Performance-based incentives (PBI), by linking performance to rewards, offer opportunities to strengthen supply chains. PBI are increasingly used to improve service delivery in healthcare, and they are also used in supply chain management in the commercial sector. However, to date, there have only been very limited applications in public sector supply chains either for supply chain professionals and institutions (like Central Medical Stores or procurement units) or for the supply chain related-performance of general healthcare workers.
The USAID | DELIVER PROJECT conducted a desk-based literature review and key informant interviews to identify and document examples of performance-based incentive (PBI) schemes used to improve the supply chain in the public sector. Relevant programs, dating back to 1995, were identified in Africa, Asia, and Latin America. These programs were supported by a range of donors including the World Bank, United Nations Populations Fund (UNFPA), Asian Development Bank (ADB), Nordic Development Fund (NDF), United States Agency for International Development (USAID), and the Bill and Melinda Gates Foundation and provide an array of applications and experiences.
These country examples, written by JSI's USAID | DELIVER PROJECT in 2015, provide a compendium of real-life examples and experiences.
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