Use of Incentives in Health Supply Chains: A Review of Results-Based Financing in Mozambique’s Central Medical Store

Resource Type: Report
Authors: Cary Spisak and Lindsay Morgan
Published: 9/1/2014

Resource Description:

Cover Page: Use of Incentives in Health Supply Chains A Review of Results-Based Financing in Mozambique’s Central Medical StoreSupply chains are the foundation of any health system. For health supply chains to work—for the right goods to be received and delivered in the right quantities, in good condition, to the right place, at the right time, for the right cost—countless actors working in different locations with different responsibilities need to be motivated to do their part. They must be held accountable for doing so. These actors—from central-level planners and procurement specialists, to regional warehouse and transportation teams, to local storekeepers and service providers—depend on each other for timely and accurate information and a reliable supply of goods. One break in the chain, one delay, can have repercussions throughout the system, ultimately determining if families can access life-saving medicines and commodities.

This report reviews progress with a results-based financing (RBF) program in Mozambique aimed at strengthening the supply chain, specifically the performance of the Central Medical Store. Introduced in 2013 by USAID, the performance-based government-to-government grant conditions payment of quarterly tranches of funds to the Central Medical Store, (Central de Medicamentos e Artigos Medico [CMAM]), on results related to planning, distribution, and warehouse management.

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