Retail Management Flashcards
1
Q
PIC
A
- Pharmacist in Charge
- Pharmacist that is licensed and in good standing who accepts responsibility for the operation of the pharmacy in conformance with all laws/rules
- In full/actual charge of pharmacy and its personnel
2
Q
Legal Requirements
A
- Sign for pharmacy permit/license
- Inventory management: annual controlled substance inventories and reporting losses
- Must ALWAYS be a PIC (changes must be completed/reported within 10 days)
3
Q
Auditing
A
- Monthly/quarterly auditing
- Licenses displayed
- Temperature logs
- Compounding logs
- Employee training
- Expiration dates
- Monthly returns
- Hazardous waste
- Immunization consent forms
- Emergency supplies
- Policies/procedure knowledge
4
Q
Record Keeping
A
- Varying requirements for file retention
- Must make sure that records are easily accessible, in a secure storage space, organized
- Old records must be destroyed
- Retain invoices for controlled substances
5
Q
Minor Errors
A
- Wrong quantity
- Wrong provider
- Incorrect refills
- Wrong form
- Spelling errors
- Patient perceived
6
Q
Serious Errors
A
- Wrong patient
- Incorrect directions
- Wrong drug
- Wrong form
- Mixed vial contents
7
Q
Risk Management - Reportings
A
- Differs by state and company
- Must invlude root of cause analysis and plan of action
- Must report AE within 15 days from date of discovery
8
Q
Risk Management + Patients
A
- Listen to story
- Show empathy
- Ask for patient input
- Avoid admitting fault or assigning blame
- Be transparent about situation
9
Q
Liability Insurance + Pharmacist
A
- Multiple carriers
- Typically covers $1 million/occurrence
- Sterile compounding coverage is extra
- Prices range from $100-400 a year
10
Q
Liability Insurance + Business Owner
A
- Covers in the event that an accident occurs
- Damage to property, medical payments of those injured, pharmacy liability insurance, etc.
- Limits $1-2 million/incident
- Recommend listing all employees
11
Q
Property Coverage
A
- Covers building
- Covers equipment/product
- Less common coverage: loss of business due to damage to property, equipment breakdown, employee diversion
12
Q
Limits to Property Coverage
A
- Pay attention to exclusions/exemptions: personal property items, damage due to computer viruses
- Property inside the building is not always covered
13
Q
Inventory Management
A
- Pulling expired products: monthly done
- Monitor current stock: excessive, brand vs generic
- Recalls: inform patients and pulling medications
- Handling controlled substances: orderings, expires, destruction, loss
14
Q
Recall Classes
A
- Class 1: problem could cause serious farm to a patient
- Class 2: May cause temporary/reversible harm to patient
- Class 3: Unlikely to pose a threat to the patient
15
Q
Ordering Controls Options
A
Controlled substance ordering system integrated into either:
- Ordering platform
- Pharmacy EMR system
16
Q
Control Ordering Advantages
A
- Less chance of error
- Faster transmission
- Less paper burden
- Improved record keeping
17
Q
Schedule II Management
A
- Keep throughout stock or locked away
- Annual inventory required
- Return expired and damaged products separately
18
Q
Diversion
A
- Someone taking a prescription medication that it wasn’t prescribed to for any illicit use
- Most commonly done through employees and can be controlled or not
- DEA 106 form required with follow-up plan of action
19
Q
Business Management
A
- Labor costs: salaries, income tax, worker’s comp, Medicare/Social security
- Additional Costs: retirement, health insurance, PTO, sick days, leave
- Fixed costs: rent, utilities, licensing costs, insruance
- Additional Fixed: equipment, memberships, third party fees, marketing expenses
20
Q
Corporate Pharmacies Hiring Positives
A
- Often have their own hiring platforms
- Candidate selection is easier
- Platform will administer position related tests
- Recruiters can search/interview candidates
21
Q
Corporate Pharmacy Hiring Negatives
A
- Limitation to questions
- Not user friendly
- Require consulting multiple departments
- Difficult to advertise position out of company
- Slow process
22
Q
Independent Pharmacy Hiring Positives
A
- More autonomy in candidate selection
- Own standards
- Search for candidates in multiple ways
23
Q
Independent Pharmacy Hiring Negatives
A
- Costs for position advertising can be high
- More difficult o vet candidates
- Little support to help
24
Q
Training
A
- Needed for all staff: documented and provide CE
- Uncertified technicians: need certification before can perform technician duties
- Keep training records indefinitely
25
Q
Performance Evaluations
A
- Say thank you often
- Recognize and encourage positive behaviors
- Random acts of kindness
- Show employees what they do well and what they should improve
- Usually done annually
- Must justify high ratings
26
Q
Poor Performances
A
- Recognize and discuss immediately
- Discuss what behavior is desired
- If poor performance continues, continue to written documentation where most companies have a 3 strike behavior
27
Q
Scheduling Tips
A
- Put availability into writing
- Ask for time off requests two weeks in advance
- Schedule as far ahead as possible
- Keep records of tardiness and absences
- Request help from staff during times of need
- Schedule to the needs of your business
28
Q
Impaired Staff
A
- Unable to practice pharmacy with reasonable skill, competency, or safety for themselves or the public
- Take action to evaluate handle situation
- Report the impairment to the BoP
- Board will investigate and handle the situation
29
Q
Why marketing?
