Lynn C. Fritz Medal for Excellence in Humanitarian Logistics 2023: International Medical Corps

LOGISTICS HALL OF FAME
MAGAZINE SPECIAL
THE LYNN C. FRITZ MEDAL
FOR EXCELLENCE
IN HUMANITARIAN LOGISTICS
www.logisticshalloffame.net November 2023
The
winner
is
International
Medical
Corps

Winner Lynn C. Fritz Medal for Excellence in Humanitarian Logistics
Page 20

Winner Lynn C. Fritz Medal for Excellence in Humanitarian Logistics
Game Changer
Software
International Medical Corps receives the
Lynn C. Fritz Medal for Excellence in Humanitarian Logistics 2023
for an innovative IT project.
Karnak, Luxor Temple, Valley of the Kings:
Every year, thousands of tourists take a
Nile cruise to visit the famous sights along
the northern part of the world’s longest
river (6,650 kilometers). As a rule, none of
these Africa fans get further than Aswan.
They all stay in Egypt. Further south, there
are no motifs for the photo album. South
Sudan is not a tourist stop. Conflict and
instability do not attract visitors. Rather,
the drought-stricken, poor country is a
destination for humanitarian organizations.
Some 4,9 million people are in
need of humanitarian aid. Food, medicine,
clean water — everything is lacking.
One of the humanitarian organizations
active in this country is International
Medical Corps. Its approximately 8,000
employees have provided disaster relief in
more than 80 countries since its founding
in 1984. South Sudan is currently a priority
country for the organization, which is
based in the USA. And there, where living
conditions are extremely poor and the
infrastructure particularly dilapidated,
International Medical Corps has tested
an internally developed software, the
Pharmaceutical Information Management
System (PIMS), for the last mile of
supply-chain management and attracted
worldwide attention with the results.
The results also attracted the attention of
the 16-member jury of the Lynn C. Fritz
Medal for Excellence in Humanitarian
Logistics. The medal is awarded by the
Logistics Hall of Fame and sponsored by
the San Francisco-based Fritz Institute.
International Medical Corps will be the
first organization in the world to be awarded
this medal, which was established in
2023. That’s because it is using PIMS to
solve a key problem for all humanitarian
organizations: the procurement, tracking
and dispensing of medicines, steps that
until now have been documented and
managed primarily on paper.
Before the tool was developed, the last
mile of the pharmaceutical supply chain
was producing mountains of paper. For
example, consider a pharmacy that serves
500 patients a day. For each prescription,
more than 40 pieces of information must
be recorded. That means that from the
time the medication is received at the
warehouse to the day it is dispensed
to 500 patients, 20,000 pieces of data
would be recorded. The mammoth task
for the pharmacists? All that data must
be digitized and forwarded to a central
location for analysis and replenishment.
“This takes weeks, and it’s impossible to
quickly gain insights from this data to
reduce costs or improve performance,”
reports David Alarcon, Vice President
of Corporate Finance at International
Medical Corps. “Managing supply chains
Seite Page 21

