Development of Drugs and Medical Supply Inventory Management : A Case Study of Chulachomklao Royal Military Academy Hospital

Abstract

Abstract : Chulachomklao Royal Military Academy Hospital operates in accordance with the policy of maintaining financial balance of the Royal Thai Army Medical Department include the long-term management of priority drugs and medical supply. The drug inventory used infrequently but has high value, and some expire before being utilized. Effective management of the drugs and medical supply inventory will help alleviate issues and leading to improved patient treatment. This research aims to efficiently manage the inventory of drugs and medical supply by inventory management tools, which include grouping essential items through the ABC-VED Analysis. Determining the economic order quantity for crucial and high-cost drugs and medical supply. Subsequently, the research will focus on identifying reorder points and safety stock for the appropriate procurement of drugs and medical supply. The results indicate that the ABC-VED Analysis for categorizing drugs and medical supplies resulted in 1,121 items with an annual value of 188,544,735 Baht. Group 1 consisting of AV, AE, AD, BV, and CV, represents essential drugs with high cost but low number of items, totaling 202 items or 18.02% of the quantity. The value of Group 1 is 162,854,826 Baht, representing 86.37% of the total value. The EOQ is 8,084,487 units, with an ordering cycle of 201 times per year. The result was reduced by 4,405,413 units or 35.27%, and the number of ordering cycles decreased by 124 times per year or 38.15%. This leads to a decrease in both inventory levels and ordering cycle. The procurement at the (Q/2) point, which equals half of the required quantity per unit of time, is optimal and helps mitigate inventory shortage.