Latest / Becker’s Healthcare Podcast / Denise Scarpelli, PharmD, MBA, CPEL, Vice President and Chief Pharmacy Officer at UChicago Medicine
Transcript
- 0:02- Pharmacy has long been viewed as a cost
- 0:03- center, but that framing is starting to shift,
- 0:06- and chief pharmacy officers are driving the change.
- 0:09- Don Wright, pharmacy is one of the most
- 0:11- powerful financial and clinical levers the health system
- 0:14- has. The question is whether its leaders can
- 0:17- prove it, fund it, and scale it before
- 0:19- that window closes.
- 0:21- Becker's third annual fall chief pharmacy officer summit
- 0:24- is where that case gets built with 500
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- 0:34- three forty b sustainability,
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- 0:39- the top. You can earn up to 6.67
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- 0:49- in Chicago.
- 0:50- Register on our events page at beckershospitalreview.com
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- 0:59- Welcome to the Becker's healthcare podcast. I'm Ella
- 1:01- Jeffries, reporter with Becker's healthcare.
- 1:04- Today, I'm joined by Denise Scarpelli,
- 1:06- vice president and chief pharmacy officer at UChicago.
- 1:09- Denise, thanks so much for joining me. To
- 1:11- start, can you please introduce yourself and just
- 1:13- share a bit about your role and your
- 1:15- responsibilities?
- 1:17- Sure. Hi, everyone. I'm Denise Scarpelli. I'm the
- 1:19- vice president and chief pharmacy officer at University
- 1:21- of Chicago.
- 1:22- I've been in this role about four years,
- 1:24- and I'm have enterprise oversight to oversee
- 1:28- our main hospital campus,
- 1:30- our Comer Hospital,
- 1:32- our Ingalls Hospital that's on in Harvey, and
- 1:34- also our Micro Hospital, which is in Northwest
- 1:37- Indiana.
- 1:39- Oversee day to day operation strategy,
- 1:42- oversee the finances and growth,
- 1:44- and anything that touches pharmacy is under my
- 1:47- oversight.
- 1:49- Great. Thank you so much for that introduction.
- 1:52- Now to start the conversation, I love to
- 1:54- look to drug spend,
- 1:56- specifically the trajectory
- 1:58- of drug spend and, you know, which categories
- 2:00- you believe are driving it. There's been numerous
- 2:02- reports that drug spend is on the rise.
- 2:04- So just curious to hear your thoughts on
- 2:06- this.
- 2:07- Yeah. It's funny you asked this. I just
- 2:09- wrote a, an editorial for another publication around
- 2:12- drug spend.
- 2:14- And, really, drug spend is up, but, really,
- 2:16- due to utilization.
- 2:18- Everyone thinks it's due to inflation, and it's
- 2:20- not inflation. Inflation of drugs have been flat,
- 2:24- but it's really it's the new therapies that
- 2:26- are coming to market that are expensive.
- 2:28- GLP ones is really driving
- 2:31- the drug spend,
- 2:32- gene and cell therapies,
- 2:34- biosimilars.
- 2:35- So it's really we're seeing an increase in
- 2:37- utilization
- 2:38- in clinics,
- 2:40- retail specialty and mail,
- 2:42- and all the new therapies that are coming
- 2:44- to market
- 2:45- that are very expensive is really causing
- 2:49- the cost of drugs to increase. And I
- 2:51- think last year was one of the years
- 2:53- that was the highest cost
- 2:55- increase in drug cost, and it's really due
- 2:57- to all the new expensive therapies coming to
- 2:59- market.
- 3:01- Gotcha. And what are some ways that that's
- 3:03- hitting health systems directly?
- 3:07- Obviously,
- 3:08- GLP-one
- 3:09- is hitting the health systems,
- 3:11- and this is really all the drug expenses
- 3:14- really increasing on the outpatient side. On the
- 3:17- inpatient side, a lot of health systems have
- 3:20- done a really good job on drug formulary
- 3:22- management, so really keeping that drug spend down.
