COUNTING THE COST OF SUPPLY ERRORS: AN ANALYSIS OF PRODUCT FULFILMENT FAILURES IN PUBLIC HEALTHCARE

Background: Incomplete product fulfilment is a persistent operational challenge in pharmaceutical supply chains, producing discrepancies between ordered and supplied commodities. These failures including under-supply, over-supply, wrong commodity delivery, and invoice inconsistencies impose direct and indirect economic costs on health systems and, where they result in stock-outs, carry consequences that extend to patient access and health equity. Objective: To assess the economic implications of incomplete product fulfilment in a public pharmaceutical supply chain using routine supply error records. Methods: A retrospective descriptive analysis was conducted using supply error records documented between December 2025 and May 2026 at the Plateau State Drugs and Medical Commodities Management Agency (PS-DMCMA), Jos, Nigeria. Data were extracted from a centralised, institutionally maintained supply error tracker and analysed for frequency, error typology, and monetary value of fulfilment discrepancies at transfer price. Results: More than 21 discrete supply error incidents were documented across at least nine health facilities. Under-supply was the predominant error type, with a cumulative transfer price value of ₦2,945,457.60, accounting for approximately 91% of the combined discrepancy total of ₦3,235,407.10. The highest monthly under-supply value was recorded in January 2026 (₦1,132,203.10). Primary documented causes were pick-and-pack errors, confirmation errors, and loading errors. Conclusion: Supply fulfilment errors impose substantial and quantifiable economic costs on a public pharmaceutical supply chain. These costs are compounded by indirect burdens including administrative workload, emergency redistribution, and downstream stockout effects that are not captured in transfer price valuations. Dual-verification protocols, digital proof-of-delivery, and structured staff training are recommended as priority interventions.

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Publication Details

Journal
Zenodo (CERN European Organization for Nuclear Research)
Published
2026-10-27
DOI
https://doi.org/10.5281/zenodo.23685736
Primary Topic
Supply Chain and Inventory Management
Type
article
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article

COUNTING THE COST OF SUPPLY ERRORS: AN ANALYSIS OF PRODUCT FULFILMENT FAILURES IN PUBLIC HEALTHCARE

Kim Jerry Bot, Maryam Dasibel, Gyang Mansaseh, Vivian Fazing et al.
4 links
Zenodo (CERN European Organization for Nuclear Research)
Supply Chain and Inventory Management
article

COUNTING THE COST OF SUPPLY ERRORS: AN ANALYSIS OF PRODUCT FULFILMENT FAILURES IN PUBLIC HEALTHCARE

Kim Jerry Bot, Maryam Dasibel, Gyang Mansaseh, Vivian Fazing, Tsok Samuel, Ashom Ajik, Gyang Patrick, Cyril Fwanshak, Isaac Dewan, Damoem Kenneth, Caleb Mutfwang, Lenka Musa, Sandra Dachin, Chuwang Samson, Jerry Ashom, Meshak Dayol
article en

Abstract

Background: Incomplete product fulfilment is a persistent operational challenge in pharmaceutical supply chains, producing discrepancies between ordered and supplied commodities. These failures including under-supply, over-supply, wrong commodity delivery, and invoice inconsistencies impose direct and indirect economic costs on health systems and, where they result in stock-outs, carry consequences that extend to patient access and health equity. Objective: To assess the economic implications of incomplete product fulfilment in a public pharmaceutical supply chain using routine supply error records. Methods: A retrospective descriptive analysis was conducted using supply error records documented between December 2025 and May 2026 at the Plateau State Drugs and Medical Commodities Management Agency (PS-DMCMA), Jos, Nigeria. Data were extracted from a centralised, institutionally maintained supply error tracker and analysed for frequency, error typology, and monetary value of fulfilment discrepancies at transfer price. Results: More than 21 discrete supply error incidents were documented across at least nine health facilities. Under-supply was the predominant error type, with a cumulative transfer price value of ₦2,945,457.60, accounting for approximately 91% of the combined discrepancy total of ₦3,235,407.10. The highest monthly under-supply value was recorded in January 2026 (₦1,132,203.10). Primary documented causes were pick-and-pack errors, confirmation errors, and loading errors. Conclusion: Supply fulfilment errors impose substantial and quantifiable economic costs on a public pharmaceutical supply chain. These costs are compounded by indirect burdens including administrative workload, emergency redistribution, and downstream stockout effects that are not captured in transfer price valuations. Dual-verification protocols, digital proof-of-delivery, and structured staff training are recommended as priority interventions.

Zenodo (CERN European Organization for Nuclear Research)
Good health and well-being
Openalex Percentile: Top 6%
Supply Chain and Inventory Management
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