Scope
Reference
CAV-DIR (25-26) 132
Description
The previous contract for 3M™ Medicode 360 (Project 21586), awarded to KCI Medical Limited (now Solventum), provided the Health Board with essential clinical coding encoder software and associated support services. This system supported inpatient coding, HRG grouping, SNOMED CT mapping, and data validation- informatics reporting.
Valued at approximately £168,317.52 over a four-year term, the contract expired in 2024. A new procurement process is now being initiated to maintain continuity of clinical coding services and to assess market alternatives that may offer improved integration, enhanced value for money, and stronger alignment with NHS digital standards.
Contract 1. MEDICORE 360 SOFTWARE LICENSE AND SUPPORT AGREEMENT
Supplier
Contract value
- £168,317.49 excluding VAT
- £201,081.02 including VAT
Above the relevant threshold
Earliest date the contract will be signed
14 November 2025
Contract dates (estimated)
- 15 November 2025 to 14 November 2029
- 4 years
Main procurement category
Goods
CPV classifications
- 38800000 - Industrial process control equipment and remote-control equipment
- 38430000 - Detection and analysis apparatus
Contract locations
- UKL22 - Cardiff and Vale of Glamorgan
Other information
Description of risks to contract performance
There is a moderate risk to continuity of service due to potential system downtime or delays in scheduled maintenance. To mitigate this, the supplier has committed to proactive monitoring, monthly performance reviews, and a responsive support framework. In addition, contingency measures are in place to ensure uninterrupted operation, including access to technical support and pre-planned service interventions.
Conflicts assessment prepared/revised
Yes
Procedure
Procedure type
Direct award
Direct award justification
- Single supplier - intellectual property or exclusive rights
- Single supplier - technical reasons
The previous contract (Project 21586) with KCI Medical Limited (now Solventum) provided the Health Board with the 3M™ Medicode 360 clinical coding encoder software and associated support services. This system is deeply embedded within the Health Board's informatics infrastructure and is used for inpatient coding, HRG grouping, SNOMED CT mapping, and data validation. These functions are critical for accurate revenue reporting and compliance with NHS digital standards. Due to the proprietary nature of the software and its integration with existing systems, only the incumbent supplier can ensure continuity of service without disruption or data loss. No other supplier can provide the same technical solution without significant reconfiguration, retraining, and risk to data integrity.
The 3M™ Medicode 360 system represents a unique and proprietary solution developed by KCI Medical Limited (Solventum). Its design, functionality, and integration capabilities are not replicated by any other supplier in the market. The software's architecture and clinical coding algorithms are considered intellectual property and are not available through alternative vendors. As such, the system qualifies as a unique performance or creation, and its continued use is essential to maintain consistency in clinical coding and reporting across the Health Board.
Supplier
KCI Medical
- Public Procurement Organisation Number: PZWW-2787-MPZD
47 Charnwood Campus
Loughborough
LE11 5RB
United Kingdom
Email: shallam@solventum.com
Region: UKF22 - Leicestershire CC and Rutland
Small or medium-sized enterprise (SME): No
Voluntary, community or social enterprise (VCSE): No
Contract 1. MEDICORE 360 SOFTWARE LICENSE AND SUPPORT AGREEMENT
Contracting authority
Cardiff And Vale University Health Board
- Public Procurement Organisation Number: PPPR-7969-BTJG
Woodlands House Maes-y-Coed road
Cardiff
CF14 4HH
United Kingdom
Contact name: Nicola Williams
Telephone: +442921500649
Email: Nicola.williams33@wales.nhs.com
Website: http://nwssp.nhs.wales/ourservices/procurement-services/
Region: UKL22 - Cardiff and Vale of Glamorgan
Organisation type: Public authority - sub-central government
Devolved regulations that apply: Wales
Other organisation
These organisations are carrying out the procurement, or part of it, on behalf of the contracting authorities.
NHS Wales Shared Services Partnership (hosted by Velindre University NHS Trust)
Summary of their role in this procurement: NWSSP is a centralised support organisation that provides a wide range of professional, technical, and administrative services to NHS Wales. It plays a vital role in enabling health boards and trusts across Wales to focus on frontline care by handling many of the behind-the-scenes operations.
- Public Procurement Organisation Number: PXWV-6492-CGMN
4-5 Charwood Court
Cardiff
CF15 7QZ
United Kingdom
Region: UKL15 - Central Valleys