H. D. Smith Named BI Wholesaler of the Year

H. D. Smith, the country’s fourth largest national pharmaceutical wholesaler, is the recipient of the annual Boehringer Ingelheim Wholesaler of the Year Award. The award acknowledges H. D. Smith for outstanding performance and collaboration with Boehringer Ingelheim’s trade and revenue departments. 

Candidates for the award were evaluated through selection criteria in fourteen areas of operations. H. D. Smith and 22 peer companies were judged against a wide range of quantitative metrics, including service levels, inventory levels, demand variability, electronic data interchange, returns, deductions and chargebacks. Quantitative data determined the results of thirteen areas and the fourteenth, account collaboration, was voted on by members of the Boehringer Ingelheim trade and revenue departments. The award recipient must illustrate strength in all performance metrics, support Boehringer Ingelheim’s online information portal program and promote a positive dialogue with Boehringer Ingelheim’s trade and revenue departments. 

“Recipients of this award must excel across the board, and the fact that H. D. Smith surpassed its competition in all performance metrics is impressive,” said Bob Belknap, executive director sales and operations, Boehringer Ingelheim. “H. D. Smith achieved an overall average of 94.3 percent, compared to an 83 percent average rating by its peers. The company excels in its customer and supplier relations, which is a true hallmark of distribution partners recognized as Boehringer Ingelheim’s Wholesaler of the Year.” 

Taking part in the BI Wholesaler of the Year presentation are, from left: Chris Smith, president & COO, H. D. Smith; Dave Watkins, CFO, H. D. Smith; Bob Belknap, BI executive director, Sales and Operations; Bob Dynek, vice president, Purchasing, H. D. Smith; Dale Smith, chairman & CEO, H. D. Smith; Tom Via, BI National Account director; Henry Dale Smith, chairman emeritus, H. D. Smith; Tom Twitty, vice president, Operations, H. D. Smith; and Scott Wilson, vice president, Drug Divisions, H. D. Smith.

03/04/10

HDMA Report: Nearly 85 Percent of 2008 Rx Sales

Were Completed Through Healthcare Distributors  

2009-2010 HDMA Factbook Provides Comprehensive

Picture of Healthcare Distribution Industry Trends

A report published by the Center for Healthcare Supply Chain Research, the research foundation of the Healthcare Distribution Management Association (HDMA), indicates that, in 2008, $253 billion in prescription drug sales were completed through primary health care distributors, representing nearly 85 percent of the entire market. This trend is one of the nearly 170 performance measures included in the 81st edition of the HDMA Factbook, the health care supply chain industry’s definitive reference tool. Each year, the Factbook reports comprehensive industry performance measures in the areas of operations, finance, distributor demographics, information systems and more.  

On an average business day in 2008, HDMA distributor members delivered a total of 9.4 million products to more than 165,000 pharmacies, hospitals, clinics, nursing homes and other outlets across all 50 states. Distributors reported an order fill rate in excess of 95 percent while keeping profit margins modest at an average of 0.9 percent.  

“This year’s Factbook accurately details the continued effectiveness of the health care supply chain in a challenging economic climate,” said Karen Ribler, executive vice president and COO of the Center for Healthcare Supply Chain Research. “In such times, business leaders need reliable data to benchmark performance and set their strategy for the future. The Factbook puts those answers right in the reader’s hands.”  

“This important research highlights the crucial role HDMA’s distributor members play in the supply chain,” added HDMA president and CEO John M. Gray. “Distributors continue to deliver the right medicines and health care products to the right people, at the right time — and they do so safely and efficiently, saving the industry millions of dollars each year. The Factbook lays it all out in black and white.”  

The 2009-2010 HDMA Factbook: Facts, Figures & Trends in Healthcare is now available for purchase. Visit the Web site of the Center for Healthcare Supply Chain Research at www.hcsupplychainresearch.org for more information..

