May 5, 2022

Six Steps To Opening an Outpatient Pharmacy

Outpatient pharmacy services can reduce one of the leading causes of hospital readmission: patient failure to fill their prescriptions!

An Outpatient Pharmacy can also:

  • Enhance the patient experience
  • Increase medication compliance
  • Improve hospital financial performance
  • Build brand loyalty
  • Create career opportunities for pharmacy staff

For any hospital looking to begin their own outpatient pharmacy business, these six steps should help you get started.

1. Obtain as much upfront information as you can.

  • Certificate of Liability Insurance
  • Employee Identification Number (EIN)
  • Tax ID information
  • Tax Exemption Certificate
  • Hospital Ownership Information
  • Wholesaler Account Numbers

2. Go through the licensure process

  • Apply for an NCPDP number
  • Apply with your state board of pharmacy
  • Complete DEA form 224
  • Obtain an NPI number

3. Setup Hospital Finances

  • Setup a new cost center
  • Prepare a budget
  • Establish invoice payment processes
  • Design payment processes
  • Engage managed care contacts

4. Determine Operational Needs

  • Hours of Operation
  • Design workflows
  • Determine staffing needs
  • Determine location (although you should have a good idea about this before even beginning the process)

5. Assess Equipment and Technology Needs

  • Software platform
  • Point of Sale system
  • Workstations
  • Phones and Faxes
  • Credit/Debit card processing
  • Cash register

6. Complete Third Party Contracts

  • Work with your hospital wholesaler
  • Find a PSAO
  • Setup direct contracts

If your hospital is looking to setup an Outpatient Pharmacy, then please contact us, and we can help you with some of the financial analysis and implementation logistics that you might want to start thinking about.