Membership Management Challenges and Best Practices

In the pharmaceutical industry, access to pricing is primarily driven by membership.Institutions like hospitals, clinics, and pharmacies sign up as members of a Group Purchasing Organization (GPO) to be eligible to purchase products at a discounted rate. In turn, the GPO leverages its collective purchasing power with the pharmaceutical manufacturers to secure a lower price for its members. In order to keep track of the eligible customers, GPOs provide membership rosters to manufacturers and wholesalers with whom they are contracted.

However, keeping accurate membership listings and maintaining quality customer data is becoming increasingly difficult for pharma manufacturers. The proliferation of GPOs, growth of Integrated Delivery Networks (IDNs), increasing complexity of contract terms, lack of industry standardization, and changes brought on by healthcare reform all conspire to diminish accurate records keeping. Fortunately,there are consistent, measurable steps that can be taken to increase the overall efficiency of membership management.

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Author
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Robert Blank
Managing Consultant

Robert Blank is a managing consultant at EVERSANA, working extensively in revenue management software solutions for the pharmaceutical and medical device industries. His expertise includes Medicaid and Managed Care rebates, chargebacks, and membership management. He has developed custom client solutions around value based contracting, formulary validation, discount reallocation, and the 340B Drug Pricing Program. In […]