03/04/10

Cardinal Health Awarded AmeriCares’

Annual Power of Partnership Award

AmeriCares has awarded its annual Power of Partnership Award to Cardinal Health. The award was created by AmeriCares and the HealthCare Distribution Management Association (HDMA) to recognize medical manufacturing and distribution organizations that have shown exceptional dedication to expanding access to medicines and healthcare for disadvantaged populations. 

“We depend on our friends in the corporate world to support our disaster relief work and our ongoing medical assistance to more than 50 countries,” Curt Welling, AmeriCares president and CEO, said. “It is because of partners like Cardinal Health that AmeriCares is able to help people in need around the world live longer, healthier lives.” 

Since 1996, Cardinal Health has donated more than $20 million worth of medical and surgical supplies to AmeriCares for people recovering from devastating natural disasters, facing civil conflict and suffering from extreme poverty. 

“Cardinal Health is pleased to partner with AmeriCares to assist communities around the world. As a global health care company, we understand the importance of donating medical products and other resources for immediate use in times of disaster and for long-term humanitarian assistance,” said Shelley Bird, executive vice president of Public Affairs for Cardinal Health and chairperson of the Cardinal Health Foundation. “AmeriCares is an excellent partner we can count on to get our products to the right place at the right time for those most in need.” 

Over the years, AmeriCares has delivered Cardinal Health products to people in need in 83 countries through its emergency response work, Medical Outreach Program and ongoing shipments to hospitals and clinics in the developing world.

“We are pleased to partner with AmeriCares to honor the Cardinal Health team for its extraordinary commitment to delivering lifesaving medicines, products and services to those in need,” said HDMA president and CEO John M. Gray. “Our recent economic climate underscores the value of efforts of HDMA members like Cardinal Health, whose humanitarian leadership strengthens partnerships across the entire health care supply chain.”

Michael Kaufmann, left, CEO, Pharmaceutical, Cardinal Health Inc., accepts the Power of Partnership Award from Curt Welling, president & CEO, AmeriCares.

03/04/10

Good Neighbor Pharmacy Pledges

$750,000 to NCPA Foundation

The National Community Pharmacists Association (NCPA) Foundation recently received a $750,000 multi-year pledge from Good Neighbor Pharmacy to grow the NCPA Foundation’s Pruitt-Schutte Student Business Plan Competition endowment to $1 million. 

“I would like to thank Good Neighbor Pharmacy for stepping up with this strong commitment of support,” said Sharlea Leatherwood, NCPA Foundation president. “Together, we will secure a promising future for the competition and continue to cultivate future generations of independent pharmacists.” 

"We are excited to support NCPA's efforts to recognize outstanding students of pharmacy. We believe it is essential for pharmacy students to have access to high quality business education, and this program helps provide that,” said R. David Yost, president and CEO of AmerisourceBergen Corporation, whose Good Neighbor Pharmacy network made the pledge. “Good Neighbor Pharmacy is proud to encourage students to explore the benefits of a career in community pharmacy through programs such as this real world business case competition." 

This is the sixth year the NCPA Pruitt-Schutte Student Business Plan Competition has been held. The 2009 contest drew entries from 29 schools and colleges of pharmacy — nearly one-third of all U.S. pharmacy schools. In 2007, at the NCPA annual convention, the NCPA Foundation launched a campaign to grow the endowment to $1 million dollar. The goal of the endowment will support the annual operating expenses of the NCPA Pruitt-Schutte Student Business Plan Completion in perpetuity and therefore sustain its long-term viability. 

“With each passing year, the level of interest in independent community pharmacy grows among students,” said Holly Whitcomb Henry, NCPA president 2008-09. “Every team of students that participates in the NCPA Pruitt-Schutte Student Business Plan Competition is a winner with a better understanding of the entrepreneurial side of pharmacy and an experience that will benefit them for life.” 

The NCPA Pruitt-Schutte Student Business Plan Competition is the first national contest of its kind in the pharmacy profession. It is named to honor two champions of independent community pharmacy — the late Neil Pruitt Sr. and H. Joseph Schutte. The competition is supported by the Pruitt and Schutte families, Pharmacists Mutual Insurance Company, Covidien (formerly Mallinckrodt Pharmaceuticals), and the NCPA Foundation.

