Capability Advancement

What we measure

Capability Advancement in the Pharmaceutical Supply Chain

Improving the local supply chain capabilities in the Index Countries is essential to improved ATM. Drug supply chain problems in Index Countries include drug diversion, depleted inventories, inadequate cold chains, and counterfeit products. While advancements in several of these areas fall outside the contractual responsibilities of the companies, they would directly benefit from better distribution networks in Index Countries. International efforts to address such challenges include work by the (WHO) through the International Medical Products Anti-Counterfeiting Task Force (IMPACT) and the work of Medicines Transparency Alliance (MeTA) in improving the capacities and transparency of several Index Country governments.

Stock-outs in health dispensaries and hospitals are a frequent occurrence, especially in more rural areas of the Index Countries, and pose a major barrier to access, Index Countries. For example, in Malawi, it is estimated that only 10% of health dispensaries and government facilities are well-stocked with anti-malaria and HIV medicines.

Along with weak supply chains, Index Countries also lack sufficient monitoring of adverse drug reactions (ADR) and effective pharmacovigilance systems. Only about 27% of LHDCs and MHDCs have national pharmacovigilance programs registered with the WHO, compared to approximately 96% of OECD countries. Originator companies can contribute both resources and expertise to improve IC pharmacovigilance systems.

Capability Advancement in Manufacturing Quality

Pharmaceutical companies can help ensure the quality of medicines in Index Countries through different mechanisms. Such mechanisms include:

  • Demanding high standards licensees and contract manufacturers
  • Engaging in effective technology transfer
  • Assisting licensees in obtaining quality management systems that conform to international quality standards. Such standards include FDA, EMA, and WHO Good Manufacturing Practices.

WHO’s Global Strategy on Plan of Action on Public Health, Innovation, and Intellectual Property (GSPOA) brings together a number of strategies to support better manufacturing and distribution in Index Countries. Under this area the contributions of the companies to addressing the challenge of low quality production in the Index Countries are evaluated.

Capability Advancement in R&D

Improving the local R&D capabilities of Index Countries can play a significant role in the development of tailored remedies for IC environments through adaptive research. Pharmaceutical companies can help build capacity in this area by engaging in public private partnerships with IC research organizations, supporting the R&D capabilities of university students through grants, and partnering with academic institutions. Such efforts may not only serve to improve ATM in the Index Countries, but along with better ATM, these efforts could help hold down R&D costs for IC needs and help companies better understand IC market conditions.