- 3:25- Also the gene and cell therapies, more and
- 3:28- more come to market. Some of those have
- 3:30- a million to $2,000,000
- 3:31- price tag on it. So that's really causing
- 3:34- the increase
- 3:36- of drug spend in health systems.
- 3:38- Also, a lot of the infusion drugs or
- 3:40- biosimilars that we're administering in a lot of
- 3:42- our clinics for infusion
- 3:44- is also driving that increase in drug spend
- 3:47- for health systems.
- 3:49- Gotcha. Thank you so much for sharing. More
- 3:51- on that.
- 3:52- And speaking of GLP ones, I'm curious how
- 3:55- are GLP ones landing in your budget and
- 3:57- your formulary right now?
- 3:59- So on the outpatient formulary, it's an open
- 4:02- formulary.
- 4:03- On the inpatient side, we have it restricted.
- 4:06- We call it a non formulary request.
- 4:09- A lot of these therapies don't need to
- 4:10- be started on the inpatient side and the
- 4:12- patient can be waited till they get discharged.
- 4:15- About a year and a half ago, because
- 4:17- we've seen such an influx of this, we
- 4:19- started a program called pharma fit. So it's
- 4:22- a referral that goes to our pharmacist.
- 4:24- We have a team that manages,
- 4:27- the GLP ones for our patients.
- 4:29- So any clinic or provider can send a
- 4:32- referral,
- 4:33- and the pharmacist will work with the patient
- 4:35- to make sure that they're getting it covered.
- 4:38- It's the right one based on that patient's
- 4:40- plan, and then they also track the patient
- 4:43- if the patient's getting the GLP for weight
- 4:45- loss. They're making sure the patient's hitting their
- 4:47- goals.
- 4:48- A lot of obviously, some of these patients
- 4:50- are getting it from the other therapies such
- 4:52- as diabetes or sleep apnea.
- 4:54- There's so many new indications, but we have
- 4:57- a whole program to manage it on the
- 4:59- outpatient side,
- 5:00- but we're not really starting therapy on the
- 5:02- inpatient side because it's not really needed, and
- 5:04- it helps us keep our drug spend down.
- 5:07- Gotcha. Yeah. And a very important part to
- 5:09- keeping drug spend down. So thank you for
- 5:11- sharing.
- 5:12- And you touched on biosimilars
- 5:14- as well. I'm curious, you know, where has
- 5:16- biosimilar adoption gone well for UChicago and, you
- 5:19- know, where have you seen it stalled and
- 5:20- kind of hope for it to grow more?
- 5:22- Yeah. So biosimilars, when they first came to
- 5:25- market, I think everyone was excited for them.
- 5:28- And everybody it was a slow go. And
- 5:30- I think a lot of the times what
- 5:31- we discovered was as a health system, you
- 5:34- might pick one biosimilar for your your drug
- 5:36- formulary,
- 5:37- and then you realize not every payer picked
- 5:40- that drug for their formulary.
- 5:42- So about two years ago, we decided that
- 5:44- we would go back and,
- 5:46- create a payer adaptive model. So we carry
- 5:50- multiple biosimilars in the same class based on
- 5:53- what Medicare, Medicaid, or commercial is paying.
- 5:56- And so when a patient is,
- 5:59- referred one of the biosimilars
- 6:01- based on
- 6:02- their payer,
- 6:04- we pick which biosimilar
- 6:06- is covered on their plan. It is more
- 6:08- time consuming for us and
- 6:11- have to keep more inventory,
- 6:13- but it is working and we're starting to
- 6:15- see more adoption of this. And you see
- 6:17- this across many health systems across the country
- 6:20- that you're starting to see the growth or
- 6:22- utilization
- 6:23- of biosimilars.
- 6:24- But I would say the first couple years
- 6:26- it was slow to go and it was
- 6:28- really because there were so many different biosimilars
- 6:30- and everybody was picking one and it really
- 6:33- wasn't covered in all plans. And, you know,
- 6:36- it's good that sometimes when all payers prefer
- 6:38- the same one, but we're not seeing that
- 6:40- across the board. So,
- 6:42- we call it a payer adaptive model for
- 6:44- biosimilars.