03/04/10

McKesson Corporation Releases

Corporate Citizenship Report

McKesson Corporation recently announced the release of its 2008-2009 Corporate Citizenship Report and launched the McKesson Foundation’s new strategic focus on chronic disease management. 

Designed to minimize paper and energy usage, the company’s new online-only interactive report tells McKesson’s corporate citizenship story through the voices of McKesson employees and stakeholders. 

The report highlights the company’s high levels of employee engagement, commitment to environmental sustainability, culture of diversity and inclusion, and industry leading efforts to improve the safety, quality, and cost of healthcare. Corporate social responsibility principles are embedded within McKesson’s mission and focused goal of helping its customers improve patients' lives. 

McKesson’s Corporate Citizenship Report is available at www.mckesson.com/citizenshipreport.

03/04/10

H. D. Smith Launches Comprehensive New Web Site 

H. D. Smith has announced the launch of its new company Web site, www.hdsmith.com.  

"The new H. D. Smith Web site supports our mission to provide practice-strengthening information to our customers by developing technologies that respond to their evolving needs," said Dale Smith, chairman and CEO. "Our goal is to provide customers of all sizes and locations the resources needed to access our services at their convenience. The new site provides customers improved access to information that helps their businesses run with enhanced efficiency and knowledge." 

The user-friendly interface offers scroll-down sub-sections wherein retail pharmacies, health systems and specialty facilities can access information customized to their unique sector needs. The site features vital news updates on product from recalls to new product introductions, important reimbursement updates, policy announcements and customer best-practice stories.  

In addition to the product, service and industry-policy information, customers can subscribe to one of the H. D. Smith specialized eNewsletters providing insight on government affairs, reimbursement announcements, business-sector developments and manufacturer recalls, backorders and new product introductions. 

"Online information can make customer operations more efficient," stated Jeff Greer, vice president of sales at H. D. Smith. "Our online ordering technology, together with value-added programs and industry updates, pulls together many services for our customers and demonstrates our mutual interest to improve business performance and derive more from the H. D. Smith partnership."

03/04/10

Cardinal Health Helps Hospitals Save More Than

$20 Million In Pharmaceutical Costs; Connect

Low-Income Patients With Affordable Medications

As the nation's number of uninsured patients continues to rise, Cardinal Health is helping hospitals contain pharmaceutical costs by connecting their low-income patients with pharmaceutical manufacturer programs that offer free or discounted medications, explains a recent news release from the company. 

Many pharmaceutical manufacturers offer assistance programs that provide patients who meet specific requirements with access to free or discounted medications. When uninsured patients are enrolled in these programs, hospitals are able to reduce their overall drug spend by not having to absorb the cost of those patients' medications. Each manufacturer has different program qualifications and application processes, however, which can make enrolling patients difficult and time consuming for hospitals. 

Cardinal Health's eRecovery Onsite service enables hospitals to completely outsource the process of enrolling uninsured patients in manufacturers' patient assistance programs, at no up-front cost to the hospital. 

The company's eRecovery Onsite service saved participating hospitals more than $20 million on pharmaceutical costs in 2009 alone. 

Many low-income patients experience unnecessary and costly repeat visits to the hospital because they cannot afford the prescription medications that can address their health issues. Hospitals that use eRecovery Onsite say that the program also enables them to reduce uninsured patient re-admission rates ¾ and their related costs ¾ because participating patients are better able to adhere to medication guidelines prescribed by their physicians. 

"We know that, particularly during tough economic times like these, many uninsured patients have trouble maintaining good health because they can't afford their medications," said Steve Aragona, RPh, MS, MBA, director of pharmacy for Hackensack University Medical Center (HUMC) in Hackensack, N.J. "Cardinal Health's eRecovery Onsite service helps us fulfill our commitment to delivering compassionate, quality care to our community by helping thousands of uninsured patients access life-saving medications at little or no cost to them." 

