Saving Lives Through Stronger Supply Chains
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1 Saving Lives Through Stronger Supply Chains Consultative Meeting on Procurement of Laboratory Items W.H.O., Geneva Rochika G. Chaudhry Technical Assistance Manager
2 Overview SCMS overview SCMS Technical Assistance SCMS Laboratory Logistics Technical Assistance SCMS Outcomes Laboratory Procurements- Part 2 Continued 2
3 Origins of SCMS President's Emergency Plan for AIDS Relief announced by President Bush in January 03 Largest international health initiative ever by one nation to address a single disease SCMS established in 2005 to create sustainable solutions to supply chain challenges SCMS administered by USAID, serves all USG agencies. 3
4 SCMS Mission SCMS strengthens or establishes secure, reliable, costeffective and sustainable supply chains to meet the care and treatment needs of people living with or affected by HIV/AIDS. In collaboration with in-country and international partners, SCMS: Provide quality, best-value health are products to those who need them. Deploy innovative solutions to assist programs to enhance their supply chain capacity Ensure accurate supply chain information is collected, shared and used. Deploy innovative solutions to assist programs to enhance their supply chain capacity Ensure accurate supply chain information is collected, shared and us 4
5 SCMS project team Affordable Medicines for Africa Johannesburg, South Africa AMFA Foundation St. Charles, Illinois Booz Allen Hamilton McLean, Virginia Crown Agents Consultancy, Inc. Washington, DC The Fuel Logistics Group Sandton, South Africa IDA Solutions Amsterdam, Netherlands JSI Research & Training Institute, Inc. Boston, Massachusetts Management Sciences for Health Boston, Massachusetts The Manoff Group Washington, DC MAP International Brunswick, Georgia North-West University Potchefstroom, South Africa Northrop Grumman McLean, Virginia PATH Seattle, Washington UPS Supply Chain Solutions Atlanta, Georgia Voxiva Washington, DC 3i Infotech Edison, New Jersey 5
6 What SCMS provides Procurement and delivery of HIV/AIDS medicines and supplies at the best value Technical assistance to transform supply chain performance and support health systems strengthening Global collaboration for long-term, local solutions 6
7 What SCMS procures ARVs (including FDA tentatively approved generics) Rapid HIV test kits Laboratory equipment (e.g., EIA, CD4, NAT) Drugs for opportunistic infections & STIs Miscellaneous (e.g., vehicles) New trends Food by prescription Home-based care kits Blood safety Male circumcision supplies 7
8 Where SCMS works Botswana Côte d Ivoire Ethiopia Guyana Haiti Kenya Mozambique Namibia Nigeria Rwanda South Africa Tanzania Uganda Vietnam Zambia Zimbabwe 8
9 Procurements to date Value of Delivered Commodities by Product $60 $50 $ % 2% 2% OI/STI OTH Millions of $US $40 $30 $20 $10 $0 $5.7 58% 0% 16% 11% 16% $8.5 71% 0% 1% 13% 15% $ % 2% 0% 16% 9% 66% $ % 14% Y2Q1 Y2Q2 Y2Q3 Y2Q4 Y3Q1 Y3Q2 Y3Q3 Y3Q4 1% 4% $ % 19% 51% 1% 1% $ % 14% 70% 1% 1% $ % 16% 68% 2% 1% 20% 65% TEST LAB ARV Definition: The dollar value of all commodities delivered to clients from RDC or Direct Drop 9
10 Technical Assistance: Logistics Cycle 10
11 SCMS Short Term Technical Assistance Haiti Guyana Ethiopia 1 3 Kenya Indonesia Honduras Namibia Mozambique Lesotho 1 Peru Nigeria Nepal 1 7 Togo Tanzania South Africa Rwanda Zimbabwe Zambia Vietnam Uganda 11 Cote d'ivoire Botswana Armenia focus countries: Guyana, Nigeria, Uganda, Tanzania, Vietnam, Mozambique, Kenya, Zambia, Haiti, Cote D Ivoire, Rwanda, S. Africa, Botswana, Ethiopia, Namibia. Plus: Zimbabwe, Armenia, Honduras, Indonesia, Lesotho, Nepal, Peru, and Togo 11
12 Laboratory Logistics Technical Assistance Focus Areas Procurement Commodity Management Development of country specific laboratory catalogs Quantification Distribution Logistics Management Information Systems 12
13 Laboratory Logistics Technical Assistance Outcomes Implemented lab. logistics information management systems (LMIS) in Ethiopia and Zambia, with upcoming design exercises scheduled for 4 countries. Hosted national laboratory quantifications in Botswana, Cote d Ivoire, Ethiopia, Haiti, Namibia, MZ, Rwanda and Zambia. Led the distribution of laboratory commodities in Haiti, ensuring an un-interrupted supply of all essential reagents. Worked in Ethiopia, Cote d Ivoire to define the storage and distribution strategy for HIV/AIDS laboratory commodities. 13
14 SCMS outcomes Procurement and delivery Value of commodities delivered: $148.2M Patient-years of ARVs purchased: 1.5M % Generic ARVs: 95% by volume, 82% by value (April June 2008) ARV cost per patient year: $88.05 for Lam/Stav/Nev 150mg/30mg/200mg Savings on generic ARV purchases: $201M Regional Distribution Systems (RDCs) Stock outs averted Except as noted, data are life of project through 6/30/08 Technical assistance Offices in PEPAR focus countries plus Zimbabwe 300 short-term TA assignments 23 countries received shortterm TA Global collaboration Technical secretariat: GF/WB/ /UNITAID coordinated procurement CHAI: collaboration on ARV forecasting, pricing, lab quantification GF: pooled procurement feasibility study 14
15 Laboratory Procurements Part 2 Presentation Continued.. Supply Chain Management System 1616 Fort Myer Drive, 12 th Floor Arlington, Virginia USA T: F:
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