World-Class Warehousing MMD Vision for 2011 Presented by: Engr. David Masiado, Jr.

Problem How can we Prevent the deterioration of drug quality in warehouses Speed up warehouse receiving and shipping Improve warehousing skills Know which warehouses have how much of what products Motivate LGU to improve their stock rooms Assess warehouse performance

Assessment highlights on CHD’s Warehouses and 16 Provinces Structure (Poor physical condition) Inadequate handling Units/Equipment Lack of training of personnel Reporting/Recording/Forms used, varies from one CHD to another

The Warehouse Improvement Plan The MMD roadmap to world-class warehousing

Facilities and equipment upgrading Procurement funded by EC P3.9M worth of equipment and supplies for Central Office warehouses P8.6M worth of equipment and supplies for 17 CHD warehouses Preventive maintenance of all facilities and equipment

Express receiving and shipping Cross-docking A Wal-Mart, world-class practice now being practiced by the MMD Receive and ship on the same day Shorter transit time, reaches the end-users faster Warehouse Management Manual (WMM) How-to guide to effective and efficient management of DOH warehouses With minor changes, can also be used by LGUs

Empowered warehouse staff Training on WMM Trainers’ training Central to CHD technology transfer CHD to LGU technology transfer Short Course Education on Warehousing De la Salle Graduate School of Business

Information and inventory Warehouse management system (WMS) software Simplify warehouse operations, can generate automatically needed reports Provides inventory accuracy and warehouse order cycle time Facilitate hands-free and paperless activities.

Information and inventory Inventory tracking systems Radiofrequency identification (RFID) system System for transmitting information through radio- frequency signals, e.g., E-Pass Pilot-test in collaboration with the Global Fund, the IUALT, and the Health Sciences Department of Ateneo for TB Drugs Kit Barcode scanning

World-class LGU stock rooms LGU Performance Scorecard Motivation to improve Indicators based on best warehouse practices

Measuring warehouse performance Warehouses measured on processes of Receiving Put-away Storage Order-picking Shipping Information systems Displayed in an easy-to-understand chart

Warehousing practices gap analysis

Samples - MMD

Counterpart of CHD’s Infrastructure (Rehabilitation of Existing Warehouse) Coordinate with LGU to also improve their warehouse To get LGU’s inventories and reported to Central Office(DM No ) Encourage LGU’s to make request of their needed logistics(Pull demand system)

Conclusion We have a vision We have a plan We need your support