Inventroy Control

8/3/2019 Inventroy Control

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Inventory Management in

Pharmacy

Pharmaceutical inventory system is ableto track inventory, forecast needs, andgenerate reorders to maintain adequate

inventory Involves everyone in the pharmacy: Pharmacist

Technicians

Sales associates (OTC manager, cashiers)


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Definitions

Perpetual Inventory: System maintains acontinuous record of every item ininventory. Ins = outs

Turnover: The rate at which inventory isused, generally expressed in number of

days. Impacts spoilage and cost of stock


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Point of Sales

POS an inventorysystem in which theitem is deducted from

inventory as it is soldor dispensed


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Reorder Points

Minimum andmaximum stock levelswhich determine

when a reorder isplaced and for howmuch


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Computers and Inventory

Automatically adjust inventory Continuous picture of the inventory

Generate orders Automatic

Manual

Only as accurate as the informationentered


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Order Details

Shipping Material Safety Data Sheets (MSDS):

chemotherapeutic agents, refrigeration

Credits and Returns

Receiving the order


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Receiving the Order

Checking in the Order

Compare the invoice with products

Right drug, strength, size, quantity, in date?

Pharmacist will check in controlled drugs Report any discrepancies

Sticker and price items Resolve shorts and out-of-stocks

Process invoice


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Forms

Online Ordering Screen: Verify accurate,make corrections, note confirmationnumber (purchase order number)

Confirmation printout: hardcopy of whatwas transmitted

Shipping Invoice

Return Forms: original p.o. number, itemnumber, quantity, reason for return


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Stocking and Storing

Drugs must be stored according tomanufacturers specification. Noted onpackage label

room temperature: 59-86 F

refrigeration: 40-42

Physical Organization: Varies with location rotation of stock important, oldest product in

front (called facing)


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Drug Pricing


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Terminology

AWP: Average wholesale price = an averagefrom around the country of what that drugswholesale price is

Acquisition cost (cost) = The actual price thatthe pharmacy paid for the drug

Contract price = The price paid by the pharmacy

for a drug based on a contract with a drugmanufacturer or a buying group


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Terminology

Dispensing fee = A fee above and beyond thecost of the drug that is remuneration for thepharmacy service provided

MAC = maximum allowable cost = maximumprice allowed to charge by the pharmacy tofederally funded prescription programs

Cognitive service fee = A fee provided to apharmacy/pharmacists for services they provideother than dispensing


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Selling price: The selling price is 100% ofthe amount you will receive for the sale ofan item.

Markup: Defined as the differencebetween your cost for a product and its

actual selling price. Selling price = Cost + Markup


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Percent Markup

Percent markup based on cost Markup = %

Cost

Percent gross profit

Markup = %

Selling price


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Pricing for Patient

Various formulas are used to determinethe price of a medication for the patient,third party plan, etc. This formula will be

given to you or set-up in the computer. For example:

AWP- 10% + 5.00 (dispensing fee)


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Recalls


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FDA Monitors drugs or other medical products

once approved

MedWatch

Several options if a marketed drugpresents a risk of illness, injury, or grossconsumer deception

Injunction

Recall


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Injunction

A court order preventing a specific action,such as the distribution of a potentiallydangerous drug


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Recall

The action taken to remove a drug fromthe market and have it returned to themanufacturer


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Recall Classifications Class I : Strong likelihood that the product

will cause serious adverse effects or death

Class II : A product may cause temporary

but reversible adverse effects, or in whichthere is little likelihood of serious adverseeffects

Class III : A product is not likely to causeadverse effects


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Recall Process FDA receives reports of adverse effects

Manufacturer agrees to recall Recall strategy, depth of recall wholesale, retail, or consumer

level. Effectiveness of the recall no follow-up or follow-up

Customer contacted

The product name, size, lot number

Reason for recall and hazard involved Instructions on what to do with the product

Recalls listed publicly

Documents

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