Application of always, better, control (ABC) analysis on strategic inventory management of health commodities in Tanzania

Abstract

This paper examined how to properly use ABC analysis to manage health supplies in medical stores across Tanzania. ABC classification helps to organise resources more effectively by grouping items based on their importance. The study aimed to influence of Always, Better, Control (ABC) analysis on strategic inventory management of health commodities in Tanzania. This study used ABC Analysis Theory; the research used various methods, including reviewing inventory data and conducting detailed interviews to gather more information. Secondary data was collected from old records and purchase reports, while primary data came from questionnaires and interviews with people who handle inventory and buying.  The study targeted a population of 52 respondents and employed a simple random sampling technique to select the study participants. Slovin’s formula was used to determine the sample size. However, at a 5% margin of error, the formula produces approximately 46 respondents. Therefore, the sample size of 40 respondents would require an alternative justification.  The study used statistical analysis, key points from interviews, and the ABC method to determine how to prioritise and enhance inventory control. The results show that the ABC method effectively sorts health products based on their importance and usage frequency. The recent decrease in stockouts and the cost of keeping too much stock is because Medical Store Departiment (MSD) can now focus resources on the most important items, which has also helped plan and manage the supply chain more smoothly. These problems include a weak system for automatically tracking items, poor quality of data, and not enough staff trained to use the tool properly. The paper has already covered these topics and shown that smartly using ABC can improve the management of public health supplies. It has suggested practical steps for lawmakers and supply chain managers, such as using better inventory systems, training staff, and considering how long it takes to get supplies and how important they are when making decisions. These steps could help keep the flow of health resources steady and improve health outcomes.