Overview

UNDP is taking a lead globally to support countries in the most challenging operating environments to procure health products and strengthen national supply chain systems, in close collaboration with other partners. UNDP’s expertise built through more than 15 years of implementing procurement and supply chain (PSM) support services under donor grants is being used to support ongoing reforms of national procurement strategies and operational policies, and to optimize national supply chain systems for health products.

Overview

UNDP supports countries in some of the most challenging operating environments to procure health products and strengthen national supply chain systems, working in close collaboration with other partners. UNDP’s expertise, built through more than 15 years of implementing procurement and supply chain management (PSM) support services under donor grants, is being used to support ongoing reforms of national procurement strategies and operational policies, and to optimize national supply chain systems for health products.

UNDP builds on its support to governments’ procurement of health products as an entry point to improve and build resilience in PSM systems in countries. While supporting the timely procurement of quality-assured medicines and other health products, UNDP works with governments, in coordination with the World Health Organization and other partners, to help enhance national capacities and systems for the adequate PSM through transparent and accountable mechanisms.

It helps countries to achieve value-for-money in procurement and supply chain activities, it guarantees the quality of the products and services provided, and it sustainably improves the performance of national procurement and supply chain systems using both donors and domestic funds.

UNDP’s approach

UNDP’s approach to procurement and supply chain management capacity development is built on a participatory and inclusive process. It seeks to address capacity gaps at all levels of the supply chain, including selection, quantification, procurement, storage, distribution, logistics management and the use of health products, with a cross-cutting emphasis on meeting quality assurance standards, fostering enabling legal and regulatory environments, and promoting environmental sustainability in PSM.

Human resources for procurement and supply chain management

UNDP recognizes that a knowledgeable, skilled, motivated workforce is crucial for implementing procurement and supply chain management (PSM) strategies and plans. Human resources for health strategies are a fundamental part of developing resilient PSM systems and should encompass sustainable solutions for the education, recruitment and retention of human resources for PSM.

In several countries, UNDP has strengthened human resources through a scaling-up of on-the-job and formal training sessions, including through professional certification programmes for health workers in PSM-related areas, such as accreditation from the internationally recognized Chartered Institute of Purchasing and Supply (CIPS) and supply chain leadership programmes with partner organizations.

Innovations in procurement and supply chain management

UNDP seeks out and uses the latest innovation and technology for health, which is central to supporting resilient and sustainable systems for health. UNDP is involved in piloting and implementing several innovations in the supply chain. These include:

  • Upstream innovation for sustainable procurement, such as engaging manufacturers through its long-term agreements, optimizes medicine packaging to reduce waste and freight costs.
  • Supporting mobile phone-based or other electronic logistic management information systems (eLMIS) allows the tracking of inventory, the consumption of data and the monitoring of cold chain temperature for vaccines at the most peripheral storage level. Read more

A procurement architecture to create value for money

UNDP’s principles for guiding health procurement are:

  1. provide the best value for money;
  2. embody fairness, integrity, and transparency;
  3. engage in effective international competition.
The Global Fund investments to strengthen global and in-country procurement and supply chain management systems

UNDP works closely with the Global Fund in a number of countries to implement capacity development interventions for procurement and supply chain management (PSM). Improved access to essential medicines and health products is critical to fighting HIV, tuberculosis and malaria and is recognized as a key building block of a strong system for health. Weak procurement and ineffective supply chains reduce the overall health system’s ability to respond to the health-care needs of the population. As part of its strategy, “The Global Fund Strategy 2023–2028: Fighting Pandemics and Building a Healthier and More Equitable World”, the Global Fund prioritizes investments in building Resilient and Sustainable Systems for Health including capacity development for PSM systems