- 6:46- Gotcha. Well, I'm glad to hear that it's
- 6:48- you're starting to see some success in some
- 6:50- areas with that.
- 6:52- And now turning I like to turn to,
- 6:54- you know, drug shortages, you know, coupled with
- 6:56- the trajectory of the drug spend. It's another
- 6:59- thing that's definitely top of mind for pharmacy
- 7:02- leaders. So I'm curious, you know, what's the
- 7:03- state of shortages in your opinion compared with,
- 7:06- say, a year ago,
- 7:08- and where do you see it going in
- 7:09- the next year?
- 7:11- Yeah,
- 7:11- so to me I feel drug shortages have
- 7:13- not improved.
- 7:15- I would say if I look over a
- 7:16- year ago maybe they're getting worse or there's
- 7:18- more,
- 7:19- I would say, life
- 7:22- saving drugs that we're seeing that's coming on
- 7:24- shortage.
- 7:25- Obviously, most of them are generics and some
- 7:27- of these were long term generics like the
- 7:29- carboplatin,
- 7:29- cisplatin, some of the oncology drugs.
- 7:32- It's becoming
- 7:34- that also is tying into drug
- 7:37- expense because obviously now we have to find
- 7:39- something else. Some of these don't have an
- 7:41- equivalent. We're going back to the brand name
- 7:43- drug of that.
- 7:44- Now we're seeing a new surge called five
- 7:46- zero five b two's,
- 7:48- which is
- 7:49- companies that are developing drugs similar to that,
- 7:53- that go through the
- 7:55- can bypass the FDA approval, but they're more
- 7:57- expensive.
- 7:58- But these are drugs that we have to
- 8:00- have. I mean, these patients need it to
- 8:02- save their life,
- 8:03- so we're seeing a higher expense with that.
- 8:06- But my team meets three days a week,
- 8:09- to review all the drug shortages. It's very
- 8:11- labor intensive.
- 8:14- We're constantly moving therapies,
- 8:17- and keeping an eye on it. So I
- 8:18- don't see it getting better.
- 8:20- I actually feel that it's been pretty consistent,
- 8:23- but this past year there's just been more
- 8:25- concern
- 8:26- of drugs that there's not an alternative. So
- 8:29- we have to come up with a better
- 8:30- solution for these patients because
- 8:33- they are life saving drugs.
- 8:36- Definitely. Couldn't agree more.
- 8:38- And you mentioned, you know, meeting with your
- 8:40- team. I'm curious, are there any other aspects
- 8:43- of pharmacy leadership
- 8:46- that people outside maybe never see or don't
- 8:48- think of that are really important to the
- 8:50- day to day for you?
- 8:53- I think when people think that we're pharmacists,
- 8:55- that we're just, you know, in a pharmacy
- 8:57- pulling drugs off the shelf, filling it in,
- 8:59- getting it to a patient.
- 9:01- But even thinking about drug shortages, you know,
- 9:03- you need a group of clinical pharmacists to
- 9:06- get together
- 9:07- to determine, you know, if we can't get
- 9:09- this drug, what are we gonna switch to?
- 9:11- And how do we operationalize
- 9:13- that? And getting that drug from the manufacturer
- 9:16- or the wholesaler and switching
- 9:18- it in our EMR system and maybe in
- 9:21- our automation. So there's a lot of behind
- 9:23- the scenes work that goes on to make
- 9:25- sure that the right therapies are getting the
- 9:27- patients.
- 9:29- Also as new drugs come to market, you
- 9:31- know, we just don't carry them all. We
- 9:33- wanna make sure that they're safe and effective,
- 9:35- that they're cost effective.
