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Two New Publications Explore the Benefits of Vendor Managed Inventory
August 09, 2012

What is vendor managed inventory (VMI) and what types of VMI models are suitable for public health supply chains? How do you know if VMI is suitable for your supply chain and how can you select and implement a specific model?

Two new USAID | DELIVER PROJECT publications are available to help answer these questions. They are the result of extensive research on how to adapt VMI models for public health supply chains.

Vendor Managed Inventory: Is It Right for Your Supply Chain? is a technical brief that introduces key VMI terms and theories.  

Selecting and Implementing Vendor Managed Inventory Systems for Public Health Supply Chains: A Guide for Public Sector Managers   illustrates how to identify opportunities for VMI and suggests how to select and implement VMI in public health supply chains. A self-scoring tool is included.

VMI is a common practice in commercial sector supply chains as a task shifting approach to improving supply chain performance. Under VMI, the supplier of commodities (the vendor) takes on the extra responsibility of managing the stock levels (inventory) for their customers. The vendor makes decisions on both the timing and quantity of stock to be resupplied to the customer. This simple shift in decision rights has often led to tremendous benefits for both the customers and the vendor.

For more information, email askdeliver@jsi.com.

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