ISO 9001 Certified Organisation

1. TAMIL NADU MEDICAL SERVICES CORPORATION LTD. ISO 9001 Certified Organisation TAMIL NADU MEDICAL SERVICES CORPORATION LTD 417 - IInd Floor, Pantheon Road, Egmore, Chennai – 600 008. Phone : 28190259 / 28191890 / 28191891 Fax : 044 – 28190636 Email : enquiry@tnmsc.com Website : www.tnmsc.com / http://tnmsc.tn.nic.in

2. Quality Policy Tamil Nadu Medical Services Corporation Limited supports the Government Medical Institutions in providing quality health care delivery system to the people of Tamil Nadu. We arrange to deliver on time high quality drugs, medicines, surgical and suture items to the Government Medical Institutions with courtesy and care for our customers. To achieve this objective we adopt a rational drug management system, abiding by the applicable laws of the land and other regulatory requirements pertaining to the drugs and medicines. We achieve our goal with involvement and empowerment of our personnel through continually improving a Quality Management System established in accordance with ISO 9001:2000.

3. Profile • Tamilnadu medical services corporation ltd..,(TNMSC) was incorporated under the Companies Act,1956 on 1/7/1994. • It has commenced its functions of purchase,storage and distribution of drugs and medicines from January 1995. • Its primary objective is to ensure ready availability of quality drugs and medicines in the Govt.Medical Institutions throughout the state.

4. BOARD OF DIRECTORS • Chairman, TNMSC Ltd., • Secretary, Health & Family Welfare Department • Special Secretary, Finance Department • Managing Director, TNMSC Ltd., • Project Director, Reproductive & Child Health Project • Director of Medical Education • Director of Medical and Rural Health Services • Director of Public Health & Preventive Medicine • Director, Drug Control Department • Chief Engineer, Public Work Department (Buildings)

5. Organogram CHAIRMAN MANAGING DIRECTOR Manager (Purchase) Chief Accounts Officer/ Company Secretary Senior Regional Manager Manager (Quality Control) Superintending Engineer Construction Work Accounts Administration Purchase of Equipments E D P 24 Drug Warehouses Maintenance of Equipments Maintenance of CT & MRI Scan

6. ENGINEERING SECTION Superintending Engineer AE - 3 (Civil) Deputy Manager AE (Electrical) PURCHASE SECTION Senior Regional Manager Manager (Purchase) Assistant (Outsourced) Drug Warehouse Pharmacists -2 DEO -1 Packers -2 (Outsourced)

7. QUALITY CONTROL SECTION Manager (Quality Control) ACCOUNTS SECTION QC Assistant Assistant-2 Chief Accounts Officer Accounts Officer Assistant Accounts Officer - 2 Assistant (Outsourced) EDP Section (Outsourced) Cashier Auditors –4 (Outsourced) Systems Analyst – 1 Programmer – 3 DEO – 7 ADMINSTRATION SECTION Company Secretary Assistant Drivers - 7 Security Persons - 50 (Outsourced) DEO -2 Receptionist- 1 Despatch - 1 (Outsourced)

8. Comparison Before and After TNMSC

9. Comparison Before and After TNMSC

10. Institutions Served by TNMSC • All Medical Teaching Institutions 42 • All District Head Quarters Hospital. 25 • All Taluk Head Quarters Hospital. 240 • All Primary Health Centers 1413 • All Health Sub Centers 8682 • All ESI Hospitals and Dispensaries 185 • All TNEB medical facilities 28 • All Panchayat Union Dispensaries 51 • All Police Medical Facilities. 10 • Juvenile Homes. 10 • Prison and Rehabilitation homes. 11 • Co-operative Sugar Factories. 18 • Veterinary Institutions. 285 • Transport Corporation Dispensaries. 14 • All Local body Medical facilities. 45 Total 11059

11. Budget- Government makes budget allotment to Heads of departments every year- Heads of departments distribute this budget allotment to the institutions based on which passbook is issued for lifting the drugs.- Heads of departments deposit 90% of this budget in the P.D. Account of TNMSC for the purchase of drugs.- TNMSC withdraws this amount as and when required for making payment to the suppliers.- Heads of departments allocate 10% of budget allotment to the institutions for local purchase.

