Innovations

Description

The USAID Global Health Supply Chain Program-Procurement and Supply Management (GHSC-PSM) project is committed to exploring industry innovations that will lead to better, more efficient procurement and delivery of health supplies. Current efforts are exploring improvements related to enterprise-wide data exchange for more holistic data visibility that informs key decisions in a global supply chain process.

Commitments include:
 

  • Global Standards for Product Identification (GS1)
  • Master Data Exchange via the Global Data Synchronization Network
  • Vendor Managed Inventory
  • Network Optimization
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Global Standards for Product Identification
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GHSC-PSM aims to implement global standards to improve end-to-end data visibility and supply chain efficiency and security. Global standards being explored include:
 

  • Product and location identification
  • Packaging, presentation, and data capture
  • Data exchange of orders, shipment status, and delivery notification
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Global Data Synchronization Network
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A global data synchronization network (GDSN) synchronizes data between a source (e.g., manufacturer) and a recipient (e.g., clinic or pharmacy) to improve supply chain efficiency, security, and quality. The project is exploring how to set up a GDSN that integrates with its Automated Requisition Tracking Management Information System, including an automatic feed of GS1 attributes.

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Vendor Managed Inventory
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Vendor managed inventory services provide a range of benefits, including cost-savings in transportation, warehousing, and administrative management. The project is exploring improvements in the following areas to further strengthen supplier collaboration and relationships:
 

  • Contracting mechanisms
  • Duties and taxes
  • Insurance policy coverage and requirements
  • Exportation requirements
  • Warehouse capacity
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Network Optimization
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In 2016, the project completed an optimization exercise to determine how best to reduce its network complexity for planning, sourcing, and logistics. GHSC-PSM consolidated its five existing regional distribution centers (RDCs) to three and implemented competitive global forwarding and warehouse requests for quotation to further reduce costs.

The project continues to explore other ways to optimize its inventory and fulfillment processes.

News & Highlights

Innovations
June 4, 2021
Download the Technical Brief as PDF Long-lasting insecticide-treated nets (LLINs) are exchanged among multiple entities (trade partners) as the LLINs travel through the supply chain from manufacturers to end users. Being able to track and trace LLINs is crucial for supply chain security, enabling…
Innovations
April 12, 2021
Advanced analytics supports decision-making through access to near real-time data and analysis. GHSC-PSM has an advanced analytics team based in the Washington, DC, metro area that supports customized tools for various country programs and for a range of program areas. Long before COVID-19 and…
Innovations
January 25, 2021
Donors and country governments are beginning to use activity-based costing, a traditionally private-sector approach to measuring warehousing costs, as a way to better understand cost drivers, identify inefficiencies in warehousing processes and costs, implement process improvements to lower costs,…