Procurement

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Male warehouse worker at invetory management
Male warehouse worker at invetory management
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Photo Credit: USAID Kenya
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The USAID Global Health Supply Chain Program-Procurement and Supply Management (GHSC-PSM) project expects to fund procurement of about $4.4 billion worth of health commodities through the global supply chain over the life of the project. Our global supply chain Source team is responsible for developing sourcing strategies and managing the competition process fairly and transparently with the release of requests for proposals or requests for quotations.

For the global supply chain, we use a range of contracting vehicles, from long-term commitments such as blanket purchase agreements and indefinite delivery/indefinite quantity contracts, which allow for repeat orders during a specified time, to simple one-off purchase orders.

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Targeted Local Procurement
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Most of our global supply chain procurements are sourced internationally in large volumes for best value and assured supply. However, we have developed a protocol for targeted local procurement when it is in line with our market analysis. Laboratory commodities and essential medicines are some of the items commonly procured at the local level. Local sourcing and procurement continue to be a key component of providing the best value to USAID and its partners by lowering the landed costs of products and shortening lead times to meet demand.

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Procurement Technical Assistance
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As part of our supply chain technical assistance, staff in country offices, supported by specialists at GHSC-PSM headquarters, work with ministries of health and other entities to streamline and update their policies and processes for procuring health commodities. Establishing standardized procedures for procurement helps eliminate parallel systems that create inefficiencies and inadequate resource allocation.

We have staff embedded in government agencies to provide day-to-day mentoring in competitive solicitation processes and effective contract management, leading to more transparency and responsible use of financial resources for medicine procurement.

News & Highlights

Success Stories
October 15, 2020
Imagine having to procure 36 units of an important medicine, when your hospital needs only two, because of supplier minimum order quantities. One of the advantages that the National Surveillance Center (NSC) has brought to the South African public health supply chain is the ability to identify…
News Article
November 10, 2020
Our staff participated in the virtual Global Health Supply Chain Summit, November 17-19, 2020, contributing to a rich exchange of ideas and lessons learned on preparedness, response and recovery, including COVID-19. Our speakers represented teams and partnerships that, despite many challenges…
News Article
October 2, 2020
The USAID Global Health Supply Chain Program-Procurement and Supply Management (GHSC-PSM) project joined global partners at this year's Health and Humanitarian Logistics (HHL) Conference to discuss the impact of COVID-19, and presented on Ensuring ARV availability for multi-…

Success Stories

November 29, 2020
Imagine having to procure 36 units of an important medicine, when your hospital needs only two, because of supplier minimum order quantities. One of the advantages that the National Surveillance Center (NSC) has brought to the South African public health supply chain is the ability to identify…
September 28, 2020
Logistical problems and poor management of contraceptive supply orders were complicating the family planning efforts of women who live near the Hawas Health Center in the central Ethiopian town of Adama. “Obtaining our method of choice at the health center used to be a major challenge for us,” said…
October 26, 2020
As in many countries, Angola’s Ministry of Health has managed its public health supply chain within separate, parallel departmental programs. The siloed approach has led to numerous missed opportunities to consolidate and distribute commodities to more clients to achieve better health outcomes.…