Supply Chain Risk Assessment of Generic Medicine in Indonesia Using DEMATEL-Based ANP (DANP)

In healthcare, pharmaceutical services are an inseparable part to support its sustainability by providing pharmaceutical products, including medicines. In Indonesia, the majority of prescribed medicines are generic medicines since the government of Indonesia published a regulation to prescribe generic medicines at the government's health facilities, including health facilities that cooperate with Jaminan Kesehatan Nasional (JKN), a national health insurance system. In result, the demand for generic medicines will increase as JKN participants increase. However, risks or uncertainties in the supply chain activities can hinder generic medicines supply. Therefore, this study aims to develop supply chain risk management of generic medicines in Indonesia with results to prioritize the risks. A Multiple-criteria decision-making (MCDM), DEMATEL (Decision Making Evaluation and Laboratory) based ANP (Analytical Network Process) (DANP) was used to assess the risks. The relations among risks also discussed in this study. The results show that the top five risks involve in generic medicines supply chain in Indonesia are shipping delay, failed to meet production capacity, the inefficiency of finance plan & realization, production process failure, and increase price of raw material.