There are no start-up costs or staffing requirements for this service and the program is designed to seamlessly integrate with each hospital's pharmacy and billing department processes. Cardinal Health provides the staff to manage all activities related to patient assistance program enrollment. The company also offers monthly, customized reports of pharmaceutical savings per facility. 

Hospitals and clinics that use eRecovery Onsite from Cardinal Health can:

¬  Maximize drug savings by ensuring all qualified patients are quickly and efficiently enrolled in pharmaceutical manufacturers' patient assistance programs. 

¬  Improve cash flow by recovering costs related to providing medications to uninsured patients. 

¬  Provide quality, compassionate care to uninsured patients by helping them gain access to medications at little or no cost to them. 

¬  Free up staff time by completely outsourcing all aspects of the enrollment process. 

¬  Know that there is no financial risk involved in using the service. Cardinal Health charges no up-front cost or implementation fees. The company gets paid based on a small percentage of the pharmaceutical spend it saves participating hospitals. 

"We've specifically designed our eRecovery Onsite service to be an easy, no-risk way for hospitals to extend compassionate care to uninsured patients without hurting their bottom lines," said Law Burks, vice president of marketing and product management for Cardinal Health's Pharmaceutical Distribution business. "This service is an excellent example of Cardinal Health's commitment to helping providers reduce health care costs while improving the overall quality of care they provide patients." 

Headquartered in Dublin, Ohio, Cardinal Health Inc. is a Fortune 18 health care services company that improves the cost-effectiveness of healthcare. As the business behind healthcare, Cardinal Health helps pharmacies, hospitals and ambulatory care sites focus on patient care while reducing costs, improving efficiency and quality, and increasing profitability. As one of the largest health care companies in the world, Cardinal Health is an essential link in the health care supply chain, providing pharmaceuticals and medical products to more than 40,000 locations each day.  

The company is also a leading manufacturer of medical and surgical products, including gloves, surgical apparel and fluid management products. In addition, the company supports the growing diagnostic industry by supplying medical products to clinical laboratories and operating the nation's largest network of radiopharmacies that dispense products to aid in the early diagnosis and treatment of disease. Cardinal Health employs more than 30,000 people worldwide. More information about the company may be found at cardinalhealth.com.

02/24/10

Bogan Named McKesson Corporate Secretary

Willie Bogan has been promoted to corporate secretary at McKesson Corporation. He joined McKesson in 2006 as associate general counsel and assistant corporate secretary. He has served as a key liaison between the company and the board of directors on corporate governance matters, provided sound corporate governance counseling to McKesson, and has overseen stock plan administration, the stock transfer agent function and legal matters related to corporate subsidiaries, according to a McKesson news release. 

Under his leadership, the corporate secretary’s department has implemented a Web-based entity management database for approximately 170 domestic and international subsidiaries, and automated certain stock administration processes, which included the rollout of online grant agreements.   

Prior to joining McKesson, Bogan managed the corporate secretarial function at Safeway Inc., Catellus Development Corp., and Charles Schwab & Co. Overall his legal career spans three decades.

03/04/10

Appleby to Head H. D. Smith Generics Division

Robert (Bob) Appleby has been named H. D. Smith’s vice president of Generic Pharmaceuticals. The appointment is the latest in a series of senior hires to strengthen the company’s growth potential in key business categories, including its generic pharmaceuticals division, according to a company news release. Appleby brings a unique combination of generic sector acumen and accounting-firm financial oversight. 

As vice president generic pharmaceuticals, Appleby will lead H. D. Smith efforts to maximize growth opportunities within the sector. The company expects to hone and execute a new generic pharmaceuticals strategy addressing changing consumer needs as a result of the health care sector’s increasing reliance on comparative effectiveness and generic drugs to reduce costs, explained H. D. Smith. 

“As we continue to prepare for health care reform legislation focusing on cost containment, generic drugs will be a critical focus of our business strategy moving forward,” said Dale Smith, chairman and CEO. “Bob Appleby’s deep experience in building and executing generic sales strategies will be important in our efforts toward driving our strong growth within this sector.” 

