations to establish strong markets and successfully commission services.

Building strong relationships through effective engagement that features support and guidance for service provider organisations is critical for PHNs' commissioning success. All organisations must work collaboratively and fully appreciate the unique limitations constraining PHNs that impact community needs and health outcomes. Given the variations in the size and function of commissioned service providers, factors such as locally developed service models, program differences, and regional needs should be considered when planning specific capability building activities.

Understanding the challenges faced by provider organisations to support commissioning capability development is imperative for PHNs to successfully commission health and social care services. Identifying key actions to support capability development while building strong relationships and learning from the insights produced by this study will enhance service co-design and collectively strengthen the market's ability to meet the growing health needs of local communities.