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Planning for demand-driven supply chains

Demand-driven supply chains enable donors, procurement services agents, public health programs and governments to take control of production scheduling, better manage shipments, and reduce inventory stockouts and product obsolescence.

PFSCM connects our clients  to accurate timely forecast, stock, order and shipment data and help stakeholders use the facts to execute effective supply chain demand planning and product quantification.

Through managing large supply chain projects, such as PEPFAR’s Supply Chain Management System (SCMS), PFSCM has gained extensive experience assisting clients in demand management, forecasting and product quantification.

PFSCM’s forecasting and supply planning process creates demand-driven public health supply chains by:

  • Forecasting the quantities of medicines needed by the projected patient population in a country or region according to treatment guidelines and protocols.
  • Planning shipment quantities and delivery dates to maintain inventory within stocking parameters.
  • Planning procurement, cognizant of lead times, to ensure deliveries occur as planned.
  • Providing visibility into forecasting and supply planning information to all stakeholders through our digital network.

Demand-driven public health supply chains provide numerous benefits to PFSCM clients and ensure good health outcomes in resource-limited settings.

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Demand-driven supply chains improve:

  • Real-time visibility into supply chain information
  • Stock velocity (movement out of storage)
  • Procurement and storage best practices
  • Government and donor resource mobilization
  • Manufacturers’ production scheduling
  • Ability to scale up treatment and prevention programs
  • Effective use of public health budgets
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Demand-driven supply chains reduce:

  • Inventory stockouts
  • Product expiry
  • Stock variability
  • Interruption in patient treatment
  • Emergency shipments
  • Inappropriate drug substitutions
  • Supply chain costs

PFSCM planning results on a US Government supply chain project

More than

$176 million

in freight savings achieved trough ocean and air shipments over the life of the project

Almost

0

central-level stockouts were reported for ARVs in the final 2 to 3 years of the project

More than

17

countries benefited from our forecasting and supply planning services

More Than

5%

in ARV cost per patient price reduction from $1,500 in 2005 to as low as $80 to $90 in 2015

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