© UNICEF/Lister

Anthropometric Equipment: Procurement Update Rob MatthewsHealth Technology CentreNovember 5th 2019

Presentation Overview• Commodity Portfolio shift from the Medicines & Nutrition

Centre (MNC) to the Health Technology Centre (HTC)

• Introduce the Medical Device Unit (MDU)

• HTC Procurement approach for Medical Devices

• Tender Overview and Outcome

2

• Product Portfolio review undertaken as part of the 4 year Strategic Plan (OMP 2018 – 2021)

• Anthropometric Equipment reallocated under HTC following Realignment of Products within Technical Expertise Areas

Commodity Portfolio shift from MNC to HTC

Anthropometric Equipment: Procurement Update – UNICEF | for every child3

Health Technology Centre – Supply Division

Health and Technology Centre Abdallah Makhlof– Chief

Malaria Preventionand Diagnostics Unit

Lama Suleiman – Contract Manager

Medical Devices Unit

Robert Matthews – Contract Manager

Cold Chain Unit

Thomas Sorensen – Senior Contract Manager

SUPPLY DIVISIONEtleva Kadilli – Director

SUPPLY PROGRAMMESHanne Bak Pedersen– Deputy Director

Medical Devices Unit Product Portfolio

• Safe Injection Devices:• Auto-Disable Syringes for immunization• Re-Use Prevention, and Disposable syringes• Safety boxes and Biomedical waste incinerators

• Hospital and Medical Equipment, Hospital Furniture• Neonatal Intensive Care Unit Equipment• Obstetric care and Post-partum care of the mother• Oxygen Systems• Anthropometric Equipment• Emergency Health Kits, • Personal Protective Equipment (PPE)• Standard Kits, Country specific kits

Demand Profile by Material Group

• Safe Injection Equipment

• Emergency response

• Kit packing• Specific Projects• General Medical

requests+Anthropometric Equipment

Demand Profiling – Demand for MDU products700+ procured by SD MDU in 2013-2017 period.

10 products make up 50% of the procurement value.

Our Challenge lies in the diversity of the demand.

Technical specifications and materials management are required for each of our standard products

Looking at the overall numbers and volumes we need to apply a risk informed approach.

Source: ZPOX GP 105 Proc 2013-2017

How do we service our demand?

Medical Device Supply: 2017 Approach

Medical Equipment, Devices and Consumables

116 LTAs

439 TOTAL of Materials (z2, z7, z8)

Safe Injection Equipment

13 LTAs

63 TOTAL of Materials (z2, z7, z8)

• 51 tenders (Average 2.3 LTAs per tender) – High tender workload. Most of the times same strategy – i.e. 2 LTAs per material

• Number of materials per LTA• Average: 3.7 materials per LTA• Many LTAs with only few materials – High workload for

stablishing the LTAs, placing orders and contract management

• 7 LTAs with +20 materials, 14 LTAs with 10-19 materials, 97 (!) LTAs with less than 10 items (Out of those 25 LTAs with only 1 material)

• 72 different suppliers – High supplier management workload(Average 1.6 LTAs per supplier)

• 53% USD value (2013-2018 ZPOX)

• 3 tenders. 1 Principal Tender, 2 ad hoc• Number of materials per LTA

• Average: 4.8 materials per LTA• One LTA with 15 items, rest below 10 items (3 LTAs with

only 1 item)• 9 different suppliers (Average 1.4 LTAs per supplier)• 47% USD value (2013-2018 ZPOX)

As at April 2018

406

Materials description

116

LTAs

63

Suppliers

21

Countries

813

Contracts lines

46

Materials groups

Medical Equipment Supply Agreements: 2017 Outcome

Source ZLTAM, As at April 2018

Materials Management

• Review of Existing Materials• Simplifying the Materials Grouping &

cleaning the Material Master

Parameters considered when establishing a new Tender Schedule

Reviewing the full range of products, considering:

• Number of Products per Tender

• Value of Products (prior procurement value)

• Priority Product groups

• Scope of products

• Market Development of the product – Stable or Innovative?

• Duration of resultant LTA

• Strategic nature of the product – SIE, Emergency (incl HEPI), Kit component, Other grouping?

• Product Risk (to recipient/use) and complexity

• Program area of the product

• Demand profile (Warehouse, Direct shipment, DOA)

• Demand profiles in terms of volumes and order frequency

• Historic sourcing of products – manufacturer or wholesaler

• Supplier catalogues

• ….

Tender Plan

• Each Tender Scope has been defined considering the 22 parameters identified relevant to the specific scope of commodities included

• Regrouping of products from 51 to 19 Tenders

• Applying a risk informed approach

• Allocating the workload across the technical staff

Tender profile by Value Tender profile by No of Materials

Anthropometric Tender 2019

• MDU undertook an analysis on the previous supply approach for Anthropometric equipment

• 7 different bid tenders were launched • Resulting in 15 Long Terms Agreement signed with 9 different suppliers • LTAs offtake of this equipment is on average USD 6,092,186.90 • Expiry date on July / August / October 2019

• RFP-DAN-2019-502959 issued in February included 13 standard materials numbers and 2 non-standard materials numbers – to propose alternatives products & to propose a list of accessories & spare parts

Anthropometric Tender 2019 Outcome

• Prior Rounds: 13 materials / equipment were tendered in 7 different bids resulting in 15 Long Terms Agreement signed with 9 different suppliers.

• Current: 13 materials / equipment were tendered in one bid resulting in 6 Long Terms Agreement signed with 6 different suppliers.

• Utilisation of an Electronic Bidding Platform.

• Positive trends regarding number of sources, lower price and shorter lead time of the recommended products compared with the result of the previous tenders.

• Regarding the number of sources per item in previous tenders 7 items had only one source; this number has been reduced and now 4 items have one source.

• In regards of lowest price, 5 items have reduced the price while the ones that have increased represent an improved version of the item in terms of Technical Specifications and can have a positive impact in terms of reduced lead times.

© UNICEF/SUDA2014-XX228/Noorani

Thank You