Top 7 Features to Include in Pharmacy Inventory System for Better ROI

Introduction

A pharmacy inventory system or pharmacy management software stores data and systemizes and controls the pharmacy’s medication process. Healthcare technology is becoming advanced as the day passes to automate healthcare management.  

An inventory system for pharmacy enables the control of medicine stock and the selection of the right medicine by using pharmacy software systems. A pharmacist can utilize a pharmacy inventory system to improve pharmacy management services. In minor illnesses, patients prefer pharmacies over doctor’s visits, and a pharmacy management system can prescribe over-the-counter medicines. The automated inventory system pharmacy helps to manage medications better and automate the delivery of drugs. 

Why Is Inventory Management Necessary In Pharmacies?

Inventory management is the most significant concern in every pharmacy. Pharmacies rely on effective inventory management for patient safety, avoiding stockouts, reducing waste, and improving profitability. They dispense a wide variety of medications with critical expiration dates and storage requirements, which must be managed efficiently. Inventory management also helps reduce waste by ensuring medications are used before expiration and optimizing inventory levels to reduce costs.

Pharmacies face unique challenges, such as tracking batch numbers and expiration dates for various product types. Moreover, excess and unsold stock drains money that could be spent on improving the services provided by your local pharmacy. Not having required supplies in stock or on order creates a negative customer experience, which may cause patients to take their prescriptions elsewhere. Poor inventory management can also lead to items not being sold before they expire or not restocking returned or uncollected repeat prescriptions. 

Therefore, good inventory management is essential for improving cash flow, increasing margins by reducing waste, and improving the service you provide. While many contemporary pharmacies today employ a PMR system to handle dispensing, some software packages now include stock and inventory management services, automating stock checks and even orders required to fill prescriptions.

7 main features of a pharmacy inventory system

1. E-prescription

Prescriptions are usually difficult to read, which can confuse patients and be a source of error when dispensing the right medicine. E-prescriptions are an essential feature of a pharmacy inventory system that provides a user-friendly option for the patients and reduces errors.  Pharmacies can use the electronic prescription feature of prescription management software to manage refills. It also allows doctors to send the new refills directly into the pharmacy operating systems, allowing rapid dispensing of the medicines. E-prescription in a pharmacy database management system analyses data and removes all confusion in delivering the right prescription medicines.

2. SMS and alerts

Electronic pharmacy systems allow pharmacists to schedule text messages to be sent to patients notifying them before their prescriptions run out. With pharmacy inventory software, patients can then let the pharmacist know if they need a refill simply by responding to the message. It enhances practice management and also improves patient engagement. The status updates enable the pharmacists to keep in touch with the patients, which increases patient satisfaction.  

3. Multi-store and multi-location support

This feature of pharmacy inventory software allows users to manage stores at multiple locations with a prescription management system. It enables the view of data and exchange electronic data on stock levels, sales, and returns from various stores in a single inventory management software for hospitals. A hospital inventory management software provides comprehensive reports for the entire chain of stores, which gives the user a comprehensive view of profit, loss, stock levels, etc.  

4. User management

User management in pharmacy management solutions restricts access to various users. Different users can be limited to multiple features of pharmacy management software to facilitate management. Authentication is divided into two types: administrator user and administrator authentication user.

The administrator user of a pharmacy management solution can manage the buying and selling of medicines, list the medicines, view the stock, and perform other tasks. The administrator authentication user of a pharmacy management software development can view all processes, including selling reports and transactions and manipulate the medicine list and medicine stock.   

5. Expiry management

A mandatory feature for integrated pharmacy management solutions is expiry management. Pharmacies may suffer huge losses due to expired products. In any pharmacy, medicines are usually purchased in bulk with different MRP & expiry dates. As a result, pharmacists may lose track of the expiry dates of each medicine and mistakenly keep them on the shelves. This can be avoided by adding an expiry management feature in a pharmacy management system software in healthcare. It can notify the near-expiry medicines that the pharmacists can sell beforehand or return to the supplier.

6. Re-order management

Re-order points in a pharmacy management process refer to learning when to refill the stock, which product is better performing in the inventory, and so on. Such information in the pharmacy inventory management system workflow process can help pharmacists remain organized and informed. The pharmacists can decide the minimum & maximum stock level points. Then, the pharmacy inventory system software can indicate when the stock reaches the minimum level and when it is time to re-order the supplies. This feature of the inventory system in the pharmacy also suggests the best buy option with the nearest suppliers’ schemes and helps save more. 

7. Reporting

Pharmacies treat several patients daily and store large volumes of health informatics in their computerized inventory system. Data in a pharmacy inventory system can improve the business strategy or be needed during a certification or inspection process.  

The reporting feature of the cloud-based pharmacy inventory system integration offers valuable insights into the operations of the pharmacy. It can be used to identify the patients who visit the pharmacy frequently for refills, which can further be applied to stock accordingly.

How Pharmacy Inventory Management is Efficient Through Technology?

The demand to maximize production while controlling costs is universal in inpatient, outpatient, and long-term care pharmacies. Efficient pharmacy inventory management is required for a successful store. The healthcare sector needs constant access to essential medications to save lives. Pharmacies have a limited budget to address any inventory inefficiencies. In addition, most health pharmacies do not employ calculated ways to refill and order. Following this approach can frequently result in supply shortages due to insufficient demand and preparation.

That’s where technology emerges as a powerful tool. It addresses these issues for various forms of inventory in pharmacies by optimizing stock levels, expediting operations, and lowering costs.

Off-the-Shelf vs. Custom Pharmacy Management System

1. Ready-Made

You may have previously encountered several off-the-shelf inventory management systems. Most of them offer to simplify any inventory management process with a simple setup quickly. Although these solutions are ideal for healthcare facilities, there are certain drawbacks to consider before deciding which alternative to adopt. Off-the-shelf software can be a cost-effective option that is quick to implement, but it has limited scalability and customization. 

2. Custom

Custom software development by a telemedicine app development company provides a personalized and tailored approach to technology implementation to ensure that the customers’ unique needs are met. Every aspect of the solution, including security measures, technology, features, and user interfaces, is tailored to the intended user base, budget, specific business objectives, and existing workflows. Pharmacy inventory management software can be readily purchased, but it performs best when customized and personalized for each pharmacy. 

Cost Considerations for Pharmacy Management System

Pharmacy inventory system cost varies depending on the pharmacy’s size, number of locations, and specific tasks. Software vendors consider these factors when setting prices. Most vendors don’t advertise specific prices but ask for a quote or live demo. Most pharmacy software systems have a one-time installation fee and an ongoing monthly cost. For a new pharmacy, installation costs can range from $15,000-$30,000, with monthly fees for support and upgrades. Conversion costs can range from $10,000 to $30,000.

Conclusion

These features are a must-have while developing a pharmacy inventory management system for achieving high patient engagement and better revenue cycle management. OSP can help you with custom pharmacy management software development to effectively manage the stock and delivery of medicines. Our expert software developers can integrate all the necessary features and create an interoperable pharmacy inventory system.