What is strategic purchasing?
Strategic purchasing refers to the efficient allocation of health resources to purchase services and goods.
These services could include medicines and vaccines; medical equipment and consumables; healthcare services (e.g. surgeries and consultations); or healthcare support services (e.g. facilities management, hospital laundry, ambulances).
Strategic purchasing has the potential to free up fiscal space, and thus contribute to improved health outcomes and Universal Health Coverage (UHC).
What is the SEA strategic health purchasing registry?
The Southeast Asia strategic health purchasing registry is a descriptive overview of the current landscape of health purchasing in the region.
What are the aims of the registry?
The registry aims to increase knowledge and understanding of the current health purchasing landscape in Southeast Asia. It is a first step to evaluating countries’ strategic purchasing performances and identifying common challenges in the region.
Why is the registry necessary right now?
Currently, government procurement in Southeast Asia is relatively high but not fully strategic, efficient or transparent.
Purchasing for health in many SEA governments is usually fragmented among national governments, sub-national governments, several insurers and out-of-pocket (OOP) payments. This creates inefficiencies in the health financing system.
Especially after COVID-19, most countries in SEA have low resource bases for health. This means that available resources must be allocated efficiently. Delineating priority areas, optimising the cost-effectiveness of care and minimising fraud & waste will help countries do more with their health budgets.
Ultimately, Universal Health Coverage is not only about having more money. It is also about the way existing funds are allocated.
Who developed the registry?
The registry was developed by SEARCH, the Southeast Asia Collaborative for Health. SEARCH is a regional learning network housed at the Saw Swee Hock School of Public Health, National University of Singapore.
Research partners (Country Convenors) from across the region conducted the data collection for the registry.
How was the data collected?
The structure of the registry was developed through a multi-phase process including preliminary scoping, identification of relevant indicators, desk-based research and consultations.
The data for the registry was compiled through desk-based literature reviews and in-depth expert interviews.
Does the registry measure countries' performance in strategic purchasing?
No, the registry only provides a descriptive overview of the landscape of health purchasing in Southeast Asia. This knowledge will later enable a comparative evaluation of countries’ performance in strategic purchasing.
What are some main findings from the registry?
1) Southeast Asia has highly diverse health financing and purchasing mechanisms. These are embedded within equally diverse health systems and forms of government.
2) Southeast Asia’s strategic purchasing capabilities are nascent but growing. Countries at different stages of development are experimenting with strategic purchasing mechanisms and/or health financing reforms.
3) Data and IT challenges remain prevalent across Southeast Asia. Many health systems lack the health and financing data required to enable strategic health purchasing decisions.
What comes next after the registry?
After the registry, SEARCH will conduct a preliminary evaluation of Southeast Asian countries’ performance in strategic health purchasing. Each country’s purchasing functinos will be rated on a scale according to existing measurement frameworks.
SEARCH will then develop national- and regional-level recommendations to strengthen strategic purchasing and enhance governments’ preparedness as they implement their health financing/purchasing reforms.
