Data collected through monitoring and evaluation (M&E) is essential to improve the performance of the logistics system. Program managers can provide feedback to supply chain staff through the data received from routine reporting. M&E plans should be developed that identify indicators of performance at all stages of the supply chain. The following resources provide guides on developing indicators regarding certain programmatic areas of supply chain management.

To effectively manage and implement improvements to a supply chain, involved staff must be adequately trained. The following resources provide an overview of supply chain management and its different components that can be used in a workshop environment. This module also includes a pre- and post-test to assess the supply chain management knowledge of personnel.

Information and data drive the logistics cycle. The quality of information and the processes in which it’s managed affect the ability of the supply chain to function correctly. In the beginning of the logistics cycle, information is collected regarding each activity and analyzed to make future decisions for the supply chain. A logistics management information system collects information about commodities, which, for example, is often used to fill routine supply orders for health facilities.

Distribution refers to the quantities of medicines, contraceptives, and health supplies that are issued between health system levels and are usually stored for certain periods of time. Each supply chain has a distribution system that ensures the delivery of needed commodities. The following resources also provide analysis of several distribution systems, identifying challenges and areas for improvement.

Once commodities have been procured and received by the health system, they are transported and stored at the service-delivery level until the user received the products. The storage process consists of a series of activities pertaining to adequately receiving, classifying, organizing, locating, and managing products and commodities. The resources for storage include best practices in a variety of country contexts, checklist templates, and examples of storage optimization

Effective inventory management is important to prevent the loss of products through expiration or mismanagement. A physical inventory is a process of counting by hand, at any given time, the total number of units of each commodity in the facility.  Information gained from accurate inventory management is necessary to make decisions regarding the selection and purchase of products.

Procurement occurs following the development of a supply plan as part of the quantification process. Health systems or programs can procure commodities from international, regional, or local supply sources. Procurement should follow a specific set of rules and procedures to ensure an open and transparent process. The following resources provide an overview of the procurement process as well as guides and examples for designing and implementing a procurement plan.

Quantification and programming are phases of the logistics cycle that occur before procurement, but after product selection. Quantification involves both forecasting and supply planning. The efficiency of a supply chain relies on forecasts to determine the demand and procurement needs for a specific medicines, products, and health supplies. Accurate forecasts ensure programs have enough supplies to serve their users and avoid stock-outs. In documents within the toolkit, the terms programming and quantification are sometimes used interchangeably.

Product selection is a key phase of the logistics cycle. It determines what products are procured and used by the health system, in addition to the range of products available. Selecting products enables the design and execution of a nationally coordinated logistics system and permits the redistribution of products throughout the system.

Fuente: Bill & Melinda Gates Foundation