Appleby brings some 16 years of domestic and international business development, sales, marketing and finance experience, having served at two Fortune 500 companies and a Big Four accounting firm. Prior to joining H. D. Smith, Appleby served as Cardinal Health vice president of customer development, and led sales, marketing, pricing, and customer programs for the generic pharmaceutical business. Appleby held a number of other roles at Cardinal Health, including vice president of CardinalASSIST/ReadyScan, its repackaging and automated pharmaceutical replenishment business; director of corporate development managing the acquisition process for potential and completed mergers, and director of corporate finance.

03/04/10

Henry Schein Elects Sheares to Board of Directors

Bradley T. Sheares, PhD, was recently elected to the Henry Schein Inc. board of directors. Henry Schein is a distributor of health care products and services to office-based dental, medical and veterinary practitioners.  

Sheares most recently served as chief executive officer of Reliant Pharmaceuticals Inc., a pharmaceutical company with integrated sales, marketing and development expertise that marketed a portfolio of branded cardiovascular pharmaceutical products, leading that company from January 2007 through its acquisition by GlaxoSmithKline plc in December 2007. Prior to joining Reliant, Sheares served as president of U.S. Human Health at Merck & Co. from March 2001 until July 2006, the culmination of a 19-year career with that company. 

Sheares also has extensive board leadership experience from a wide range of public companies. He also serves as a director of Honeywell International, a diversified technology and manufacturing company; The Progressive Corporation, one of the nation's largest insurance holding companies; IMS Health, a leading provider of market intelligence to the pharmaceutical and health care industries; and Covance Inc., one of the world's largest and most comprehensive drug development companies. 

Sheares is the former chair of the board of directors of the National Pharmaceutical Council, which focuses on broadly communicating the economic, clinical and societal value of pharmaceuticals. He holds a bachelor's degree in chemistry from Fisk University and earned his doctorate in biochemistry from Purdue University. He completed his postdoctoral training as a Lucille P. Markey Scholar and National Institutes of Health Research Fellow at the Massachusetts Institute of Technology. 

Headquartered in Melville, N.Y., Henry Schein employs more than 13,500 people and has operations or affiliates in 23 countries. The company's net sales reached a record $6.4 billion in 2008. Henry Schein has been ranked first in its industry for social responsibility for five consecutive years in Fortune's list of the World's Most Admired Companies.  

02/24/10

Cardinal Health Names Mongan to Board of Directors

James J. Mongan, MD, has joined the board of directors at Cardinal Health, effective immediately, according to a company news release. He will also serve on the board's audit committee. 

Mongan, 67, served as president and chief executive officer of Boston-based Partners HealthCare System Inc. from 2003 until his retirement in December 2009. Prior to that role, Mongan was president and CEO of Massachusetts General Hospital for six years. Massachusetts General Hospital and Brigham and Women's Hospital were the original founders of the Partners HealthCare System. 

From 1981 to 1996, Mongan served as the executive director of Truman Medical Center in Kansas City, Mo., and also served as dean of the University of Missouri School of Medicine from 1988 to 1996. Early in his career, Mongan held various positions with the federal government including staff member with the U.S. Senate Finance Committee and associate director of the White House Domestic Policy staff. 

Mongan is the co-author of the recently published book, Chaos and Organization in Health Care, which offers an optimistic prescription to improve the inefficiencies in the U.S. health care system. He has also received numerous awards and industry recognition, including being named by Modern Healthcare as the #1 most powerful physician executive in 2008. He had been ranked in the top 10 on this list since 2004. He is a member of the Institute of Medicine, chairman of the Commonwealth Fund's Commission on a High Performance Health System and is a past trustee for the board of the American Hospital Association. Mongan also serves as a professor of health care policy and social medicine at Harvard Medical School. 

He received both his bachelor's degree and medical degree from Stanford University. 

02/24/10