Winner Lynn C. Fritz Medal for Excellence in Humanitarian Logistics
1 2
3
4
with paper and Excel is like driving a car
while looking in the rearview mirror.”
In 2015, International Medical Corps decided
that the time of paper mountains
must end. A team searched for solutions
on the market—in vain. The software
tools it found were either very expensive
or unsuitable for use in disaster relief. So
in 2018, the organization made the decision
to develop a solution internally.
Unlike other organizations or companies
in which a manager delegates a project
from the top down, International Medical
Corps chose a bottom-up approach: in
concrete terms, this means that employees
from the entire organization participate—pharmacists,
logisticians, doctors,
technicians and experts from the finance
and legal departments. The advantage
of this approach is that the combined
knowledge of everyone involved in the
process is used in product development.
“We developed PIMS to meet the diverse
organizational needs that cover
the lifecycle of a product, from planning,
procurement, transportation and
storage, to dispensing to beneficiaries,”
Alarcon explains. From his perspective,
the ability to ensure that the right medicines
were available at health facilities
in the right quantities, properly prescribed
and dispensed, was overdue. All
of these factors can significantly affect
the quality of health services for patients.
Better outcomes strengthen trust in the
health system and ultimately lead to
lower mortality.
International Medical Corps relied on
proven technologies to develop the system.
With the help of scanners, barcodes
on the medicines are captured, and basic
information about the items and the
transactions is transferred into the system.
PIMS uses simple, user-friendly interfaces
so that users can easily enter relevant
supply-chain information and basic patient
data while the system uses preset
algorithms in the background to augment
the collected data. This enables the system
to provide real-time statistical data
and generate alerts so that supply-chain
managers can take timely action and run
their projects more efficiently.
The results are impressive. Compared to
other solutions on the market, PIMS has
many unique features. One of PIMS’ key
differentiators is its ability to manage all
types of goods from the central warehouse
to the end-user, providing full visibility of
all movements of goods within the supply
chain in the last mile. Time-consuming
practices and procedures dominated by
manual spreadsheets are eliminated, resulting
in greater efficiency and accuracy
as well as streamlined operations.
Because PIMS enables accurate and efficient
data collection and timely, flexible
reporting, it increases process transparency
for physicians, supply-chain
managers and other staff, ministries of
health and funders. Importantly, it frees
up healthcare professionals to focus on
patient care. PIMS also helps users with
quantification, pharmacovigilance and
drug-utilization review when dispensing
medications.
Another plus is that the tool, which runs
in the cloud but also locally, can be easily
adapted to any language needed. PIMS
Seite 22

Winner Lynn C. Fritz Medal for Excellence in Humanitarian Logistics
5
1. On a trip to Geneva: (Left) Dr. Mohammed Zurga,
a non-IMC expert, (center right) David Alarcon and
(right) Dr. Yazeed Ayasra.
2. Scan it: At the medicine counter.
3. Dr. Yazeed Ayasra (second from left) in the field with a
pharmacy team that is using PIMS.
4. At the computer: Working with PIMS.
5. Easy going: Dispensing medicines using the PIMS
software.
6. The Lynn C. Fritz Medal is donated by the Fritz Institute.
6
currently runs in Arabic, English, French
and Somali. It is compatible with other
supply-chain systems and can be connected
to complementary software via
an integrated application programming
interface (API). The software also can
be easily adapted to any context and is
adaptable to existing processes in the
humanitarian and development sectors.
When International Medical Corps presents
its new system to experts from the
humanitarian sector, the reactions are
“overwhelmingly positive,” according to
Alarcon. He recalls a pharmacist saying after
the software presentation, “For us, using
PIMS would be like going from a cave to
a spaceship.” The Directorate-General for
European Civil Protection and Humanitarian
Aid Operations of the European
Commission (DG ECHO) in Brussels has
also commended PIMS, including the software
in its thematic strategy paper as an
“example of the best use of digital solutions
in the use of track and trace technology.”
There is praise and recognition from
many sides. The highlight in 2023: the
“Using PIMS is like
going from a cave to
a spaceship“
awarding of the Lynn C. Fritz Medal
for Excellence in Humanitarian Logistics.
The 16-member jury, which is providing
an award to an organization for
an excellent project for the first time in
2023, decided in favor of International
Medical Corps’ solution, which was developed
“by the sector for the sector and
by practitioners for practitioners,” as the
jury says in the citation. The panel is particularly
impressed by the “bottom-up
approach and the interdisciplinary teams
that have created a cost-effective system
that establishes maximum transparency
and efficiency in the pharmaceutical
supply chain.”
The international judges were also impressed
by the rapid spread of the system.
By mid-2023, PIMS is in use at 165 sites
in 16 countries. More than 1.7 million
prescriptions have now been processed in
the software and around 3 million items
have been distributed to those in need.
Also contributing to the judges’ vote are
the results evaluated in Jordan, South
Sudan and Yemen:
– PIMS reduces out-of-stocks and overstocks
to less than three percent.
– Inventory accuracy increases to 99.8
percent in the first month of use.
– Prescription time drops from an average
of four to five minutes to 41
seconds.
– Waiting time for those in need is reduced
from an average of 85 minutes
to 16 minutes.
– Dynamic, proactive alert system results
in 100 percent elimination of
drug interactions and incorrect dosing.
Recognition, pats on the back, a medal:
International Medical Corps is not
keeping its success to itself. The system
is being offered to other organizations.
Alarcon says: “We firmly believe that
PIMS is revolutionizing the way the last
mile is managed.” ∞
Seite 23

