I-Supply Program.pdf

The EPSA I-SUPPLY Program

PRESENTATION OUTLINE

• Introduction

• Mission, vision and values

• Pillars of EPSA

• The strategy map

• Cost of PSTP – II by category

• Summary of our directions

• I-SUPPLY

• Key priorities

• Implementation Approach

1. INTRODUCTION

As part of the second health sector transformation plan(HSTP II), Ethiopian

Pharmaceuticals Supply Agency (EPSA) has developed the Second Pharmaceuticals

Supply Transformation Plan (PSTP II) for the period 2020/21 – 2029/30. The strategic plan took into account:

❖Initiatives for the problems identified in the situational assessment

❖Initiatives that are currently at different stages of implementation

❖new transformational initiatives based on the visioning survey, insight gained by proactive scanning and the leadership aspiration

2. MISSION, VISION AND VALUES

Mission:

“We sustainably supply affordable and quality assured essential pharmaceuticals to our customers through advancing supply chain management system to enhance health of the society.”

Vision:

“To be the most responsive and efficient pharmaceuticals supply chain organization in Africa by 2030.”

Fi na nc ia l s us ta in ab ili ty

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3. Pillars of EPSA

Vision Mission Values

4. THE STRATEGY MAP

5. IMPLEMENTATION COST OF PSTP- II BY DISAGGREGATION

S/n Area of support Key Areas % share

Capacity building/operation/proces s optimization

• Quantification and procurement process optimization

• work force capacity development

• Receiving & distribution network optimization…..etc

37.22%

2 Tool/technology • ERP, drones, data interface soft wares and related technologies

16.03%

3 Infrastructure Mega warehouse construction, vehicles for reverse logistics, warehouse material handling equipments (MHEs) …..etc

46.75%

6. SUMMARY OF OUR DIRECTION

•Build core competencies in supply chain management •Fixing the basics and create good customer service •Lay the ground for transformation

• World class customer expierience-90% Customer satisfaction

• Operational Excellence-(OTIF-90%, procurement lead time-90 days)

• Financial sustainability

• Build international competitiveness

From “Bronze ” To Gold - EPSA Vision 2030 - Transformation 2020-2030

• Delivering better customer service – 80% customer satisfaction

• Drive medium revenue growth to go for financial sustainability

• Operational Excellence-(OTIF-80%,procrument lead time-120 days)

• Competent, passionate and motivated work force

Horizon one(2020-2022)

Horizon two(2023-25)

Horizon three(2030)

I – SUPPLY

አቀርባለሁ!

IMPROVE

◼ Supply Chain operation processes

◼ Utilization of robust technology & supply chain systems

◼ Partnership with stakeholders

◼ Plan, Monitoring & Evaluation and Knowledge management

◼ Leadership commitment

◼ Yield to financial efficiency and performance

Introduction and Pillars

7. KEY AREAS, MEASURES AND TARGETS FOR I-SUPPLY PROGRAM

◼ Enhance the supply chain planning and analytics o Reduce forecasting error o Keep stock with in min max levels (Stock according to plan)

◼ Advance the procurement process o Reduce the procurement lead time o Improve the supplier fill rate o The local supplier percentage share o Enhance warehousing, order management and distribution processes o Increase on time and in full (OTIF) o Increase inventory turnover rate o Decrease pharmaceutical wastage rate

◼ Enhance Customer and Stakeholder Satisfaction o Increase customer satisfaction rate o Increase stakeholder satisfaction rate

◼ Transform the SC Management information system o Increase the number of process supported with supply chain process o Increase usage rate o Improve system functionality

◼ Strengthen Strategic Partnerships o Increase percentage of effective strategic partnership established o Increase partners‘ satisfaction rate

KEY AREAS, MEASURES AND TARGETS …….