A
- Understand target patients
- Improve sales of your business
- Grow the business and keep it relevant through market disruptions
- Remain competitive in a densely populated market
- Remain profitable in times of reduced reimbursements
30
Q
Four Ps
A
- Products/Services
- Pricing
- Promotion (marketing)
- Place
31
Q
Market Analysis
A
- Suppliers: warehouses, manufacturers
- Customers: financial strength, disease states, age groups
- Supporters: nearby providers, specialty providers
- Competitors: direct and indirect competitors (similar products, not same)
32
Q
Original Customer Base
A
- Attracted to pharmacy brand
- Location to home
- Near other businesses
33
Q
Growing Customer Base
A
- Opening events
- Intercepting customer shopping in store
- Health fairs
- Expanded services
- Catering to specific demographic
- Social media and advertising
- CUSTOMER REFERRALS
34
Q
Provider Visits
A
- Introduce self to providers and explain what services you offer
- Can’t blatantly ask them to send you patients or offer them something in return
- Tips: call ahead and have handouts with store information
35
Q
Written Business Plan
A
- Different ways to create
- Can cover a variety of topics: descriptions, organization, structure, finances, marketing
- Multiple goals: funding request, track your opportunities/successes, illustrate your growth plan to management
36
Q
Basic Business Plan
A
- Construct a presentation format
- Comprehensive analysis: target customer base, competitors, business outline (products, services), marketing and growth goals/plans
37
Q
Cash Payers Advantages
A
- Immediate payment
- No authorization or formulary needed
- Higher margins
- Less labor to process
38
Q
Cash Payers Disadvantages
A
- Brand name products are expensive
- Patients more sensitive to cast
- Smaller patient group
39
Q
Insurance Payer Advantages
A
- Large patient groups
- Insurance will bring patients to you
- Lower cost to patient compared to cash
40
Q
Insurance Payer Disadvantage
A
- Formularies that vary company to company
- Higher labor cost for claim processing
- High cost of participation in contract
- Little to no reimbursement and can often lose money
41
Q
Private 3rd Party
A
- Relaxed formulary
- Funded by individual buyers and commercial companies
42
Q
Medicare
A
- Mandated inurance coverage for people >65 y.o.
- Funded by Medicare tax from income
43
Q
Medicaid
A
- State level low/no income insurance
- Funded by federal and state income tax
44
Q
340B
A
-Federal level low/no income prescription plan for individuals outside of Medicaid
45
Q
Medicare Parts
A
- A: limited hospital coverage
- B: covering physician services, diabetic testing supplies, durable medical equipment, immunizations, kidney failure services
- C: advantage plans
- D: prescription drug coverage
46
Q
Contracts
A
- Securing contracts
- Picking contracts
47
Q
Securing Contracts
A
- Corporate pharmacies: teams to secure contracts with 3rd parties
- Independent pharmacies: member of a wholesaler that acts on behalf of groups of independent pharmacies
48
Q
Negotiating Contracts
A
- Opt in/out process
- Little ability for changes
- Pharmacies must determine cost/benefit
49
Q
Picking Contracts
A
- Look at patient population: elderly, low income, high employment
- Plans costs money to participate in
- Analyze the benefits of being with that plan: reimbursements, patients, medication requirements
50
Q
WAC
A
- Wholesale acquisition cost
- Manufacturer’s published price for a drug
51
Q
AMP
A
- Average manufacturer Price
- Average price paid by wholesalers to drug companies
52
Q
AWP
A
- Average wholesaler price
- Suggested list price for products purchased from wholesalers by pharmacies
- Found in Blue Book
53
Q
AAC
A
- Actual Acquisition Cost
- Actual amount paid by pharmacies to a wholesaler for a drug
54
Q
EAC
A
- Estimated acquisition cost
- Estimate of AAC that is commonly used to determine the reimbursement amount under an insurance plan
- Usually expressed as a percentage of AWP
55
Q
MAC
A
- Maximum allowable cost
- Maximum amount that insurance plans will pay pharmacies for drugs
- Pharmacies can bill more but will not be paid more than MAC
56
Q
Dispensing Fees
A
- Flat fee to the pharmacy for the act of filling a prescription
- Fee designed to cover some cost of filling prescription
- Cost of doing business must be made up in other forms of profit
57
Q
Patient Cost Sharing
A
- Reduces cost of drugs to the plan
- Encourages patient to monitor their drug utilization (donut holes)
- Acts as another form of payment to the pharmacy
- Only applicable for Medicare and private parties
58
Q
Medication Therapy Management
A
- Required for Medicare part D
- Encourages pharmacies to practice at the top of their profession and reimbursement based on compliance in certain populations
- Increased labor costs and reduced revenue
- Need 80% compliance to get reimbursed from insurance company
59
Q
Processing Insurance
A
- Computer system, internet connection, pharmacy management software
- Claim processing: set up patient profile, submit completed prescription, payment can occur between 30-120 days from submission
60
Q
Formulary
A
- Set up by insurance company committee
- Highest efficacy and lowest cost makes the cut
- Rebates given by manufacturers to get medications on formulary