Interview
New global changes
David Alarcon, Vice President Corporate Finance at International Medical Corps
What do you see as the biggest challenges
facing humanitarian organizations?
David Alarcon: The biggest issues for
humanitarian organizations include
new global challenges such as the food
crisis, economic instability, extreme
poverty, urbanization, water scarcity
and energy security. In addition, there
is population growth and the impact
of climate change. Another challenge
is the potential for highly contagious
local public hazards and epidemics to
develop into pandemics.
What role does politics play in the projects?
Humanitarian work has become more
dangerous. And more people are suffering
because aid is not reaching them. There
are other barriers to access, including
sanctions-driven export regulations that
also contribute to limiting or delaying access
to vulnerable populations. Another
challenge is bridging the gap between
emergency aid and development assistance.
The latter is about longer-term
support that strengthens the self-reliance
of those in need.
What role does Climate change play?
It is literally bringing entire new regions
to the brink. Extreme weather events can
also lead to mass displacement, as people
migrate in search of new sources of food
and water, or safer living conditions.
Many humanitarian organizations are
setting up refugee camps. How good is
this aid?
The conditions in the refugee camps are
not always good. This growing need is
forcing humanitarian organizations to
stretch their already scarce resources even
further or make the difficult decision to
cut some programs to better help others.
This leaves vulnerable people without basic
lifesaving services. Because the challenges
humanitarian organizations face every day
are complex and interrelated, efficiency
and effectiveness are paramount. This is
where a system like PIMS can make all
the difference.
What needs to change?
Although many organizations have established
sound processes for procuring and
managing material resources, accurately
assessing needs and avoiding losses in the
last mile of the supply chain remains a major
challenge in an uncertain and changing
environment. A few improvements that
would advance humanitarian logistics
might include: a more adaptable supply
chain, better preparedness and stronger
partnerships with local organizations,
community support systems and other
actors in humanitarian crisis response.
What risks cannot be influenced by
stronger partnerships?
External supply-chain risks include
damaged transport routes, disrupted
markets, lack of warehouses, and a lot
more. With so many factors beyond the
control of organizations, it is critical to
build an adaptable supply chain that is
less vulnerable to unforeseen challenges.
Is good preparation crucial for the success
of projects?
Yes, preparation time is another area
that can be improved. In the run-up
to disaster operations, it is essential to
invest more time in building key partnerships
at the national and local levels.
Finally, building the capacity of national
and local organizations, and of local
communities, for effective supply-chain
management will help international
aid organizations rely on local staff in
countries of operation.
Why can’t SCM methods and solutions
from the commercial sector be transferred
to the humanitarian sector?
Best business practices from the commercial
sector cannot always be transferred to
humanitarian logistics because humanitarian
logistics often needs to make last-mile
deliveries in locations where commercial
structures are either non-existent or very
limited. Many supply-chain management
technology solutions depend on internet
availability. Not so PIMS: it eliminates
dependency on internet connectivity and
continuous power supply. ∞
Seite 24

Interview
Seite 25

Supporters
of the Logistics Hall of Fame
24/7 ASSISTANCE
ADAC Truckservice
AEB
BGL
BIEK
BME
BVL
BWVL
COYOTE LOGISTICS
DSLV
duisport
DVF
European Logistics Association
Federal Ministry for Digital and Transport
Fritz Institute (Donor)
Gebrüder Weiss
German Association of the Automotive Industry
Goldbeck
impact media projects
International Federation of Freight Forwarders Associations
International Road Transport Union
KRONE
Lebensmittel Zeitung
Locus Robotics
LOGISTIK­Kurier
LTG ­ Landauer Transport company Doll
materialfl uss
METRO LOGISTICS
pfenning logistics
RIO - THE LOGISTICS FLOW
SCHUNCK GROUP
STILL (Donor)
TEST CAMP INTRALOGISTICS
trans aktuell
WINNER