Latest / Becker’s Healthcare Podcast / Laura Mark, Vice President of Pharmacy at Allegheny Health Network
Transcript
- 0:02- Pharmacy has long been viewed as a cost
- 0:03- center, but that framing is starting to shift,
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- 0:09- Don Wright, pharmacy is one of the most
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- 0:59- Hello, everybody. Welcome to the Becker's Healthcare Podcast.
- 1:02- I'm Ella Jeffries, reporter with Becker's. Today, I'm
- 1:05- joined by Laura Mark, vice president of pharmacy,
- 1:08- Alenity Health Network.
- 1:10- In this episode, we'll discuss how health systems
- 1:12- can improve medication
- 1:13- inventory visibility across hospitals and care settings,
- 1:17- navigate ongoing drug shortages and supply chain challenges,
- 1:20- and build an enterprise wide inventory strategy that
- 1:23- improves operational efficiency while supporting patient care. Laura,
- 1:26- thank you so much for joining me today.
- 1:28- To start, could you please introduce yourself and
- 1:30- share a bit about your role and your
- 1:31- responsibilities
- 1:32- as vice president of pharmacy?
- 1:35- Thank you, Ella, and thank you to Becker's
- 1:37- for inviting me to, talk about this topic.
- 1:41- My name is Laura Mark. I am the
- 1:42- vice president of pharmacy at Allegheny Health Network,
- 1:46- which oversees,
- 1:48- 12 hospitals health system,
- 1:52- overseeing all things pharmacy. So from inpatient operations
- 1:55- to infusion centers to retail specialty,
- 1:59- ambulatory care,
- 2:00- and our, central distribution center and service center
- 2:04- and central field location too as well. So
- 2:06- anything pharmacy,
- 2:08- really, we have an oversight for,
- 2:10- within our,
- 2:12- within our system.
- 2:15- Awesome. Thank you so much for that context.
- 2:18- Now I understand that you recently led an
- 2:20- initiative
- 2:21- to improve
- 2:22- enterprise wide medication
- 2:24- inventory visibility
- 2:25- across your hospitals and infusion centers. I'm wondering
- 2:28- if you can walk us through, you know,
- 2:29- what prompted that effort
- 2:31- and, you know, what the biggest challenges your
- 2:34- teams were facing before you got started with
- 2:36- that were.
- 2:37- Alright. Well, thank you.
- 2:39- Well, leading and looking at what our leaders
- 2:41- do and our staff do on an everyday,
- 2:44- basis,
- 2:45- there is so much complexity
- 2:47- in pharmacy operations that they have to do
- 2:49- from a regulatory perspective also
- 2:52- and then maintaining service levels.
- 2:54- Seemed that,
- 2:55- what we were really looking at, what could
- 2:57- we do to help streamline operations?
- 3:00- And one of the areas that we looked
- 3:02- at was on inventory management.
- 3:05- And that
- 3:06- piece seemed to be so task heavy burden
- 3:10- to our staff
- 3:11- in managing
- 3:12- a sort of a manual process,
- 3:15- of inventory management.
- 3:17- And especially during, difficult times of staffing strain,
- 3:20- interruptions,
- 3:21- and changing supply chain conditions,
- 3:23- It was just really an unsustainable,
- 3:27- way of managing inventory,
- 3:29- by doing everything we were doing manually and
- 3:31- at individual sites.
- 3:33- We really did take a network, a standardized
- 3:36- approach in looking at this and how we
- 3:38- can prove the consistency
- 3:40- while supporting the pharmacy team, including our staff,
- 3:43- frontline staff, our buyers,
- 3:45- and our leaders too as well.
- 3:49- That's great. Thank you so much for sharing.
- 3:52- And I'm also curious, you know, what did
- 3:55- enterprise wide inventory visibility actually look like in
- 3:58- practice? You know, how did you connect connect
- 4:00- inventory data across hospitals, infusion centers, and other
- 4:04- care settings?
- 4:06- For us, inventory,
- 4:08- enterprise visibility for inventory
- 4:10- really meant having one coordinated view of all
- 4:13- inventory across all hospitals and infusion centers
- 4:16- instead of just relying on individual sites to
- 4:19- manage independent,
- 4:20- their inventory independently.
- 4:24- The visibility
- 4:25- really helped us to understand,
- 4:27- where medications were available and identify trends more
- 4:30- quickly and make proactive,
- 4:32- decisions
- 4:33- rather than reacting to inventory issues, after they
- 4:36- occurred. And it really did support our frontline
- 4:39- staff too as well, that transparency
- 4:42- and that,
- 4:43- piece. We really needed to, help our our
- 4:46- staff,
- 4:47- with understanding what was happening with inventory.
- 4:51- So we really did when we were looking
- 4:53- at this,
- 4:55- approach and taking enterprise
- 4:57- lens at this,
- 4:59- we were really looking at standardization
- 5:01- and connecting
- 5:03- all of our technologies and inventory intelligence.
