Improving health in developing countries: reducing complexity of drug supply chains

Abstract

Purpose – Uganda is one of many African countries struggling to develop adequate healthcare, particularly in regard to local treatment and access to drugs. The purpose of this paper is to contribute to the understanding of how reducing supply‐chain complexity can improve health in developing countries.Design/methodology/approach – This study and evaluation included 50 interviews and 27 site visits of the public healthcare system in Karamoja, northeast Uganda. A mapping of drug‐supply chains was undertaken to identify causes of stock shortages and possible solutions. A model for logistics process redesign was used for the analysis. Results were quantified with use of a simple tool developed for this specific purpose.Findings – The main conclusion is that less supply‐chain complexity can produce higher customer service in terms of less stock shortages, while keeping costs down. By reducing lead times and uncertainty, increasing order frequencies, and moving order points and safety stocks, there may be bette...