Infusion Project: Case Study Problem Statement and Background . Total spend for oncology drugs and supplies was decentralized . There were two different models in place: . Management Services Model . Provided management and pharmacy services . 15% premium on drugs, 20% premium on supplies . Monthly management fee . Provided staffing . Limited reporting on pricing and no rebates . Distributor Model . Outdated contract with unfavorable terms to BCM . Poor account management and support . Purchasing managed through a single purchase order . Limited reporting and visibility on product spend . Zero visibility on manufacturer price increases Baylor College of MedicineInfusion Project: Case Study Project Goal To centralize the practice and purchasing of oncology drugs and supplies; drive potential savings opportunities through managed contracts; create visibility in the product spend through the implementation of an inventory system. Project Scope The scope included negotiating and implementing a contract with a single distributor and establishing direct manufacturer agreements to achieve savings and increase rebates . Phase 1: Complete a proforma with a cost benefit analysis of moving away from a Management Services model to the practice ran directly by Baylor clinical staff . Phase 2: Identify savings opportunities through a formal contracting process . Phase 3: Work with the Office of Information Technology to standup an inventory system for all oncology drugs and supplies Baylor College of MedicineInfusion Project: Case Study >Collaborative effort with representation across several departments - Ambulatory Operations (pharmacy staff and physicians) - Finance and Accounting - Supply Chain Management . Information Technology . Project Management Ofce - Patient Business Services and Revenue Cycle >Development of a proiect charter - Outline of milestones, tasks and responsibility - Project goals and scope . Weekly status meetings - Implementation Timeline Infusion Project: Case Study Project Process . Ambulatory Operations - Provided common drugs and supplies used in the practice. Also provided information on the operational aspects, volume of patients. Senior pharmacist was also involved in the process . Finance - Developed the proforma and completed the cost benefit analysis with the assistance of Ambulatory Operations . Accounting - Established the requirements for the inventory system and how it would be accounted for on the books . Supply Chain Management - Negotiated the contracts with the manufacturers and the distributor. Standardize account setup process and negotiated rebate tiers based on historical usage . Information Technology - Completed the configuration and testing of the inventory system. Worked closely with the preferred distributor for technical implementation . Project Management Office - Managed the overall progress of the project Baylor . Patients Business Services - provide insight regarding the formulary and the billing and College of Medicine reimbursement for the drugsInfusion Project: Case Study . Dealing with unforeseen manufacturer price increases . Staff training Project . Purchasing drugs off contract Challenges . Keeping up with billing and reimbursement Baylor College of MedicineBaylor College of Medicine Baylor College of Medicine (BCM) in Houston located at the heart of the Texas Medical Center, the largest medical complex in the world BCM is recognized as a premier academic health science center and is known for excellence in education, research and patient care Baylor BCM research departments rank in the Top 25 in National Institutes of Health (NIH) College of funding Medicine Healthcare mission supports a large number of outpatient clinics and care centers Texas Children's Hospital, the nation's largest pediatric hospital staffed with 100 percent with BCM clinical faculty USA Today ranks BCM third in most affordable medical school list US News and World Report consistently ranks BCM as a top choice for medical students, graduate students and allied health students Baylor The medical programs are offered by the: School of Medicine, Graduate School of Medical College of Science, National School of Tropical Medicine and School of Allied Health Sciences Medicine