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Chemonics Launches New USAID Project to Provide Critical Health Products and Supplies

Chemonics is pleased to announce the launch of the USAID Procurement and Supply Management (PSM) project, which harnesses cutting-edge technology, diverse partners, and unprecedented data visibility to improve global health supply chains, reaching more people for less money.

To meet the critical global health challenges of today’s world, the USAID Procurement and Supply Management Project (PSM) will transform global and national supply chains for essential health commodities into a supply chain that serves all people in need. In addition to optimizing supply chains, PSM applies a holistic approach to strengthening in-country supply chain systems and fosters collaboration among supply chain stakeholders worldwide. The project’s launch follows the decision of the United States Court of Federal Claims to uphold the award to Chemonics.


“We respect the integrity of the federal procurement process and are pleased with the ruling by the United States Court of Federal Claims,” said Chemonics President and CEO Susanna Mudge. “We are looking forward to launching this exciting new effort and contributing to this essential work.”

PSM is a single award indefinite delivery/indefinite quantity contract for health commodities and technical assistance. With the potential to reach end users in more than 50 partner countries, this project will build on USAID’s previous work by harnessing new technologies, existing and emerging supply chain infrastructure, and exciting advances in high‐quality medicines and health products to combat HIV/AIDS and malaria, and support reproductive and family health. This project is a primary vehicle for accelerating progress under the U.S. President’s Emergency Plan for AIDS Relief and the Presidential Malaria Initiative.

Led by Chemonics, the PSM consortium provides ready access to relevant private sector tools, methods, and expertise, supply chain thought leaders, and respected development partners. International Business Machines Corp., Kuehne and Nagel, and McKinsey & Company bring decades of private sector tools, methods, and expertise in supply chain management. Together with the IDA Foundation and Population Services International, we will leverage decades of experience in health commodities procurement. Our team is rounded out by a group of partners that will help countries measurably improve the performance of their national supply chain systems. These include Arbola Inc., Axios International Inc., IntraHealth International Inc., Panagora Group, SGS Nederland B.V., University Research Co. LLC, and a network of local partners, small businesses, and resource groups that we will competitively engage throughout the project.

“It is not an exaggeration to say that this single project has the potential to make substantial progress toward achieving an AIDS-free generation, towards achieving malaria elimination, and ending preventable deaths of women and children,” said Supply Chain Solutions Senior Vice President Melissa Logan. “It is a tremendous honor that USAID has chosen to partner with us in this effort.”

Using innovative approaches, Chemonics and our partners will deliver more health for the money, achieving best value through cost efficiencies and by maximizing the health impact of every dollar invested. By integrating proven development experience and world-class commercial solutions, such as integrated information management systems and a control tower approach to logistics management, we will continually optimize supply chain performance to achieve best value while empowering and engaging host-country professionals and institutions. To move countries toward independent supply chain management, we will work directly with local governments and stakeholders to create their own systems, capacity, and incentives.

The PSM project is headed up by Anthony (Tony) Savelli, a well-known thought leader in pharmaceutical management with extensive experience leading USAID programs such as the Rational Pharmaceutical Management Project, Rational Pharmaceutical Management Plus Project, and the Afghanistan Health Services Enhancement Project, among others. He will lead a team of experienced supply chain thought leaders and respected development partners.

About Chemonics International

Since its founding in 1975, Chemonics has worked in about 140 countries, on more than 1,000 projects, to help clients, partners, and beneficiaries face difficult challenges, from political instability to limited health care to a lack of market infrastructure. Chemonics is a mission-driven, employee-owned, ISO-9001 certified company.

For media inquiries, contact: Jane Gotiangco at jgotiangco@chemonics.com

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