Download CENTRAL MEDICAL STORES

CENTRAL MEDICAL STORES
Merapelo Baruti
CMS Deputy Manager
Topics covered
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CMS overview
Drug Supply Chain Management
Product Sourcing
Contract Management
Challenges
CENTRAL MEDICAL STORES (CMS)
 CMS is public sector entity which is responsible for
Procurement, storage and distribution of Pharmaceuticals and
other health commodities in public sector
 4 departments – Procurement, Warehouse (Technical
Operation), Quality Assurance and Corporate services.
 Staffing-166 staff,
  700 customers (public facilities, Mission and Mine Hospitals)
 Process approx. 10,000 items per month (Schedule Orders &
Emergency Orders)
 ISO 9001 certification with Botswana Bureau of Standards
(BOBS) in November 2012.
 Fully automated warehouse using WMS (Pulse) in inventory
processing, from receipt, to the service delivery point (SDP).
CMS Conti......
• >1,500 products on the CMS catalogue + Special Orders (NonStockable)
• Budgets 2012-13 – BWP700m ( USD 95m)
P408million for Essential Meds and Dressings
P 238 million for ARVs and Lab commodities (NACA) +
Merck Donation
P17 million for ARVs (PEPFAR) & Training
Drug Supply Management in Botswana
Product Sourcing
Procurement Plan
 All products (642 product lines) planned to be on a 2 years
framework contracts
 10 drugs tenders planed for 2012/2013 financial year (450
products on framework)
 Remaining 350 will be covered 2013/14 financial (including
non stockable with high demand but no decision to declassify
them)
Product Sourcing
 Product sourcing is by generic description
 Commonly used methods of procurement
– Open domestic tender- default method of procurement
– Restricted
– Direct procurement
– Quotations proposal method
– Micro-procurement method
 ARVs - Restricted method of tendering is preferred from
Manufacturers who are
o WHO or US-FDA prequalified
o CHAI (price benchmarking)
Contract Management
Contract agreement for purchases above 50,000
pula
1. Supply Relationship Management (SRM)
• Product availability and consumption data
• Product visibility and pipeline information
• Supplier relationship management on the key
suppliers
• Monitor over due orders (stock safety levels at
6 months)
Contract Management
2. End of Activity Reports for all the
procurement performed
3. Payment
• Letter of credit
• 30day payment (EFT)
Challenges
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High cost of drugs
Lack of manufacturers
Products in the list not DRU registered
Which products in the essential list are
protected by valid patent?
• Access to patent data base??
Ke a Leboga
Thank you