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AccessRH Presentation to the RHSC London, June 5, 2009. Background. Studies by various consultants, including Mercer (2005) and McKinsey (2006) under the guidance of the Reproductive Health Supplies Coalition Decision made to proceed with the “ MVG ”
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AccessRH Presentation to the RHSC London, June 5, 2009
Background • Studies by various consultants, including Mercer (2005) and McKinsey (2006) under the guidance of the Reproductive Health Supplies Coalition • Decision made to proceed with the “MVG” • High-level concept prepared by Dalberg in November 2008.
From MVG to … Key features of MVG: • Minimum Volume contracts to secure better pricing and/or delivery terms • Contract prices and terms available to independent buyers without using UNFPA procurement services • Online ordering
AccessRH Vision AccessRH offers: Affordable, high quality public sector RH commodities, improved delivery times to meet client needs, and provides contraceptive order and shipment information for a range of users
AccessRH Concept Objectives: • Increase access to favorable pricing and delivery terms and better lead-time • Improve the availability of quality product • Strengthen responsiveness through procurement planning • Strengthen local capacity • Improve cost benefit ratio for procurement of RH commodities
AccessRH model Key Features: • IT platform (”mini-Amazon.com for RHC) • Managed inventory of select standard product(s), stocked by manufacturer on UNFPA’s behalf • Demand planning and inventory management functions added to UNFPA PSB portfolio • Continued emphasis on information sharing and use for decision making
AccessRH Model order fulfillment: current proposed addition of managed inventory
AccessRH Model Results: • Reduced lead times for products in inventory • Improved information visibility for clients (Countries, NGOs etc), UNFPA PSB and suppliers • Reduced supply chain volatility
AccessRH Model Benefits: • Preserves MVG goal of addressing procurement-related obstacle(s) to contraceptive supplies availability, but mitigates financial risk • Strengthens client focus • Easy to use • Improved lead-time
Implementation Requirements: • Donor funding for startup operations and a commodity for start-up of managed inventory • Building/improvingdemand planning systems and inventory management. • IT platform (build a “mini amazon.com” for RHC) • Supplier interest, ability
AccessRH • UNFPA believes we have a strong concept and design. • We are counting on your support to help us: • serve a range of clients more efficiently • offer improved lead times for standard products • provide increased visibility into information for decision making
AccessRH • Panel discussion • Questions