ABC analysis in hospitals of NCT of Delhi :

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ABC analysis in hospitals of NCT of Delhi
Impact of drug policy Khanna N, Tekur U,
Bhooi N and Bapna J S Deptt. of
Pharmacology, UCMS and MAMC , Delhi IIMHR ,
Jaipur
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Introduction

• The Delhi Drug Policy was implemented in 1994-95.
  Before this, essential drugs were not readily
  available in Delhi hospitals.
• Drugs available in the hospitals were not cost
  effective.
• Unnecessary medicines, including herbal drugs
  were stocked.
• EDL was published in 1994. Pooled procurement of
  drugs in all the Govt. hospitals started from
  1995.
• EDL has been revised every two years. 2002 was
  the latest one. Work is on for 2004.

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Study Aims

• To conduct an ABC analysis of all the drugs
  procured in three hospitals of Delhi.
• LNH Lok Nayak Hospital
• DDUH Deen Dayal Upadhyay Hospital
• LBSH Lal Bahadur Shastri Hospital

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Methods

• Prior permission was obtained from Director
  Health Services, Delhi and MS of all the three
  Hospitals.
• Retrospective data was collected for the years
  1993-94 and 1994-95 (pre-implementation period)
  and 2000-01 and 2001-02 (post implementation
  period). Details of data collected included name
  of drugs, dosage form, quantity procured and the
  total cost incurred by the hospital.
• The drugs were further categorized as those
  belonging to the EDL of NCT of Delhi or not part
  of this EDL.
• Data was subsequently analyzed according to ABC
  analysis.

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ABC Analysis

• Examines the annual consumption of drugs
  expenditures for procurement
• Divides the drugs consumed into 3 categories
• Class A (10 of items 75 of exp)
• Class B (15 of items 15 of exp)
• Class C (75 of items 10 of exp)

Uses of ABC

• Degree to which actual consumption reflects
  public health needs
• Reduce inventory levels and costs
• Seek cost reductions by finding lower prices on
  class A items
• Ensure that large orders of class A items are
  handled expeditiously

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Features of ABC Items
C
B
A
Low
Moderate
High
Consumption Value
Low
Moderate
High
Control
Bulk ordering
One in 3 months
Frequent ordering
Ordering
Decentralized
Combination
Central
Purchasing
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Procurement pattern of Drugs in Delhi
hospital(1993 to 2002)
EDL Procurement
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ABC of LNH
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ABC of DDU
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Non EDL drugs in LNH in Class A
Pre drug Policy No of EDLs 12
Post drug Policy No of non EDLs 6
Non EDL drugs in DDU in Class A
Pre drug Policy No of EDLs 6
Post drug Policy No of non EDLs 3
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Non Essential drugs (LNH)A Class
Non Essential drug (DDU)A Class
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Budget on EDL for LNH DDU
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Number of Patients Treated in LN DDU
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Stocks outs Pre Post drug policy
LNH
DDU
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Summary

• ABC analysis was done to determine the impact of
  Drug Policy in Hospitals of Delhi.
• There was an increase in the age procurement of
  drugs from the EDL after the implementation of
  drug policy.
• Number of Non EDL drugs in the Class A
  category has reduced after the implementation of
  the drug policy
• Stock outs have decreased
• Implies increased availability of drugs
• Improved service delivery
• Leading to economic gains for the hospital

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Conclusions and Policy Implications

• Drugs which appear very commonly in A Category
  should be included in the EDL.
• Large amount of money has been spent on procuring
  Cefotaxime in all the hospitals. This could be
  taken into consideration while updating the EDL
  in future.

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Thank
You
We are grateful toProf. R.R. Choudhary,
President DSPRUD WHO India EDP for providing
financial assistance.