Hospital Pharmacy Inventory

Accurate Financial Valuation:

• Provides the exact value of the pharmacy’s inventory assets at a specific point in time, crucial for accurate financial statements and accounting.

Enhanced Regulatory Compliance:

• Fulfills legal, state board, DEA (for controlled substances), and potentially 340B program requirements for medication tracking, accountability, and auditing.

Informed Budgeting and Forecasting:

• Supplies accurate data on inventory levels, value, and turnover rates, which aids in more precise budget planning and future purchasing forecasts.

Improved Inventory Accuracy:

• Reconciles the physical quantities of medications on hand with the amounts listed in the perpetual inventory system, ensuring records are precise.

Identification of Discrepancies:

• Uncovers variances caused by theft, diversion, damage, dispensing errors, receiving mistakes, or unrecorded transactions, allowing for investigation and correction.

Optimized Expiration Date Management:

• Identifies medications approaching their expiration dates, enabling proactive management to minimize waste through timely use or return, and ensuring expired drugs are removed from circulation.

Detection of Spoilage or Damage:

• Allows for the physical inspection of stock to identify any compromised products due to improper storage, temperature fluctuations, or physical damage.

Improved Stock Management:

• Offers critical data to refine reorder points and quantities, helping to prevent stockouts of essential medications (enhancing patient care) and reduce carrying costs associated with overstocking.

Identification of Process Weaknesses:

• Can highlight potential flaws or inefficiencies in receiving, storage, security, dispensing, or record-keeping procedures.

Enhanced Accountability:

• Reinforces staff responsibility and awareness regarding inventory control and management practices.