Automated Inventory Replenishment ensure High availability of drugs at stores and Realtime Invoice Generation
Today's most contract pharmacies and hospitals who participate in 340B program recognize that leveraging their fragmented data and integrating it effectively to turn into a corporate asset, is the key to accelerating the 340B Program. In a nut shell, integrating them is now seen as a key enabler to improve the program management, timeliness in generating the monthly, weekly and daily invoices, quality of the mission critical 340B data.
As of today(03/05/2017), there are totally 75685 registered contract pharmacies across the country. Please click here for details. Given the challenging economic climate, these contract pharmacies are struggling to do more in a very limited space because they are retreating to core IT and expecting immediate return on their investments. Integrating th 340B data is no exception in this case. To address this demanding need, the fragmented 340B must moved to tangible benefits for their success.
340B Administration and 340B integration are essential segment for the foundation for many contract pharmacy's IT initiatives which includes data analytics solutions as well. If you are really serious about doing a successful 340B program administration and scaling out your foot prints into multiple location to serve many patients then having an effective 340B administration is no longer "nice-to-have" but a "must-have" needs.
Increasingly, contract pharmacies or hospitals rely on Business Intelligence systems or Analytical dashboards for mission critical decision making process. As the data is highly proliferated, turning that into an actionable information is extremely critical. You must have a solid foundation IT model that supports the critical business functions. Bringing them into a single bucket will help them to have a 360 degree view but it may not be sufficient because users must be empowered directly act on this data based on the available information such as Sales by period, sales by covered entities, sales by prescriber, sales by drug or NDC, total number of invoices processed per pharmacy, etc., For example, a 340B pharmacy wants to see the total revenue earned for the last three years as it would be critical data needed for the business expansion. Having a dashboard like below would greatly helps for the actionable business decision.
Using the above report, users is completely empowered to achieve timely, actionable BI and he / she can able to drill into the data behind the dashboard to see the details about the life cyle of the data. If you take the above example, the revenue earned by the company in June 2015 was around 330K where as it was 1.4 million in the June 2016. If you see the live comparison and able to drill down the report would greatly helps for further expansion of the business.
Data Integration is the foundation of a successful 340B Program
- If you read about my earlier data quality blog about the data enrichment and data standardization, I was talking about applying the data integration is one of the significant area that helps improving the ROI (Return on Investment). 340B Integration involves the integration of data such as Prescriber, Payer, Patients, Covered Entities, Claims data from switched provider, partner, replenishment calculation, reimbursement configuration data, account etc.,
- Data Integration is critically important across multiple 340B processess that includes.
- Data Analysis a.k.a Data Profiling in all desperate source systems because you should be knowing your data and its quality. If not known you are putting your project at risk faster than starting with data that's compromised. During this phase, users will find the data issues before they become data problems. Also in the 340B Administration process, you should be able to profile your data in an automated fashion to establish business confidence.
- Data Cleansing helps to clean the bad data from the inbound source systems. for e.g It should be noted that many NDCs are displayed on drug packaging in a 10-digit format. Proper billing of an NDC requires an 11-digit number in a 5-4-2 format. Converting NDCs from a 10-digit to 11-digit format requires a strategically placed zero, dependent upon the 10-digit format. To must add a solid cleansing logic to address this business requirements.
Key Business Needs for an effective 340B Program Administrator
Putting all data into a spread sheets(Excel) and doing matching process across the spread sheet is a old school method and in today's business challenge, you as contract pharmacy or covered entitiy must be enabled to leverage an automation process. Having a flawless 340B program delivers many business benefits to covered entities and contract pharmacies including decreased Operational costs, increased agility, reducing risk, improving business knowledge and greatly improving patients satisfaction.
Decrease Expenses can be accomplished by integrating and enriching into more efficient data systems. It helps to reduce the complexity in accessing the data across many source systems such as cloud drive, switch provider using FTP mechanism, reduce IT costs and most importantly management costs compared to the homegrown solutions.
Reduced Operational Risks and Increased Transparency is a major benefit due to having a flawless 340B administrator sofware that is reliable, consistent, accurate in delvering invoices, replenishment orders. I have seen many covered entities and contract pharmacies have suffered losses in a day to day operations and customer relationship management when using poor quality data.
Enhanced Business Knowledge is a tangible target when pharmacies leverage timely, consistent and accurate data in their decision making process. Having a faster decision making process based on the data accuracy helps to lay a solid foundation for improved operations and expansion of business.
Take a look at the following graph that illustrates the Cost vs 340B Program Efficiency Model
While 340B Program is deeply rooted in Contract Pharmacies, Hospitals, Covered Entities and in United States, it is a critical requirement to have an efficient 340B administrator software to deliver timely, reliable, trust worthy data to any enterprise. As a comprehensive offering, RCTECH helps 340B contract pharmacies in efficiently managing the 340B program by onboarding new covered entities and its users in minutes, locating and addressing pricing discrepancies, providing detailed eligibility checks, effectively managing procurement and inventory, publishing monthly invoices and dashboards for every Covered Entity for an automated decision processes, deducting the NDC cost and deliver 100% HRSA compliance reports.