IntroductionIntroductionEveryone working in pharmacy maintains inventory stock

Stock depleted: replacement inventories ordered

Task delegated to specific person in pharmacy

Goal is to keep up with anticipated demands of purchasers while still generating profits.

Inventory ControlInventory ControlA procedure whereby products are purchased in sufficient quantity to meet the demands of purchasers while controlling inventory size to generate optimal profits.

FormularyFormularyA list that describes all the medications covered under insurance plans

Offers alternative medications if first choice is not covered

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Pharmacy StockPharmacy Stock

Pharmacy orders formulary and non-formulary drugs

Periodic automatic replenishment level: established level of medication stock kept on hand at any given time

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Pharmacy Stock Pharmacy Stock (Continued)

Running inventory kept: point of sale (POS): item is deducted from inventory as it is dispensed

order cardshandheld devicesinventory computers

Technician in charge of all aspects of ordering, restocking, returning stock

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Bar CodingBar CodingIdentified by manufacturer and can be scannedAllows for faster input of informationOne pass of barcode: ID drug, strength, dosage form, quantity, cost, package size

Medication scanned at register (Point Of Sale): electronically taken off computerized inventory list

In-stock quantity drops: automatically reordered

Turnover RateTurnover RateThe number of times a product is purchased, sold, and replaced during a specific accounting period.

A high inventory turnover rate is an indication of an effective inventory control.

Product PurchasingProduct PurchasingThis involves ordering medications, durable medical equipment (DME), devices, and supplies

The pharmacy may order products directly through a representative, by telephone, fax, or computer modem.

New StockNew StockStock arrives daily to pharmacyFor billing purposes, check stock completely against invoice

Mark stock shelves clearly to reduce drug errors

Similar sounding drug names: take note

Proper StorageProper StorageFollow manufacturer’s requirements for storage

Frozen, refrigerated, light-protected, room temperature

Chemicals, toxic matter: kept in cabinet low to ground

Everyone in pharmacy responsible for following safety measures

ReturnsReturns

Three main reasons drugs are returned:

Drug recallsDamaged stockExpired stock

Drug RecallsDrug RecallsManufacturers required by law to recall any product found to violate following guidelines:Wrong labelingProduct not packaged or produced properly

Drug batch contaminatedChanges that fall out of guidelines

Drug Recalls Drug Recalls (Continued)

Recall notices: arrive by mail,ID information about drug or device, how to handle, and recall procedure

Important - drug’s lot number. It’s the key to ID recalled medication

Patient receiving recalled medication - contact by phone - check lot number

All recalled items sent back to manufacturer

Reorder stock if needed

Recall ClassificationRecall ClassificationClass I recall has a strong likelihood the product will cause serious adverse effects.

Class II recall has a chance the product may cause a temporary, but reversible, adverse effect or little likelihood of serious adverse effect.

Class III - not likely to cause adverse effects.

There is no Class IV recall.

Expired StockExpired Stock

Pharmacies pull medication within 3 months or less of expiration

Example: if Cimetidine expires within 3 months, then return all full boxes of 100 tablets for full or partial credit

Special Ordering ConsiderationsSpecial Ordering ConsiderationsControlled substances require daily inventoryInvestigational drugs: paperwork

must be completed and returned to manufacturer each time medication given

Cytotoxic drugs: handled with great care and placed in safety cabinet

Hazardous substances require special handling

MSDS’s: know where they are