Supply Chain Management - Essay Example

Health Science and Medicine: Supply Chain Management Malaria and anti-malarial drugs manufactured at pharmaceutical companies must be packaged and transported to ensure it reaches the final consumer who is the end user. The main players in the supply chain are first, producers who are the pharmaceutical manufacturer. The second players involved are purchasers who wholesale or distribute and the third participant is the healthcare providers including hospitals. These patients are mostly found in the Sub-Saharan Africa.

At the national level, the Government supplies the drug to its citizens while, at the international level, the agencies of the United Nations and global organizations handle the supply. The UN through the World Health Organization ensures that the malaria drugs reaches its intended destination by coordinating with the local governments to enable an efficient and effective supply chain that is less costly (Chopra & Meindl, 2007). A system is developed that assists in coordination between pharmaceutical manufacturers and procurement agents.

The system ensures cost-effectiveness and transparency in the shipment, procurement and drugs delivery. The local government develops capacities including warehousing, distribution and delivery of the drugs to patients. So as to reduce the amount of inventory being held, the just in time (JIT) approach is used and it ensures problems do not come up because of managing large inventories. Inventory management is important in the reduction of the cost of running the supply chain. The malaria supply chain faces a number of challenges in its operation ranging from missing coordination, Inventory management, expiration of drugs due to delays and order management problems.

The above mentioned operational challenges facing the supply chain are costly. So as to eliminate or reduce this cost, emphasis must on the implementation of a strategic cost management. It enables the carrying out of cost analysis techniques. The strategy should be focused at standardization of supplies, reduction of inventory, centralized purchasing, and labor automation (Turney, 2001).ReferencesChopra, S., & Meindl, P. (2007). Supply chain management: Strategy, planning, and operation (3rd ed.). Upper Saddle River, N.J.: Pearson Prentice Hall.Turney, J. (2001).

Medicine and health science. Chicago: Fitzroy Dearborn.