- 9:37- So there's a lot of, work that goes
- 9:39- behind the scenes to make sure that we
- 9:42- are being good stewards of how we spend
- 9:45- money and how we're procuring drugs and how
- 9:48- we're billing insurance companies. That's always so important
- 9:50- for us to
- 9:52- move to the payer adaptive model for biosimilars
- 9:54- because it's the right thing to do for
- 9:56- health care, right thing to do for patients
- 9:58- and payers. So there's a lot of behind
- 10:00- the scenes that I don't think people realize
- 10:02- that goes into pharmacy.
- 10:04- The other thing is pharmacies,
- 10:06- probably one of the resources of health systems
- 10:08- that are bringing in, you know, additional revenue.
- 10:11- So expanding specialty pharmacy, building infusion centers,
- 10:15- making retail pharmacies.
- 10:17- A lot of large health systems are now
- 10:19- in pharmacy deserts, so we become
- 10:22- the
- 10:23- community pharmacy for that community that we're in
- 10:25- because, you know, a lot of the big
- 10:25- box retailers have pulled out.
- 10:29- So pharmacy is a strategic arm for a
- 10:32- lot of health systems
- 10:33- to continue to service our patients in the
- 10:35- community.
- 10:37- Definitely. And with that, you know, you mentioned
- 10:39- the expansion of pharmacy including, you know, specialty
- 10:42- and retail.
- 10:43- And, you know, with that expansion, you need
- 10:45- the workforce to expand with it. I'm curious
- 10:48- how is the pharmacy workforce holding up in
- 10:50- your opinion,
- 10:52- and, you know, also where do you see
- 10:54- that trajectory going in the future?
- 10:56- Yeah. It's been a challenge. I would say
- 10:58- over the last six years, it's been a
- 11:00- very hard to recruit pharmacists,
- 11:03- hard to recruit technicians. We rely on technicians
- 11:05- a lot both on the inpatient and outpatient.
- 11:08- A lot of our technicians help our patients
- 11:10- with med access and affordability.
- 11:13- So it's it's been difficult to recruit. You
- 11:15- know, we're competing with other
- 11:17- health care organizations, but also other health care
- 11:21- entities, meaning like, you know, nurse there's this
- 11:24- you know, it's sometimes hard to get nursing
- 11:26- and it's hard time to get providers. So
- 11:29- when you talk to a lot of the
- 11:30- pharmacy schools, their enrollment is down. So it
- 11:33- concerns me long term. Are we going to
- 11:35- have enough pharmacists to be able to cover
- 11:38- everything that we need as health care continues
- 11:40- to grow?
- 11:41- But also technicians. So we look at strategies
- 11:44- every day of, you know, can we create
- 11:46- an a program internally
- 11:48- where we train maybe other
- 11:50- individuals that maybe want to be a pharmacy
- 11:53- tech? Can we encourage our pharmacy technicians to
- 11:55- go to pharmacy school? So where is the
- 11:57- pipeline?
- 11:58- But I feel that the last six years,
- 12:00- it's been a challenge and it's not only
- 12:02- in Chicago, I would say it's national and
- 12:05- everyone needs to figure out how do we
- 12:07- continue to increase the pool, but also look
- 12:10- at tools to create efficiencies. Can we use
- 12:13- automation?
- 12:14- Can we use AI to do some of
- 12:16- the the manual tasks that
- 12:18- that we could repurpose people to do more
- 12:20- clinical function? So I think that's gonna be
- 12:23- some of the long term solutions is really
- 12:25- using AI or automation,
- 12:27- because I think the workforce is gonna continue
- 12:29- to be a struggle.
- 12:31- Gotcha.
- 12:32- Well, thank you so much for sharing all
- 12:34- these insights with me and giving a really
- 12:36- nice lay of the land of the current
- 12:37- state of the industry right now. That's all
- 12:40- the time we have for today's episode of
- 12:41- the Becker's Healthcare podcast.
- 12:43- Big thank you again to Denise for joining
- 12:45- us. Thanks everybody for listening, and we will
- 12:47- see you next time.
- 12:49- Thank you.