Guide to Drug Financing Mechanisms
(1998; 64 pages) [French] [Spanish]
Table of Contents
View the documentForeword
View the documentAcknowledgements
Open this folder and view contentsIntroduction
Open this folder and view contentsChapter 1. Selection
Close this folderChapter 2. Procurement
Open this folder and view contentsObjective of procurement
Close this folderProcurement strategies
View the documentBlind confidence
View the documentSystematic distrust
View the documentCooperation
View the documentConstraints on procurement strategies
Open this folder and view contentsOrganization and structures
View the documentProcurement: important points
Open this folder and view contentsChapter 3. Distribution
Open this folder and view contentsChapter 4. Prescribing
Open this folder and view contentsSummary: contributions and limitations of the economic approach
View the documentReferences
View the documentSelected WHO publications of related interest
View the documentBack cover
 

Procurement strategies

Drug procurement strategies must allow for uncertainties about the quality of the drugs that will be delivered, delivery dates and the price that will be paid. These uncertainties are largely due to the strategic behaviour of the suppliers. Various procedures for procurement (adjudication, tendering, mutual agreement, direct purchasing) are legally defined. These procedures seek to preserve the interests of the purchasing agency in relation to suppliers and in relation to its own procurement staff. The protection of collective public interests in relation to procurement personnel is examined in the next section. Here we examine procurement procedures in terms of the economic strategies they imply.

Of several possible strategies of procurement, we here discuss three simplified patterns found in practice: blind confidence, systematic distrust and cooperation. Strategies in reality are more complex and are often implicit.

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Last updated: May 3, 2013