Lecture 1 and 2 and 3.pptx

Management in Pharmacy Definition of Management Management is a process that involves bringing together resources to achieve common goals efficiently. The term 'process' refers to a method of doing something, which applies to both simple and complex tasks. Resources are scarce, so...

Management in Pharmacy Definition of Management Management is a process that involves bringing together resources to achieve common goals efficiently. The term 'process' refers to a method of doing something, which applies to both simple and complex tasks. Resources are scarce, so it is crucial to use them in the most efficient manner possible. Management Activities Anyone who has a task to accomplish or a goal to achieve is a manager. Pharmacy students and pharmacists may not desire administrative positions, but using resources efficiently is still a crucial aspect of their jobs. Regardless of their job responsibilities or position, all pharmacists should view themselves as managers. Leadership vs. Management While leadership and management are related concepts, they involve distinct skills. Leadership involves inspiring or directing others, while management involves the process of achieving goals efficiently. Although it is desirable for managers to possess leadership skills, the two do not necessarily go hand in hand. Managing Personal Tasks Management is not limited to professional settings, and can be applied to personal tasks as well. In our daily lives, we perform processes to achieve personal goals or objectives. Personal resources are also scarce, so it is important to use them efficiently to achieve goals. Management Examples Management processes are used to perform simple tasks, such as driving to school, as well as more complex tasks, such as dosing an aminoglycoside drug. In every case, the goal is to achieve objectives efficiently using available resources. Some examples of management processes in everyday life include swinging a golf club, hiring a pharmacy technician, and providing highquality patient care. Benefits of Efficient Management Using resources efficiently can lead to increased productivity and reduced waste. It can also have a positive impact on personal and professional relationships. Efficient management allows individuals and organizations to achieve their goals and objectives effectively. Dimensions of Management Three dimensions of management: 1. Activities 2. Resources 3. levels Every action by a manager involves at least one aspect of each dimension 1- Management Activities Adapted from Fayol's management functions Four activities: planning, organizing, leading/directing, and control/evaluation Performed by all managers daily Planning Predetermining a course of action based on goals and objectives Consider internal and external environments Can be formal or informal Organizing Arrangement and relationship of activities and resources Necessary for effective accomplishment of goals or objectives Determine required resources and when to obtain them Leading or Directing Bringing about purposeful action toward desired outcomes Requires leadership skills Control or Evaluation Reviewing progress made toward objectives Determine what happened and why Ensure quality and effectiveness 2- Resources That Are Managed Managers must use resources to achieve goals and objectives Resources include money, people, time, material resources, and information Resources are scarce and must be used efficiently 3- Levels of Management Self-management, interpersonal management, organizational management Management activities occur at different levels and purposes Managers perform activities at all levels Self-Management Most frequent level of management Pharmacists prioritize and manage time efficiently Accomplishing tasks and counseling patients Interpersonal and Organizational Management Interpersonal management occurs between manager and one other person Organizational management affects groups of people Occurs at work and in personal lives Planning in General for Pharmacy Organizations What is Planning? Purposeful efforts taken by an organization to maximize its future success Planning is a key function of managers Planning may involve managers and frontline employees Types of Planning Activities 1. Business planning 2. Financial planning 3. Operational planning 4. Resource planning 5. Organizational planning 6. Strategic planning Different types of planning have different purposes and characteristics Vision and Mission Vision statement: What the organization wants to be in the future Mission statement: Purpose and definition of the company Both statements are essential for creating momentum and motivation The Business Concept Pharmacy Business The unique blend of patient care and entrepreneurship drives advances in the profession. Pharmacists can create new innovative services that fulfill patient needs and generate profits. Business planning is essential for promoting and nurturing pharmacy businesses. Preliminary Evaluation Conduct a preliminary evaluation to determine if the idea merits the development of a complete business plan. Start by conducting a literature search using electronic databases like PubMed. Primary and secondary literature can provide information to assist in exploring the business concept. Exploration of the business concept should consider the size and receptivity of potential service customers. It is prudent to seek the advice of others before moving forward with the complete business planning process. Complete Business Plan If the reception to the concept is positive, the development of a complete business plan can begin. Seek input from key stakeholders in the organization before moving forward. If the proposal is consistent with the organization's strategic plan, it can be supportive of the goal. Develop a comprehensive and realistic plan with a clear description of the need for the service and the number of potential customers in the market. Steps in the Development of a Business Plan 1- Define the Business or Program Develop a specific statement of the purpose or mission Mission statement crystallizes the aims of the program 2- Conduct Market Research and Analysis Analyze potential customers and the market geographically Identify the target market Consider the demographics of the population in the region 3- Conduct Competitor Analysis Identify potential competitors and their characteristics Compare characteristics and market share of competitors Review strengths and weaknesses of competitors 4- Assess Clinical and Quality Requirements Analyze applicable regulations and requirements Comply with legal rules, professional standards, and accrediting bodies Plan for compliance with standards, both initially and long term 5- Define Processes and Operations Plan organizational structure, staffing levels, and personnel requirements Determine physical structure, equipment, and resources needed Design customer interface and service delivery workflow 6- Define Marketing Strategy Gather information from market and competitor analyses Identify target market and develop a plan to gain their business Communicate effectively with customers Separate initial and ongoing marketing plans 7- Develop Financial Projections Analyze costs and financial benefits of the program Estimate potential revenue and expenses Consider discounts and future increases in service charges Account for capital investments and ongoing costs 8- Identify an Action Plan Define major milestones and start/finish dates Assign responsible individuals for each task Periodically monitor and assess program performance 9- Assess Critical Risks and Opportunities Conduct a SWOT analysis for the proposed program Examine factors specific to the business and environment SWOT Analysis Categories to consider for strengths, weaknesses, opportunities, and threats Bridging the gap between current situation and vision 10- Establish an Exit Plan Develop a formal protocol for terminating the program Determine benchmarks for success and failure Outline actions for dissolving the business Consider notification and transition plans for customers and employees The Link Between Operations and Profitability Operations affect profitability in businesses Efficiency in operations is crucial to improve profit margins Example: Pharmacy compounding a product Costs associated with creating a product Ingredients, containers, computers, software, fees, and more Salaries and benefits for staff Outputs of a Pharmacy Goods and services provided by a pharmacy Examples: Prescription filling, compounded products, counseling Managing operations for the highest quality at the lowest cost Outputs justify the existence of a business Capacity and Bottlenecks Processes have specific capacities Bottleneck is the limiting resource Identify and eliminate bottlenecks to increase capacity Efficient process improves profitability Flowcharts and Process Analysis Flowchart is a diagram of steps in creating goods or services Helps analyze resources and improve processes Identify and evaluate capacities and bottlenecks Manage quality through understanding the process