Planning, monitoring and evaluation of EPSA processes oIncrease the percentage of supportive supervision oIncrease number of processes implemented as per the operational research recommendations Strengthen Risk Management System

◼Increase the number of processes with active risk registers ◼The number of Active risk register assessments/follow ups done

KEY AREAS, MEASURES AND TARGETS………

Enhance Financial performance ◼Increase Percentage of Credit sales collected during the reporting period

◼ Reduce cash to cash cycle time ◼Increase return on Investment(ROI) ◼Decrease cost to income ratio

Strengthen Leadership, Governance and Human Resource Management ◼Increase the percentage of competent workforce in the Agency ◼ Increase staff satisfaction rate ◼Increase the good governance index

I-SUPPLY Intervention program at EPSA

SUPPLY CHAIN OPERATION PROCESSES

Enhance the supply chain planning and analytics through:-

◼ Developing and implementing demand-based forecasting and supply planning

◼ Designing and Implementing Sales and Operations Planning Process

◼ Creating data analytics capability & ensuring data visibility within the planning function for decision-making

◼ Strengthening Market Intelligence and Shaping

SUPPLY CHAIN OPERATION …….

Advance the procurement process through:- ◼ Strengthening strategic procurement system

◼ Developing and implementing supplier relationship management (SRM) system

◼ Designing and Implementing Medical Equipment Management

Enhance warehousing, order management and distribution processes through:- ◼Sustaining Implementation of Warehouse Center of Excellence

◼Optimizing the Receiving and Distribution network

◼Implementing the Immunization Supply Chain Management Strategy

◼Establishing Central Order Management System

Enhance Customer and Stakeholder Satisfaction through:- ◼Designing and Implementing the Customer Relationship Management (CRM) System

UTILIZATION OF ROBUST TECHNOLOGIES & SYSTEMS

Transform the SC Management information system through:-

◼ Procuring and Implementing Enterprise Resource Planning (ERP) and Other

Related Information Technologies

◼ Establishing end-to-end supply chain data integration and visibility

◼ Developing and Implementing data management strategy and IT policy

◼ Expanding GPS,CCTV etc.

PARTNERSHIP WITH STAKEHOLDERS

Strengthen Strategic Partnerships through:- ◼ Implementing Communication Strategy and Strengthening Collaboration and Cooperation internally and with Stakeholders

◼ Developing and Implementing a Public Private Partnership (PPP) Strategy

◼ Building up Project Management Capacity

◼ Building up Local Manufacturing Capacity

◼ Mobilizing resources for PSTP – II implementation

PLAN, M&E AND KNOWLEDGE MANAGEMENT

Strengthen Monitoring & Evaluation, and Knowledge Management through:-

◼ Strengthening the M&E System

◼ Streamlining Data Quality and usage across the Agency

◼ Developing and Implementing Knowledge Management System

◼ Implementing Performance Management System at all Levels

◼ Strengthening Operations Research on Supply Chain Functions Strengthen Risk Management through:-

◼ Developing and Implementing Risk Management Strategy

◼ Developing and Implementing Emergency Supply Chain Management Process

LEADERSHIP COMMITMENT

◼ Strengthen Leadership, Governance and Human Resource Management through:-

◼ Leadership Development and Good Governance

◼ Revising and Implementing HR Strategy of the Agency

◼ Operationalizing SCM Training and Resource Center

◼ Building Organizational Culture

◼ Creating Conducive Work Environment

YIELD TO FINANCIAL SUSTAINABILITY

Improve financial efficiency and performance through:- ◼Developing and implementing comprehensive financial management measures

◼Implementing appropriate Costing System that Allows Financial Control and Performance Measurement

◼Designing and Implement Cost Reduction Projects

◼Strengthening Financial Planning, Budget Control and Management

◼Strengthening the Management of Financial Receivables

◼Developing and Implementing Long-term Financial Sustainability Plan

Key EPSA Priorities

8. KEY PRIORITIES

1. Supply chain Planning and Analytics/Quantification process advancement/

2. Transformation of the SCM system through a robust system/ERP

3. Advancing the Procurement System (Significantly Minimize procurement Lead time)

4. Improve Financial Efficiency and Performance

5. Plan, Monitoring and Evaluation

6. Receiving and Distribution network optimization

7. Risk Management

8. Strategic Partnership

9. IMPLEMENTATION APPROACHES

Engagement of all EPSA STAFF AND ALL STAKEHOLDERS

TOR final for PSTP- II projects, Jan 16, 2021.docx

SAMPLE PROFILE

◼ CRM ROFILE.docx

Thank you