KP Medicine ee lt lye r LEADERSHIP AND MANAGEMENT s o n IN PHARMACY PRACTICE SECOND EDITION Over the past years, the changing nature of pharmacy practice has caused L E many to realize that the practice must not only be managed, but also led. A Leadership and Management in Pharmacy Practice discusses a variety of ID LEADERSHIP AND N leadership and managerial issues facing pharmacists now and in the future. E R P S BASIC This second edition has been reorganized by placing leadership chapters H H up front, followed by management chapters, thus emphasizing the need for AI MANAGEMENT RP leadership first. The book is written by contributors from within and outside M pharmacy practice—a reflection of the complexity of management in A A pharmacy settings. It offers a real-world approach to everyday issues in N C IN PHARMACY D pharmacy leadership and management, written by authors who have faced Y these issues themselves. M P RA The book includes case studies which are thought provoking and promote AN PRACTICE critical thinking as well as problem solving—skills critical for effective CA TG pharmacy leaders or managers. References are also made throughout the IE text to changes occurring to the profession both internally and externally. CM E Much of the material discussed applies to all settings of pharmacy practice: E community, hospital, industry, ambulatory care, and long-term care. N SECOND EDITION T This book provides pharmacy students and new pharmacy leaders and S managers a broad overview of the complexities and intricacies inherent in EC Edited by O managing and leading the profession. It is a valuable resource for students N D Andrew M. Peterson in the professional years of their pharmacy curricula and those promoted E D recently into pharmacy leadership or management positions. I T I William N. Kelly O N K20416 LEADERSHIP AND MANAGEMENT IN PHARMACY PRACTICE SECOND EDITION RECENTLY PUBLISHED BOOKS Leadership and Management in Pharmacy Practice, Second Edition Andrew M. Peterson and William N. Kelly Basic Statistics and Pharmaceutical Statistical Applications, Third Edition James E. De Muth Basic Pharmacokinetics, Second Edition Mohsen A. Hedaya Pharmaceutical Dosage Forms and Drug Delivery, Second Edition Ram I. Mahato and Ajit S. Narang Pharmacy: What It Is and How It Works, Third Edition William N. Kelly Essentials of Law and Ethics for Pharmacy Technicians, Third Edition Kenneth M. Strandberg Essentials of Human Physiology for Pharmacy, Second Edition Laurie Kelly McCorry Basic Pharmacology: Understanding Drug Actions and Reactions Maria A. Hernandez and Appu Rathinavelu Managing Pharmacy Practice: Principles, Strategies, and Systems Andrew M. Peterson Essential Math and Calculations for Pharmacy Technicians Indra K. Reddy and Mansoor A. Khan Pharmacoethics: A Problem-Based Approach David A. Gettman and Dean Arneson Pharmaceutical Care: Insights from Community Pharmacists William N. Tindall and Marsha K. Millonig Essentials of Pathophysiology for Pharmacy Martin M. Zdanowicz Quick Reference to Cardiovascular Pharmacotherapy Judy W. M. Cheng Essentials of Pharmacy Law Douglas J. Pisano Please visit our website www.crcpress.com for a full list of titles LEADERSHIP AND MANAGEMENT IN PHARMACY PRACTICE SECOND EDITION Edited by Andrew M. Peterson , PharmD, PhD John Wyeth Dean Mayes College of Healthcare Business & Policy University of the Sciences Philadelphia, Pennsylvania, USA William N. Kelly , PharmD, FISPE Professor Pharmacotherapeutics & Clinical Research College of Pharmacy The University of South Florida Tampa, Florida Boca Raton London New York CRC Press is an imprint of the Taylor & Francis Group, an informa business CRC Press Taylor & Francis Group 6000 Broken Sound Parkway NW, Suite 300 Boca Raton, FL 33487-2742 © 2015 by Taylor & Francis Group, LLC CRC Press is an imprint of Taylor & Francis Group, an Informa business No claim to original U.S. Government works Version Date: 20141014 International Standard Book Number-13: 978-1-4665-8963-6 (eBook - PDF) This book contains information obtained from authentic and highly regarded sources. While all reasonable efforts have been made to publish reliable data and information, neither the author[s] nor the publisher can accept any legal responsibil- ity or liability for any errors or omissions that may be made. The publishers wish to make clear that any views or opinions expressed in this book by individual editors, authors or contributors are personal to them and do not necessarily reflect the views/opinions of the publishers. The information or guidance contained in this book is intended for use by medical, scientific or health-care professionals and is provided strictly as a supplement to the medical or other professional’s own judgement, their knowledge of the patient’s medical history, relevant manufacturer’s instructions and the appropriate best practice guidelines. Because of the rapid advances in medical science, any information or advice on dosages, procedures or diagnoses should be independently verified. The reader is strongly urged to consult the relevant national drug formulary and the drug companies’ printed instructions, and their websites, before administering any of the drugs recommended in this book. 