Development of Indicators for Evaluating Drug Procurement and Drug Inventory Management in A Provincial Level of NE, Thailand

Abstract

Introduction: The United States Agency for International Development (USAID) developed Key Performance Indicators (KPIs) of drug procurement and inventory management that were categorized into 4 categories. They were 1) quality performance 2) cycle time performance 3) financial performance and 4) productivity performance. The Ministry of Public Health (MOPH), Thailand, currently used KPIs of drug procurement and inventory management covered only 3 categories except productivity performance. Objectives: To develop KPIs and use to evaluate drug procurement and drug inventory management. Materials and Method:  1) Developing a set of drug procurement and inventory management KPIs from  literature reviews and expert opinions. 2) Evaluating drug procurement and drug inventory management among seven government hospitals (six community hospitals and one general hospital) in a province of northeast, Thailand. The study was done between May - November 2016. Results: 1) Total 35 drug procurement and inventory management KPIs were developed and covered of 4 categories. Ten of 35 indicators were already defined by MOPH and 12 of additional 25 KPIs could be promptly retrieved and used Microsoft Excel to analyze from each hospital's database. 2) The study found that all hospitals could not pass the 8 KPIs that were in the categories of quality, cycle time, and financial performance. Conclusion: The 35 KPIs in this study included MOPH KPIs and covered 4 categories are comprehensive to improve the performance of drug procurement and inventory management. It is conveniently use and be interpreted easily.