Page 201 - GHES-3-1

Global Health Economics and
Sustainability
Outsourcing last-mile delivery

These factors cannot be overstated in health care, where 5. Conclusion
delays or errors in delivery can compromise patient safety
and treatment efficacy. Furthermore, using 3PL services This study highlights the significant benefits of outsourcing
the last-mile delivery of essential medicines to 3PL
reduces the burden on health-care workers, allowing providers, revealing substantial improvements in cost
them to focus on patient care rather than logistics, thereby efficiency, delivery timeliness, and customer satisfaction.
improving the overall patient experience. These findings make a compelling case for the continued
The statistical analysis (χ² = 24.2, p < 0.05) further use and potential expansion of 3PL services within the
validated the positive impact of 3PL services on customer health-care logistics framework in Niger State. The strategic
satisfaction. This finding is consistent with other studies advantages of outsourcing and the operational benefits
in the field, highlighting that outsourcing logistics to provide a strong foundation for further investment in 3PL
specialized providers improves operational efficiency and services to enhance health-care delivery and outcomes.
enhances the quality of service delivered to end-users. These insights contribute to the ongoing discourse

4.4. Operational efficiency and strategic on health-care logistics and offer practical guidance for
implications policymakers and health-care administrators seeking to
optimize supply chain operations. Addressing the challenges
Beyond the immediate benefits of cost reduction, timely associated with outsourcing and exploring ways to leverage
delivery, and customer satisfaction, adopting 3PL services 3PL services will be essential to achieving even greater
has broader strategic implications for the NSDHCMA. By efficiencies and improvements in health-care delivery.
outsourcing logistics functions, the agency can focus its
resources on its core competencies, such as procurement, Several recommendations for last-mile delivery of essential
health-care service delivery, and policy implementation. medicines to 3PL providers are given in the following:
Managers in the NSDHCMA Minna, Niger State,
•
This strategic focus allows for better resource allocation, should embrace using 3PL for last-mile deliveries
improved management of health-care operations, and the of essential medicines and medical consumables to
potential for further innovation in service delivery. generate reductions in operation costs across the state
Furthermore, using 3PL services introduces flexibility • The same-day delivery strategy should be negotiated as
and scalability that in-house logistics operations may not a strategic objective with all 3PL service providers and
achieve; 3PL providers can quickly adapt to changes in even be rewarded differently to ensure sustainability
demand, scale their operations up or down as needed, and • The operations of 3PL should be trackable and shared
continuously implement new technologies and processes in real time to provide continuous satisfaction for
to improve service quality. This adaptability is particularly end-users of last-mile deliveries.
valuable in the dynamic and often unpredictable health-
care environment, where the ability to respond quickly to Acknowledgments
changing circumstances can be critical. The authors would like to thank Dr. Casmir Onukogu,
whose valuable input enabled the completion of this project.
4.5. Challenges and considerations
Throughout the process, his advice and recommendations
The benefits of using 3PL services are apparent; however, were invaluable.
it is also essential to consider the potential challenges.
Dependency on external providers can pose risks, Funding
particularly if disruptions occur in the 3PL provider’s None.
operations or if issues arise with contract management
(Gong, Kung, and Zeng, 2018). Quality control is another Conflict of interest
critical area that requires careful oversight to ensure that the The authors declare they have no competing interests.
3PL’s service standards align with the agency’s expectations.
To mitigate these risks, robust contracts should Author contributions
be established to clearly define the expectations, Conceptualization: Ogwuche Kennedy Odo
responsibilities, and performance metrics for the 3PL Investigation: Ogwuche Kennedy Odo, Mohammad Audi
provider. Regular monitoring and evaluation of the 3PL’s Methodology: Ogwuche Kennedy Odo
performance, along with effective communication and Writing–original draft: Ogwuche Kennedy Odo, Kabiru
collaboration, are also vital in ensuring the success of the Abubakar Gulma
outsourcing arrangement (Gwala, 2019). Writing–review & editing: Kabiru Abubakar Gulma

Volume 3 Issue 1 (2025) 193 https://doi.org/10.36922/ghes.4714