Concept Paper for Improving Supply Chain Management Systems Project (ISCMS)

The Improving Supply Chain Management Systems (ISCMS) project envisages supporting an Indian organization to provide technical expertise to the MOHFW including the CTD and NACO in strengthening the supply chain management system. Support to GOI will be provided at the national level and in six states where USAID is the lead development partner for RMNCH+A interventions and states with the highest burden of child deaths such as Uttar Pradesh, Madhya Pradesh, and Rajasthan, along with HIV/AIDS high-prevalence states (Maharashtra and other high prevalence states to be determined in consultation with NACO), and select states for TB. The ISCMS project is expected to build on existing platforms and systems established by the GOI, state governments and other development partners in supply chain management and not reinvent tools and systems except when a clear need exists for new options. The project is expected to collaborate and cooperate closely with other development partners, donor organizations and implementing organizations working in the area of supply chain management, and to leverage technical resources for strengthening public sector supply chain management at the national level and in the selected states. The project is expected to focus on the following areas in strengthening supply chain management systems at the national and state level:• Public sector human resource capacity development in several key supply chain management functions.• Strengthening inventory management systems for RMNCH+A, HIV and TB commodities.• Institutional capacity building in supply chain management to provide sustained technical expertise using Indian resources. • Demonstrating adaptation of innovative private sector models to improve delivery of RMNCH+A, HIV/AIDS and TB products in the public sector. Currently USAID/India is using the USAID/Deliver Project, implemented by John Snow Incorporated (JSI), a USAID Washington based mechanism, to respond to the Government of India’s technical support needs in the interim until the project ends in September 2015. The awardee will collaborate closely with the USAID/ Deliver Project until September 2015, planning and implementing activities jointly, and will fully assume the technical support activities to MOHFW including NACO, and CTD after the end of the USAID/Deliver Project. The following are current initiatives of the USAID/Deliver Project:• A comprehensive assessment of supply chain management systems at the national level, and in two states (Jharkhand and Haryana).• Supporting the Government of Haryana in developing key supply chain performance indicators for various functions of the supply chain, and helping to evaluate district performance based on these indicators.• Reviewing the current electronic logistics management information system (eLMIS) developed by the Government of Haryana, and provide suggestions and technical support to improve its operations (e.g. uniform and standardized ordering and re-supply rules featured in the eLMIS, emergency automated ordering points, documentation of standard operating procedures, etc.)• Conducting a network analysis for the Government of Haryana to review their current distribution system and determine the best options for transportation and additional warehousing needs (if any)• Supporting the newly created Jharkhand Medical and Health Infrastructure Development and Procurement Corporation Ltd. in Jharkhand to develop its management systems, operating procedures, and operationalize its functions. • Reviewing of existing eLMIS programs for inventory control in different states, to optimize approaches to improvements in the logistics management information system and recommend adaptation of specific models or aspects of the models to the states that are in the process of developing eLMIS. • Cooperation with Clinton Health Access Initiative (CHAI) and NACO for implementation of the electronic Inventory Management System (IMS) for centrally procured HIV/AIDS program commodities.• Supporting NACO in recruiting World Bank supported Procurement and Logistics Coordinators at national, regional and state level.• Developing standard operating procedures for various supply chain management functions for the states of Haryana, Jharkhand, Uttarakhand, and Himachal Pradesh.• Capacity development of key supply chain management functionaries in the state of Jharkhand, Haryana, Uttarakhand and Himachal Pradesh though a supply chain foundation course. Building on the inputs listed above, illustrative activities for the ISCMS project include:i. Support NHM, National AIDS Control Project - IV (NACP - IV), Revised National Tuberculosis Control Program (RNTCP), and selected states to develop and operationalize national and state level strategic plans on supply chain management.ii. Provide technical support in establishing systems for effective forecasting, procurement, and inventory management functions at the national, state, and district level.iii. Provide technical support to NHM, NACP - IV, and RNTCP to establish dashboard and performance indicators for supply chain management and to institutionalize periodic supply chain management monitoring and audit systems.iv. Provide technical support to NHM, NACP - IV, RNTCP, and selected states to prioritize, develop, and adopt, where appropriate, new technology-based solutions for strengthening supply chain management.v. Support periodic needs assessment of national, state, and facility-level systems and personnel involved in forecasting, procurement, and supply chain management.vi. Build the knowledge and skills of state and national supply chain human resources to support effective supply chain functions. vii. Develop training curricula and systems for training, mentorship support, and periodic experience sharing by staff.viii. Support development of cadres of trainers using a Training of Trainers (TOT) cascade approach, and provide quality assurance and supportive supervision to ensure that trained cadres can carry out quality training independently.ix. Develop warehouse management tools and approaches at the national, state and district level.x. Provide technical support to the Central Procurement Agency at the national level and in selected states, to ensure efficient procurement and consistent availability of key commodities, including developing, testing, and implementing innovative financing options. Through these activities, expected outputs include:i. Increased capacity of supply chain management workers to carry out efficient supply chain management functions at the national, state, district, and facility level.ii. States, districts, and national governments adopt effective, evidence-based systems for forecasting, procurement, and inventory management of RMNCH+A, HIV and TB commodities. iii. States, districts, and national government develop and use supply chain key performance indicators to track supply chain performance, and use data for supply chain decision making.iv. Improved warehousing, storage, inventory control, and distribution practices at the national, state and district level. v. Improved and cost efficient procurement system for essential RMNCH+A, TB and HIV commodities. The activities should lead to the following outcomes:i. Consistent availability of RMNCH+A, HIV and TB commodities at service delivery points in the intervention states.ii. Reduced stock out rates and duration of stock outs of RMNCH+A, HIV and TB commodities at service delivery points in the intervention states.iii. Reduced volume of expired RMNCH+A, HIV and TB commodities in the intervention states.iv. Reduced cost for procuring essential RMNCH+A, TB and HIV commodities.