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Visit the Taylor & Francis Web site at http://www.taylorandfrancis.com and the CRC Press Web site at http://www.crcpress.com Contents Preface......................................................................................................................vii Editors .......................................................................................................................ix Contributors ..............................................................................................................xi SECTION 1 Leadership Chapter 1 Principles and Characteristics of Leadership .......................................3 Andrew M. Peterson Chapter 2 Understanding and Working in the Organization ..............................23 Andrew M. Peterson and David A. Ehlert Chapter 3 The Importance of Vision, Inspiration, Strategic Planning, and Getting It Done ............................................................................37 William N. Kelly Chapter 4 Leading Culture, People, and the Strategic Plan................................51 William N. Kelly and John E. Clark Chapter 5 Leading Change and the Pharmacy Enterprise ..................................61 James A. Jorgenson Chapter 6 The Leader in You ..............................................................................79 Stephanie A. Zarus SECTION 2 Management Chapter 7 Principles and Characteristics of Effective Pharmacy Management .....................................................................................109 Michael J. Magee and William N. Kelly Chapter 8 Managing Projects to Achieve Desired Results ...............................119 Patricia R. Audet v vi Contents Chapter 9 Managing People ..............................................................................127 Gary E. Sloskey Chapter 10 Managing Pharmacy Operations ......................................................165 Steve Gilbert Chapter 11 Managing Clinical Services .............................................................189 Gene A. Gibson Chapter 12 Marketing the Pharmacy ..................................................................215 Melanie Oates Chapter 13 Budgeting and Accounting ...............................................................237 Robert J. Votta and Andrew M. Peterson Chapter 14 Purchasing and Inventory Management ...........................................251 James M. Hoffman and Andrew M. Peterson Chapter 15 Managing Pharmacy Automation and Informatics ..........................269 Dennis A. Tribble and Mei-Jen Ho Chapter 16 Managing Compliance, Performance, and Outcomes ......................311 William N. Kelly and Sarah J. Steinhardt Preface This is the second edition of a text originally designed to introduce students to the managerial side of pharmacy practice. When William “Bill” Kelly joined with Andrew Peterson as the coeditor of the second edition, he instilled the idea that the focus of this text should be on the leadership of pharmacy, supported by the man- agement principles. The changing nature of pharmacy practice must be led, not just managed. It was with this concept that we reorganized the book, placing the leader- ship chapters first followed by the management chapters, emphasizing the need for leadership first. This text is designed for students in the professional years of their pharmacy cur- ricula and those promoted recently into pharmacy leadership or management posi- tions. The purpose of this book is to introduce a variety of leadership and managerial issues facing pharmacists presently and in the future. References are made through- out the text to changes occurring internally and externally to the profession. Much of the material applies to all settings of pharmacy practice—community, hospital, industry, ambulatory care, and long-term care. Readers should not confine them- selves to one area of practice; rather, when a particular setting is used as a platform for discussion, they should also see how the issue manifests itself in another setting. The concepts and skills underpinning the management of human resources, drug distribution systems, formularies, and drug use evaluations are transferable among the variety of practice settings. Effective leadership in pharmacy is critical to having an innovative practice set- ting, and to advancing the practice of pharmacy. Thus, the first six chapters of the text focus on this critical skill. Knowing how to manage a smooth-running pharmacy practice department is another skill that is mostly learned from others. In this regard, the authors of the 10 management chapters have broad and deep experience in phar- macy management. The chapters are written by contributors from within and outside pharmacy prac- tice. As such, the style of writing and presentation of information will vary among chapters. This diversity of contributors, as well as the diversity of writing styles, should not be considered a distraction, but rather a reflection of the complexity of management in pharmacy settings. Cases are added to each chapter that are thought provoking and promote critical thinking and problem solving—two skills that are critical in being an effective pharmacy leader or manager. The overarching intent of the authors is to give students of pharmacy and new pharmacy leaders and managers a broad overview of the complexities and intrica- cies inherent in managing and leading the profession. Regardless of students’ ulti- mate practice setting, knowledge of the leadership and management skills contained herein will aid them in serving their profession throughout their careers. vii