# Inventory Management

> Real-time stock that adjusts as items are consumed or sold during procedures — so the record on screen matches the shelf in the store room.

Source: https://www.medicine.et/modules/inventory-management  
Site: Bloom Medicine — https://www.medicine.et

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Clinics rarely run out of medicine because nobody ordered it. They run out because the record disagreed with the shelf until the moment somebody reached for an empty box. Bloom Medicine decrements stock at the point of use, which is the only place the truth is known.

## The record and the shelf disagree

Ethiopian bin-card audits put record accuracy at roughly four in five items in primary health care units, and lower in health posts. An 80%-accurate stock record cannot support reordering decisions — it can only justify them after the fact.

The consequences show up at both ends: essential medicines out of stock for weeks at a time, and other items expiring on the shelf at more than double the national target. Both are symptoms of the same reconciliation gap.

### Measured in Ethiopia

- **78.5%** — bin-card accuracy in Gamo Zone primary health care units — 62.2% in health posts ([source](https://www.medicine.et/research/inventory-management))
- **38.8 days** — average stock-out duration for tracked essential medicines in one general hospital ([source](https://www.medicine.et/research/inventory-management))

## What it does

- **Consumption-linked stock** — Items used in a consultation, procedure or dispensing event decrement stock as they are recorded — no separate issue voucher.
- **Batch and expiry tracking** — Stock is held by batch with expiry dates, so first-expiry-first-out is the default rather than an aspiration.
- **Reorder levels and alerts** — Per-item minimums that trigger a warning while there is still time to order, based on your own consumption rate.
- **Physical count reconciliation** — Structured stock takes that record variance instead of silently overwriting it, so accuracy is measurable over time.
- **Multi-store support** — Main store, pharmacy and procedure rooms tracked separately, with transfers recorded between them.
- **Valuation and wastage** — What you hold, what you consumed and what expired — in birr, per period, per store.

## How it runs in the day

1. **Load the catalogue and opening balances** — Items, units, batches and expiry dates are entered once against a physical count, giving a clean starting point.
2. **Receive against orders** — Deliveries are booked in by batch, so the expiry clock starts from the real date on the box.
3. **Consumption happens in the room** — Dispensing and procedure use draw stock down automatically, and the same event raises the billing line.
4. **Count, compare, correct** — Periodic counts are entered as counts. Variance is visible and trended rather than absorbed.

## What changes

- Stock on screen tracks stock on the shelf closely enough to order from.
- Expiry becomes something you see coming rather than discover.
- Consumption, billing and clinical activity all agree, because they share one event.

## Cited research

- [Stock records in Ethiopian health facilities: what the studies measured](https://www.medicine.et/research/inventory-management) — Ethiopian facilities do not mainly run out of medicines because nothing was ordered. They run out because the record of what is on the shelf disagrees with the shelf. The published measurements are consistent, and unflattering.
- [Reporting on time and reporting correctly are different problems](https://www.medicine.et/research/dhis2-data-quality) — Ethiopia runs one of the world's largest DHIS2 deployments — 30,000+ facilities, 95% reporting rates. The national maturity assessment scores data quality and infrastructure far lower. Submitting a report and submitting a correct one are not the same achievement.

## Related reading

- [How to Choose Clinic Management Software](https://www.medicine.et/blog/choosing-clinic-management-software) — The right system fades into the background and lets your team focus on patients. The wrong one becomes a second job. Here's a practical framework for telling them apart before you commit.
- [The Hidden Cost of Paper in a Modern Clinic](https://www.medicine.et/blog/the-hidden-cost-of-paper) — The price of paper isn't the paper. It's the minutes spent filing, the visits delayed by lost charts, and the decisions made without the full picture. Here's how to see the real number.