12. TNMSC’s Transactions No. of Items 271 – DRUGS 92 – SUTURES 63 – SURGICALS 133 – VETERINARY Total Value Rs. 12142 Lakhs

13. DRUG COMMITTEE Drug Committee consists of the following members. • Managing Director, TNMSC Ltd. • Director of Medical Education • Director of Medical and Rural Health Services • Director of Public Health and Preventive Medicine • Director of Family Welfare • Director of Drug Control • Professors of Medicine • Professors of Surgery

14. Purchase ProcedureDrug committee discuss and decide about the drugs to be purchased 9 L1 Rate Matching L1 Rate Processing 8 Cover B Opening 7 11 Issue of Purchase Order 10 Signing of Agreement with Security Deposit 6 Evaluation of Samples 1 Tender Processing 2 Invite Tender through Press and Website 6 Inspection of Manufacture unit Surgical Suture Blood Bank Drugs 3 Issue of Tender Document Cover A Opening 5 4 Receipt & open Tender

15. Tender Process • Drug committee to finalise the list of items (Essential Drug List) and quantity for tender • Advertisements:- • National Dailies through D.I.P.R. • Websites • Trade Journal like Pharma pulse, IDMA • Letters to Drugs Controllers & Pharma Association • Issue and receipt of Tender Documents • Tender Cover “A” opening • Tender Committee. • Scrutinizing Team • Inspection of the manufacturing premises of new tenderers in case of drugs • Evaluation of surgical/sutures samples by Experts

16. SALIENT FEATURES IN COVER ‘A’ • Licence for the product quoted • Minimum three years market standing for the drug issued by the licensing authority • Minimum turn over of Rs. 35 lakhs • Non conviction certificate for three years • GMP certificate

17. SALIENT FEATURES IN COVER ‘B’ • Printed format for quoting the landed price excluding Sales Tax. • Printed format to furnish the break up details of landed price • The tenderer is strictly prohibited to change /alter specification or unit size in the printed format • The rate per unit(landed price)will be the criteria for determining the L1 rate • The manufacturing capacity for each item for effecting supplies to the warehouses within 60 days shall be given in the printed format • The above details of rates and capacity shall be given in computer floppy

18. TENDER CONDITIONS • The tablet and capsule shall have the logogram in addition to the logogram on the strips/outer labels • The cap of the bottle shall not have the name of the manufacturer • Samples of supplies in each batch will be chosen for testing • The supply should be commenced within 30 days and completed within 60 days • Liquidated damages will be levied for delayed supply (0.5% per day subject to a maximum of 15%) • If the product fails in quality test , the entire batch will be returned to the supplier.

19. Cover "B” Opening • The Cover B of only those tenderers who are eligible in Cover A and found eligible during inspection, are opened. • For surgical and suture items / blood bank consumables, the rates of only those items are considered where the sample has passed in clinical evaluation. Publication of L1 rates in the Website L1 rates published on the same day on the Notice Board.

20. Drug Distribution Head of Dept Other Institutions Requirement Requirement TNMSC Head Office Issue of Passbooks Purchase Order Ware House Supplier Supplies Indents Medical Institutions Supplies

22. COMPARISON OF RATES 2002-03

23. COMPARISON OF RATES 2002-03

25. Thiruvannamalai Warehouse

26. Stock Accounting in Ware houses • 1 – Inward Goods Register • 2 – Material Receipt Certificate (MRC) • 3 – Q.C. Samples Outward • 4 – Stock Register • 5 – BIN Card • 6 – Inward Indent/Issue Form • 7 – Outward Goods Register • 8 – Frozen Stock Register

27. QUALITYCONTROL Samples from Warehouses QUALITY with no Compromise Eliminating Common Batches Sent to LAB Receipt of Results If fails, samples are sent to G.A. and another lab for confirmation If Failed return To supplier If Passed Distribution to Institutions

28. DEDUCTION FOR QUALITY FAILURE If the product fails in quality test, the product will not be accepted and returned to the supplier. Even if the field samples taken by the Drug Inspector fails in quality test the cost of the quantity remaining unutilized will be recovered from the supplier apart from the levying of other penalties / punishments including blacklisting. If there is any complaint from the Medical Officer about the quality of the product the remaining quantity in the particular batch will be returned to the supplier and value equal to the quantity returned will be recovered.

