P romoting Transparency and Good Governance in  Procurement and Supply Management   28 February, 2007 DfID Expert Consulta...
Global Fund Principles <ul><li>Financial institution not an implementing agency </li></ul><ul><li>Performance-based fundin...
T he Global Fund’s approach to P rocurement and Supply  M anagement <ul><li>Principles and minimum standards, not detailed...
Key document s :  Guide  to the Global Funds ’s Policies on  PSM <ul><li>Outlines all GF’s PSM Policies and principles </l...
Key document s :  (2) Guide to Writing a PSM Plan <ul><ul><li>Describes PR’s  institutional capacity  for PSM and elements...
PSM plan: Institutional capacity   <ul><li>Procurement policies and systems </li></ul><ul><li>Adherence to Interagency Gui...
Review and monitoring of the PSM plan and activities <ul><li>Local Fund Agent (LFA) </li></ul><ul><ul><li>Assess PR’s capa...
Price Reporting Mechanism <ul><li>The PRM keeps  track of purchase  information for  medicines procured with GF resources....
Price Reporting Mechanism (PRM) <ul><ul><li>PRM allows the PRs to maintain secure records of its own procurement activity,...
Conclusion <ul><ul><li>GF’s commitment to transparency with broad range of information available on the website </li></ul>...
Procurement and Supply Management  http://www.theglobalfund.org/en/about/procurement/
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Promoting Transparency and Good Governance in Procurement and ...

  1. 1. P romoting Transparency and Good Governance in Procurement and Supply Management 28 February, 2007 DfID Expert Consultation Meeting on MeTA Sophie Logez Procurement Team
  2. 2. Global Fund Principles <ul><li>Financial institution not an implementing agency </li></ul><ul><li>Performance-based funding </li></ul><ul><li>Support programs that reflect national ownership </li></ul><ul><li>Operate transparently with accountability </li></ul><ul><li>Evaluate proposals through independent review process </li></ul><ul><li>Use of Local Fund Agent as an accountability mechanism </li></ul>
  3. 3. T he Global Fund’s approach to P rocurement and Supply M anagement <ul><li>Principles and minimum standards, not detailed procedures </li></ul><ul><li>Build upon existing systems </li></ul><ul><li>Expanded definition of Procurement: How products arrive in a country and what happens to them subsequently </li></ul><ul><li>PR responsible for all PSM activities (whether directly implemented or sub-contracted). </li></ul>
  4. 4. Key document s : Guide to the Global Funds ’s Policies on PSM <ul><li>Outlines all GF’s PSM Policies and principles </li></ul><ul><ul><li>Procure quality assured products at the lowest possible price </li></ul></ul><ul><ul><li>Adhere to National and International Laws </li></ul></ul><ul><ul><li>Conduct procurement in a transparent and competitive manner </li></ul></ul><ul><li>Based on Global Fund Board decisions </li></ul><ul><li>Outlines what PR’s need to do </li></ul>
  5. 5. Key document s : (2) Guide to Writing a PSM Plan <ul><ul><li>Describes PR’s institutional capacity for PSM and elements of PSM cycle </li></ul></ul><ul><ul><li>Use of existing data and systems </li></ul></ul><ul><ul><li>Development of PSM should be started early: bottleneck for many PRs </li></ul></ul><ul><ul><li>Include annexes with information on products to be procured (e.g., quantities, estimated prices, inclusion in WHO EML, Patent status etc.) </li></ul></ul>
  6. 6. PSM plan: Institutional capacity <ul><li>Procurement policies and systems </li></ul><ul><li>Adherence to Interagency Guidelines on Good </li></ul><ul><li>Pharmaceutical Procurement (WHO 1999) </li></ul><ul><ul><li>Competitive bidding </li></ul></ul><ul><ul><li>Transparent and accountable practices </li></ul></ul><ul><ul><li>Appropriate quality assurance mechanism </li></ul></ul><ul><li>Quality assurance system </li></ul><ul><li>Global Fund Quality Assurance policy </li></ul><ul><ul><li>Multi-Source Pharmaceutical Products </li></ul></ul><ul><ul><li>Single and Limited-Source Pharmaceutical Products </li></ul></ul><ul><li>Quality control activities </li></ul>
  7. 7. Review and monitoring of the PSM plan and activities <ul><li>Local Fund Agent (LFA) </li></ul><ul><ul><li>Assess PR’s capacity to manage PSM </li></ul></ul><ul><ul><li>Monitor implementation of the PSM plan </li></ul></ul><ul><ul><li>Provide recommendations to the GF Secretariat </li></ul></ul><ul><li>The Global Fund will decide on PSM strategy: </li></ul><ul><ul><li>All PSM activities will be managed by the PR </li></ul></ul><ul><ul><li>Subcontract certain PSM activities </li></ul></ul><ul><ul><li>Subcontract PSM activities to a Procurement Agent. </li></ul></ul>
  8. 8. Price Reporting Mechanism <ul><li>The PRM keeps track of purchase information for medicines procured with GF resources. </li></ul><ul><li>It is a requirement to enter procurement data for the following health products in the PRM before making subsequent Disbursement Request : </li></ul><ul><ul><ul><li>ARVs, </li></ul></ul></ul><ul><ul><ul><li>TB medicines, </li></ul></ul></ul><ul><ul><ul><li>ACTs, </li></ul></ul></ul><ul><ul><ul><li>Bed nets, </li></ul></ul></ul><ul><ul><ul><li>Condoms. </li></ul></ul></ul>
  9. 9. Price Reporting Mechanism (PRM) <ul><ul><li>PRM allows the PRs to maintain secure records of its own procurement activity, and also to compare with activities of other PRs . </li></ul></ul><ul><ul><li>The real-time information help the Secretariat to keep track of procurement prices, supplier performance, product quality, and overall procurement efficiency of country operations. </li></ul></ul><ul><ul><li>The system allows PRs to have full access to these information from their respective countries over the Internet. </li></ul></ul>
  10. 10. Conclusion <ul><ul><li>GF’s commitment to transparency with broad range of information available on the website </li></ul></ul><ul><ul><li>Public is able to track progress of programmes </li></ul></ul><ul><ul><li>Follow up with Price Reporting Mechanism for prices, purchase, supplier performance and quality assurance </li></ul></ul>
  11. 11. Procurement and Supply Management http://www.theglobalfund.org/en/about/procurement/

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