Financial Management for Health-System Pharmacists / Edition 1

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In an era of skyrocketing drug costs, changing reimbursement, pharmacist and technician shortages, and a seemingly permanent "do-more-with less" era of hospital and health system management, every management decision that a pharmacy manager makes has financial implications. Success as a manager means understanding and then mastering the basics of finance and accounting as practiced in institutional health care. This work will provide pharmacy managers with a set of fundamental financial management tools as they relate not only to pharmacy department management but to the management of the hospital and health care system as well.

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Editorial Reviews

Doody's Review Service
Reviewer: Albert I Wertheimer, BS, MBA, PhD (Temple University School of Pharmacy)
Description: This is a one-stop resource for learning about financial management of a hospital pharmacy. For those with basic knowledge, it is, as well, an excellent reference for when a question arises. The financial management principles are similar to those employed in operating a brewery or a dry cleaner, but all of the examples and cases are those faced by hospital pharmacy managers.
Purpose: The purpose is ably described by the editor in the preface: "The continuing focus on quality of care and on building a safe medication use system provides the context for the development of sound management practices and processes." Few other works are as complete, in depth, and specific. The book meets its goals of providing context, information, and specific detailed recommendations for the financial management of a health system pharmacy.
Audience: The book has several audiences. It is an ideal textbook for master's degree courses in hospital pharmacy, as a learning tool for pharmacists in hospital-based fellowships or residencies, and as a self-teaching tool for hospital pharmacists to help them upgrade their financial management skills or to prepare for promotion to positions requiring financial management knowledge. The editor is a well regarded expert in this field and is an associate at a leading accounting/auditing/consulting firm. He is joined by 27 other authors, most of whom are recognized as experts in their topics.
Features: The 17 chapters fall into one of two categories — basic, fundamental information or very specialized upper level topics necessary for leaders and administrators of institutional pharmacy departments. The examples, cases, and illustrations with figures and tables in ample quantities make this book quite understandable and straightforward. The 10-page glossary is a positive feature, while the 9-page index could be expanded. Most importantly, the material in this book is sufficient to make serious students or readers into managers who can perform the basic tasks of financial management. Since many hospitals run outpatient and other ambulatory care pharmacies in clinic buildings and at other satellite sites, the book could have included more detailed information about this topic than what is offered in the final chapter. However, this does not take away from the clear overall value of this excellent book.
Assessment: This is a most welcome addition to the references and textbooks in health system pharmacy. Many books cover the clinical and biomedical aspects of institutional pharmacy practice, but too few good quality publications in recent years have covered financial management. The book fills a large void and should be very successful in the marketplace. For too long, we have had to endure using financial management books intended for industrial organizations or generic books intending to cover all spheres of the healthcare delivery system. This specialized work is much needed.
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Product Details

  • ISBN-13: 9781585281633
  • Publisher: American Society of Health-Systems Pharmacists
  • Publication date: 10/1/2008
  • Edition number: 1
  • Pages: 278
  • Product dimensions: 7.00 (w) x 9.90 (h) x 0.50 (d)

Meet the Author

Dr. Wilson received his B.Sc. Pharm from the University of Connecticut in 1976 and his Pharm.D. from Wayne State University in 1978. Dr. Wilson has served as the Chief Pharmacy Officer of the National Institutes of Health (NIH) Clinical Center in Bethesda, MD, and as the Health System Director of Pharmacy and Associate Dean of the School of Pharmacy at Virginia Commonwealth University in Richmond, VA. He is currently Managing Consultant with McKesson Health Systems Pharmacy Optimization Group.
Dr. Wilson’s interests are in the area of health system pharmacy financial and operational management and benchmarking, and in healthcare information systems and automation. Dr. Wilson is the author of over 60 articles, chapters, reports, letters and editorials in the medical and pharmacy literature, and has edited three pharmacy management books in addition to his editorship of Financial Management for Health-System Pharmacists.
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Table of Contents

Table of Contents
vii         Foreword
ix          Preface
xi          Contributors
1          Chapter 1 Review of Financial Management and Cost Accounting Principles
27         Chapter 2 A Review of Hospital Financial Management and Cost Accounting
47         Chapter 3 The Health Care Budget Process
63         Chapter 4 Forecasting Pharmaceutical Expenditures
77         Chapter 5 Understanding Drug Expense Using Administrative Data
103       Chapter 6 Financial Management of Human Resources
111       Chapter 7 Cost Management Basics
135       Chapter 8 Budget Variance Analysis and Controlling Operating Results
155       Chapter 9 Financial Aspects of Pharmaceutical Contracts and Supply Chain Management
167       Chapter 10 Budgeting Revenue
179       Chapter 11 Pharmaceutical Reimbursement
189       Chapter 12 Benchmarking and Productivity Analysis
207       Chapter 13 Strategic Financial Planning
225       Chapter 14 Financial Planning and Assessment for Pharmacy Education and Research Programs
247       Chapter 15 Outsourcing Pharmacy Services
253       Chapter 16 Building the Financial Plan for a New Pharmacy Service
273       Chapter 17 Entrepreneurial Opportunities—Beyond Traditional Hospital Pharmacy
305       Glossary
315       Index

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