john karwoski, rph, mba jdj consulting, llc [email protected] 03.19.2014
TRANSCRIPT
![Page 2: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/2.jpg)
![Page 3: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/3.jpg)
Buying Group Yes or No, Group Name
Yes HPG
Yes Broadlane
Yes Med Assets
Yes HPG
Yes PSS
Yes Med Assets
Yes Novation/Med Assets
Yes Broadlane/Med Assets
Yes Med Assets
Yes Provista
Yes Provista
![Page 4: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/4.jpg)
Ofirmev on Formulary Yes or No
Yes NoYesYesNoNoNoNoNoNoNo
![Page 5: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/5.jpg)
Caldolor on Formulary Yes or No
Yes NoNoNoNoNoNoNoNoNoNo
![Page 6: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/6.jpg)
Yes NoYesYesNoNoNoN/AN/AN/AN/A
![Page 7: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/7.jpg)
NoNoNoNoNoNoNoNoNoNoNo
![Page 8: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/8.jpg)
NoNoNoNoNoNoNoNoNoNoNo
![Page 9: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/9.jpg)
Acquisition Costs:
Selected Drugs
![Page 10: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/10.jpg)
Not Given$6.47$8.00$2.36$3.34$3.98$2.19$6.47$6.59
$32.37/Box 5$2.43
![Page 11: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/11.jpg)
Not Given$1.05$4.00$0.36N/A
$0.72$0.42$1.08$0.55
11.08/Box25N/A
![Page 12: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/12.jpg)
Not Given$0.30$1.40$1.42$0.49$0.53N/A
$1.42$2.80
22.53/Box 25100mg/ml $.90
![Page 13: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/13.jpg)
Most drug cost comes directly off the bottom line
![Page 14: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/14.jpg)
Drivers of Drug CostNew TechnologyNew pharmaceutical are more costly than
the older version – ARE THEY WORTH THE COST?
P and T must review the data to determine the relative effectiveness, relative toxicity, relative cost and relative benefit.
Some are worth it and some are not but you need to analyze
![Page 15: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/15.jpg)
Drivers of Drug CostNew technologyContract complianceInefficient purchasingInefficient processingWastePackaging and unit sizePhysician preferenceAdverse events
![Page 16: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/16.jpg)
Drug CostDrug Cost Components
AWP – what is cost?Contract with buying groupContract with wholesalerWastageOut datesOverchargesBilling ErrorsInventory Management
![Page 17: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/17.jpg)
Inefficient PurchasingInjectionsZofran $10.44 vs. Ondansetron $0.76
Lanoxin $3.06 vs. digoxin inj $1.70
Zantac $ 3.91 vs. ranitidine $0.95
Lopresson $14.00 vs. metoprolol $1.43
Suprane Vendor 1 $193.24 vs. Suprane Vendor 2 $ 173.80
These are examples of findings from a recent JDJ review of ASC invoices
![Page 18: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/18.jpg)
Drivers of Drug CostWholesaler overcharges – who
checksOutages- who is responsibleOutages – are you reimbursed for
themReverse distributor
![Page 19: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/19.jpg)
Opportunities
Inventory Cost Wholesale contractBuying group contract
![Page 20: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/20.jpg)
Management of Drug CostEfficient ManagementFormulary managementBuying GroupWholesaler contractUtilization of generics day 1Utilization of therapeutic interchangeCheck invoicesCharge backsReduce waste Inventory management
![Page 21: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/21.jpg)
Drug costWho is managing your drug cost?
![Page 22: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/22.jpg)
![Page 23: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/23.jpg)
NoNoYesYesNoNoYesNoNoNoNo
![Page 24: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/24.jpg)
NoNoNoNoNoNoYesNoNoNoNo
![Page 25: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/25.jpg)
NoNoNoNoNoNo
Based on BehaviorNoNoYesNo
![Page 26: John Karwoski, RPh, MBA JDJ Consulting, LLC john@jdjconsulting.net 03.19.2014](https://reader036.vdocuments.us/reader036/viewer/2022081513/56649efd5503460f94c11cf2/html5/thumbnails/26.jpg)