- 5:06- We landed on Omnicell's inventory optimization service, and
- 5:10- we really felt that that was really a
- 5:12- great approach.
- 5:14- Lot of places,
- 5:15- do things with walls and building out central
- 5:18- service centers. And at the time, we did
- 5:20- not build out our central service center. We
- 5:22- didn't have walls.
- 5:23- So we really wanted it the technology,
- 5:27- what could we do without walls
- 5:29- And leveraging the, the sales inventory optimization service,
- 5:33- their iOS,
- 5:34- piece really did help us, and that was
- 5:36- a solution that
- 5:38- fit best best for what we want to
- 5:40- accomplish.
- 5:42- The connectivity
- 5:43- and the infrastructure really helped us to standardize
- 5:46- stocking,
- 5:46- replenishment,
- 5:48- inventory management practices across all sites. This really
- 5:51- made it easier to operate as one coordinated
- 5:54- health system instead of looking at individual hospitals.
- 5:58- We also use this for IV standardization
- 6:00- process too as well. So we use iOS
- 6:02- to view usage of compounded items, helping us
- 6:05- to optimize
- 6:06- performance of our IV technology assisted workflow, IVX,
- 6:10- that is also OmniSell,
- 6:12- across our hospitals and our infusion centers.
- 6:15- Great. Thank you so much for sharing.
- 6:19- And, you know, aside from the the technology
- 6:22- that you were just walking me through, I'm
- 6:23- curious what, you know, cultural changes were just
- 6:26- as important as that technology aspect itself,
- 6:29- you know, to really get the team on
- 6:31- board with, with these changes.
- 6:34- That's a great question.
- 6:36- One of our biggest lessons that we learned,
- 6:39- quickly and and thankfully,
- 6:41- is that technology doesn't create standardization
- 6:43- on its own.
- 6:45- Leadership alignment was really something that we focused
- 6:48- on in a shared governance process that was
- 6:51- consistent processes were just as important as the
- 6:53- technology itself.
- 6:56- So
- 6:57- before we even implemented technology, we focused on
- 7:00- our governance structure
- 7:01- and that process improvement
- 7:04- as well to understand
- 7:06- because just because we had technology didn't mean
- 7:08- that we were going to have a,
- 7:10- standardized
- 7:13- approach. We learned also that sustainable enterprise outcomes
- 7:16- required more than just technology.
- 7:18- We needed to share governance and clear standards.
- 7:20- And so we really focused, prior to even
- 7:22- implementing technology,
- 7:24- was on those clear standards in that governance
- 7:26- structure.
- 7:27- We did this with,
- 7:29- to leverage that too as well. And one
- 7:31- of the things that once we had the
- 7:32- technology,
- 7:33- we've really enforced, like, NDC level purchasing standardization
- 7:38- through that enterprise governance,
- 7:40- through a change management,
- 7:41- that was managed centrally
- 7:43- and then executed consistently across all sites.
- 7:48- We were fortunate that when we really looked
- 7:51- at to our,
- 7:53- once we had our governance structure, we really
- 7:55- looked for business partners. And, thankfully, we really
- 7:58- do see, Omnicell as a strategic partner. They
- 8:01- became an extension of our pharmacy team rather
- 8:04- than just a technology vendor.
- 8:07- So it's really important to really, think about
- 8:10- breaking down silos,
- 8:12- pairing automation with intentional design and processes
- 8:16- across the network.
- 8:19- Definitely. I'm sure. I can't imagine how important
- 8:22- that is to for success.
- 8:24- And and speaking of success,
- 8:26- as you implemented this strategy,
- 8:28- how did you go about measuring that? What
- 8:29- outcomes did you, you know, ultimately see both
- 8:32- from a financial standpoint and in terms of,
- 8:35- you know, pharmacy operations and patient care for
- 8:37- the health system?
- 8:39- So success just isn't measured in savings. We
- 8:42- looked at whether our teams had better visibility,
- 8:45- whether medications were available when clinicians needed them,
- 8:48- and whether we could respond more effectively to
- 8:50- shortages.
- 8:52- Prior to, we were managing,
- 8:54- drug shortages all on,
- 8:57- Excels, and we were all everybody was tasked
- 9:00- with trying to find out their inventory levels
- 9:02- prior to a weekly meeting.
- 9:04- We don't have to do that anymore.
- 9:06- We have a weekly meeting, and we really
- 9:08- do leverage Omnicell's iOS system
- 9:11- to help with, coordination of drug shortages. And
- 9:14- to the point where we know
- 9:16- what we're managing,
- 9:17- we know the days on hand and where
- 9:18- that inventory is,
- 9:20- located,
- 9:21- it has really helped streamline some of our
- 9:23- buyers too as well and the work that
- 9:25- they do. So they don't have to make
- 9:27- wasted phone calls to check and ask everybody,
- 9:30- do they have something on hand? They have
- 9:32- that easy visibility,
- 9:34- and they can easily go to each buyer
- 9:36- or, we have a group chat that's great,
- 9:39- that they go back and forth with on
- 9:40- drug shortages.
