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Supplier Relationship Management

Strengthening Public Health Supply Chains Through Integration: A Case Study from Nigeria and Kenya


Intermediate
EN
30-60 mins
Article

Context

This case study is based on practical implementation guidance shared during Health Procurement Africa’s (HPA) Ask the Expert webinar on supply chain management. The session presented applied approaches from Nigeria and Kenya, delivered by public health supply chain experts, illustrating how public-sector health systems can strengthen supply chain performance through integration, governance, and digital systems.

Watch the full Ask the Expert webinar recording here.

Introduction

Public health supply chains are complex systems involving the flow of commodities, information, and finances across multiple stakeholders. In many countries, these systems have historically developed as fragmented, programme-specific supply chains, leading to inefficiencies, duplication, and increased costs.
This case study examines how Nigeria and Kenya have taken a structured approach to redesign its public health supply chains by moving towards an integrated system that improves efficiency, reduces waste, and enhances service delivery.

Supply Chain Management Framework

Component

Purpose

Commodity Flow

Ensures timely movement of medicines and health products

Information Flow

Enables forecasting, monitoring, and decision-making

Financial Flow

Supports procurement, payments, and resource allocation

 

Effective supply chain management requires all three flows to operate in coordination.

Case Application: Integrating Nigeria’s Public Health Supply Chain

Nigeria historically operated a vertical supply chain model, where different health programmes—such as malaria, HIV, and family planning—maintained separate procurement and distribution systems.

A national assessment identified significant inefficiencies, including multiple national warehouses for individual programmes, high operational costs due to duplication, and multi-tier distribution systems causing delays in delivery.

To address these challenges, Nigeria implemented a transition towards an integrated supply chain model.
Under this model, commodities move from national warehouses to zonal hubs, which distribute directly to health facilities, reducing distribution tiers and improving efficiency.

Key Supply Chain Reform Components

Reform Area

Purpose

Policy and Strategy Alignment

Provides national direction for integrated supply chain operations

Governance and Coordination

Aligns stakeholders across programmes and sectors

Capacity Building

Strengthens human resources managing supply chains

Digital Systems (LMIS)

Enables real-time visibility and data-driven decision-making

 

Digital Systems and Supply Chain Visibility

A key enabler of the reform was the introduction of a unified Logistics Management Information System (LMIS).

This system allows health facilities to report consumption and stock levels, enables monitoring of commodity availability, supports forecasting and quantification, and allows early identification of stock-outs.

Digital tools were complemented by paper-based systems where infrastructure limitations existed, ensuring nationwide participation.

Case Application: Kenya’s Supply Chain Strengthening Approach

Kenya operates a devolved health system with 47 counties responsible for service delivery, creating a complex supply chain environment.
The Kenya Medical Supplies Authority (KEMSA) plays a central role in procurement, warehousing, and distribution of health commodities across the public sector.

Kenya has strengthened supply chain performance through alignment of procurement planning with local needs, supported by training and capacity building across counties.

A key feature of the Kenyan system is the use of digital logistics management information systems (LMIS), enabling facilities to order commodities based on real-time data and available funding.

The system also integrates multiple health programmes, allowing facilities to access a wide range of products through a central platform, improving efficiency and availability.

Implementation Challenges

Despite progress, several challenges were encountered, including infrastructure constraints affecting last-mile delivery, sustained financing requirements, human resource turnover, and partial programme integration.

Lessons Learned

The experience of Nigeria and Kenya highlights that integration reduces duplication and improves efficiency, data visibility is critical, strong governance is essential, and change requires sustained stakeholder engagement.

Conclusion

Transitioning from fragmented to integrated supply chains enables public health systems to improve efficiency, reduce costs, and enhance access to essential medicines. The experience of Nigeria and Kenya demonstrates how coordinated reforms can strengthen supply chain performance and support national health objectives.