• Coordinate with an inter-agency formulary committee in its efforts to analyze drug spend data to identify opportunities for formulary policy enforcement
• Support Procurement staff in its effort to negotiate competitive pricing arrangements directly with manufacturers

Solutions:

• Developed an analytical framework to model the impact of adopting policies set by the formulary committee, i.e., prescribing guidelines, rapid adoption of generics as brands roll off patent
• Benchmarked current pricing arrangements and established target price points for negotiations with manufacturers
• Trained and supported Procurement staff through negotiations

Results:

• Identified savings in excess of $10 million associated with formulary compliance and brand-to-generic switching opportunities
• Negotiated pricing arrangements across multiple drug categories that produced savings ranging from 4 – 20%