- 9:41- So a lot
- 9:43- of, decrease of wasted time on on their
- 9:45- end,
- 9:46- that they've been very happy with too as
- 9:48- well.
- 9:49- From a savings perspective,
- 9:51- we've done a total savings to date of
- 9:53- $4,200,000,
- 9:55- which really has strewn stemmed from NDC optimization,
- 9:59- from inventory reduction,
- 10:01- and then also from dead stock reduction. So
- 10:04- very excited about those things that,
- 10:07- again,
- 10:08- from a partnership with Omnicell,
- 10:10- we meet on a regular basis, and, we
- 10:13- have that visibility
- 10:14- that our buyers can take action on on
- 10:17- a regular basis, but then they're also, joined
- 10:19- in, with Omnicell
- 10:21- on our regular monthly meetings too as well
- 10:24- to measure
- 10:25- that. It's very important for us to to
- 10:28- be able to get back to our staff
- 10:32- and recognize and show them the value of
- 10:34- the work that they're doing. So be being
- 10:37- able to have these statistics and the finances
- 10:40- back to them,
- 10:41- as what they're doing and their work and
- 10:42- the impact that they're making on savings has
- 10:44- been very important to us.
- 10:47- In addition, from a stockout perspective, we've been
- 10:50- able to show our staff that our stockout
- 10:52- rate went down to point 46%,
- 10:54- which has been great. They've been very appreciated
- 10:56- of that. And, again, that goes back to,
- 10:59- you know, what are we doing
- 11:01- from a
- 11:02- technology perspective, but then how are we bringing
- 11:04- that information back to our frontline staff to
- 11:07- showing their value
- 11:08- as to the work that they're doing?
- 11:10- We've been able to, issue to restock ratio
- 11:13- of 9.58,
- 11:15- so we're very excited about that number too
- 11:17- as well. And, again, we've transitioned from spreadsheets
- 11:20- based tracking to structured system on wide days
- 11:23- on hand visibility,
- 11:25- from the staff level.
- 11:28- With that, with the stockout ratios and decrease
- 11:31- in stockout ratios, we've had faster medication access
- 11:33- for nursing and patient care teams as a
- 11:35- result.
- 11:37- And, again, while those financial outcomes are very
- 11:39- important,
- 11:40- we really want the reflection of building a
- 11:43- more consistent process across the enterprise.
- 11:48- Definitely. That's so important. Thank you so much
- 11:51- for sharing the context on that.
- 11:54- And, you know, for health systems that
- 11:56- recognize they might need better inventory visibility, but
- 11:59- maybe aren't sure where to begin, what's that
- 12:01- first step that you would recommend,
- 12:04- they pursue that, you know, you encounter during
- 12:07- your own journey or a lesson learned?
- 12:09- I
- 12:10- would really encourage organizations to start with the
- 12:13- people and process before technology.
- 12:15- And that's sort of a everybody starts with
- 12:18- technology,
- 12:19- but really aligning the shared goals and breaking
- 12:22- down silos across sites,
- 12:24- thinking about how you want your pharmacy teams
- 12:26- to operate as one enterprise
- 12:28- really is just as important as the technology.
- 12:32- And it's really gonna set you up from
- 12:33- a success perspective when you have that technology
- 12:36- available.
- 12:38- Technology can help accelerate the work, but it's
- 12:41- really best when it's supporting a well designed
- 12:43- process and governance model.
- 12:48- Definitely. That's great advice. Thank you.
- 12:51- And looking ahead, how do you see pharmacy
- 12:54- inventory management evolving over the next, say, three
- 12:57- to five years? Do you think that technologies
- 13:00- like AI or predictive analytics,
- 13:02- are going to just continue becoming a larger,
- 13:04- more integral part of the conversation, or do
- 13:06- you see the the field going in a
- 13:08- different direction?
- 13:14- I I think by leveraging the technology,
- 13:17- and moving forward in the future,
- 13:19- it's really where pharmacy leaders have much more
- 13:21- greater visibility,
- 13:23- and can make decisions proactively instead of just
- 13:25- reactively.
- 13:27- And it's not only just our pharmacy leaders,
- 13:29- but it's also our frontline staff too as
- 13:31- well. So very excited about that,
- 13:35- Again, getting back to the frontline staff.
- 13:38- For us, this means also continuing to standardize
- 13:40- workflows.
- 13:41- We use data more effectively and really look
- 13:44- for opportunities to improve medication management across the
- 13:47- entire health system.
- 13:51- Gotcha.
- 13:52- Well, Laura, this has been such a great
- 13:54- conversation. Thank you so much for sharing your
- 13:56- perspective and insights with the Becker's team. That's
- 13:59- all for today's episode of the Becker's Healthcare
- 14:01- podcast. A big thank you again to Laura
- 14:03- Mark for joining us. Thanks for listening, everybody,
- 14:05- and we'll see you next time.