Analysis of Hospital Supply Chain and Procurement Practices and Providing Recommendations on Optimal PracticesMarch 1, 2009 - April 1, 2009
Located in the rural Kumi district of Eastern Uganda, Kumi Hospital was originally founded as a leprosy center by the Church Missionary Society in 1929. In 1997 Kumi Hospital started offering outreach programs and outpatient care for a wide range of medical conditions. It has 350 beds and is a leading healthcare provider in the region. Kumi operates as a non-profit entity with the intent to provide affordable care to all those who require it. The hospital recovers about 37% of its expenses through patient fees and depends upon international donors, the Ugandan government and other activities as other sources of revenue. A team was engaged in a cost-cutting project that required analyzing the hospital’s current supply chain and procurement of goods. The hospital’s supply chain system included external procurement and internal distribution of goods in the following areas: Drug Procurement, Drug Distribution, Food Procurement and Central Store, Transportation, Orthopedic Workshop and Approval Process.