Drug Inventory Management Using the ABC-FSN Analysis: A Case Study of Saweangha Hospital

Abstract

Objectives: To study the classification of drugs based on inventory value and consumption rate, and to provide a guideline for improving the efficiency of drug inventory management using the ABC-FSN tool. Method: This research was a quantitative study applying the ABC-FSN analysis to analyze and prioritize drug inventory. The study collected data on medication use in fiscal year 2024, including inventory value, consumption rate, and the number of months each item was depleted. Subsequently, the drug items were grouped as follows: Group A comprised 10–20% of the total number of items and accounted for 70–80% of the total inventory value; Group B items comprised 20–30% of the total number of items and accounted for 10–20% of the total inventory value; and Group C items comprised 70–80% of the total number of items and accounted for 5–10% of the total inventory value.  Group F items were those moved or used 8 to 12 times per year. Group S items were those used 2 to 7 times per year. Group N items were those used once per year, or in some cases were moved at all. Results: In the fiscal year 2024, the drug inventory consisted of 294 items, including 280 items in the National List of Essential Medicines (95.2%) and 14 non-essential drugs (4.8%). The total inventory value was 1,467,933.0 baht, with total drug usage at 10,018,905.7 baht. The ABC-FSN analysis revealed that the AF, BF, and CF groups accounted for 9.5%, 15.6%, and 23.5% of the total items, respectively, and representing of

67.7%, 18.1%, and 5.4 % of annual consumption value, respectively. Drugs in the AS, BS, and CS groups accounted for 0.7%, 2.7%, and 32.0% of the total items, corresponding to 1.7%, 3.0%, and 3.5% of annual consumption value, respectively. Drugs in the AN, BN, and CN groups accounted for 0.0%, 0.7%, and 15.3% of the total items, representing 0.0%, 0.5%, and 0.2% of the annual consumption value, respectively. Conclusion: For the management of AF, BF, and CF items with a high utilization rate, the quantity of stock and the frequency of procurement should be properly monitored and managed to prevent stockouts. As for AS and AN items with the next highest total inventory value and low turnover rates, they should be managed with lower priority by reducing unnecessary buffer stock, extending stock-taking intervals, and ordering only when necessary, in order to reduce carrying costs and the risk of losses due to expired medications. For the CN group with a low value and infrequent movement, efforts should be made to minimize both the number of items and the total value of this group as much as possible.