29. PROCEDURE FOR BLACKLISTING • In case during the contract period the supplier fails to execute three consecutive purchase orders issued in full within 90 days then the product will be blacklisted for the firm after giving due opportunity the firm to explain the reason for the non execution of purchase orders. • During the contract period if two batches of the particular item supplied by the firm fails in quality test (Assay content) the product of that particular firm will be blacklisted. • During the contract period if three batches of the particular item supplied by the firm fails in quality test (description test and other parameters mentioned in pharmocopeia / As per IS specification) then that particular item will be blacklisted for the firm. • In respect of the firm supplying more than one item during the contract period if more than 50% of the items are blacklisted based on the above process then the firm will be blacklisted.

30. Description 98-99 99-2000 2000-01 2001-02 2002-03 No. of Samples Sent to QC Lab 10065 10185 10476 11065 12012 No. of Samples Passed 9736 9874 10186 10824 11844 No. of Samples Failed 329 311 290 241 168 % Passed 96.73 96.94 97.23 97.82 98.60 % of Failure 3.26 3.05 2.76 2.17 1.40 Assessment of Samples Sent for QC Test 2003-04 14778 14600 178 98.8 1.20

31. Management Information System-MIS • Exceptional Stock Statement • Slow Moving Drug List • Drug Order Statement • Passbook Utilisation Report • Unexecuted Order Statement • Abstract Pending Bills Report • Time Expiry Drugs • Abstract Order & Supplied Value Report

32. Diagnostics Services (i) ISO 9001:2000 certified GI Bleed and Hepatobiliary Centre (Special Ward) maintained by TNMSC is functioning as a separate unit under the Surgical Gastroentrology Department in Government Stanley Hospital, Chennai. (ii) TNMSC is maintaining the Master Health Checkup Scheme at Government General Hospital, Chennai. (iii) TNMSC is maintaining the Special Class Maternity Ward in IOG, Chennai-8. (iv) TNMSC has provided infrastructure facilities to the payment ward in Govt. Kasturba Gandhi Hospital, chennai-5 and started maintaining the same from 03-05-2004.

33. TNMSC CT Scan Center • TNMSC is maintaining 36 CT Scan Centres in Govt. Hospitals. The following charges are collected for scanning. Category Plain With Contrast Inpatients Rs. 350/- Rs. 550/- Outpatients Rs. 500/- Rs. 700/-

34. TNMSC MRI Scan Center TNMSC is maintaining 1.5 Tesla MRI at - Govt. General Hospital, Chennai. - Govt. Rajaji Hospital, Madurai.

35. Purchase and Supply of equipments to hospitals • TNMSC has finalized rate contract (CPC System) through open tender for the purchase of equipments & accessories required for 19 departments in Government hospitals consisting of about 3078 items for the period 2002-2004. The medical institutions can directly place purchase orders with the approved firms for the supply of required equipments and accessories at the approved rates depending upon the budget provision. • The medical equipments required for the government hospitals are procured and supplied by TNMSC based on the Government order issued for this purpose from time to time

36. Construction Activities of TNMSC (i) Implementation of World Bank Assisted RCH Project   Under this project, construction of Buildings for 8 UHPs and 21 HSCs and improvement works in 35 PHCs and 70 HSCs for Rs.5.65 Crores have been completed by TNMSC in Madurai & Theni Districts.   (ii) Regional Diagnostic Centres   TNMSC has established 7 Regional Diagnostic centres in the State (Building and Equipment) at Thiruvannamalai, Villupuram, Pudukottai, Virudhunagar, Ramanathapuram, Nammakkal and Tiruppur at a total cost of Rs.21.00 Crores funded by the Government of India. (iii) Accident and Emergency Ward (Trauma Care Centre) Construction and procurement of equipments for the Accident and Emergency ward at Ambur, Krishnagiri, Tindivanam, Sriperumbudur and Kovilpatti have been completed at a cost of Rs.2.93 Crores provided by the Home Department.

37. Consultancy Services • TNMSC is a Role Model for other states of India on Drug Logistics and Warehousing. • TNMSC has taken up and completed the consultancy project for the preparation of Feasibility report for Andhra Pradesh. • Govt. of Rajasthan has entrusted preparation of feasibility report to TNMSC. Draft Final report submitted to Govt. of Rajasthan. • Training course on Drug Logistics and Warehousing has been conducted for Pharmacists, H & FW department , Govt. of Karnataka during May 2003 and for Pharmacists, H & FW department , Govt. of Assam during June 2004.