CPOM Module 12: Introduction to Supply Chain Management & Inventory Control
CPOM Certification Program

Module 12: Supply Chain Management & Inventory Control

From Ordering Expert to Strategic Asset Manager: Mastering the Financial Lifeblood of the Pharmacy.

From “Out of Stock” to Optimized: The New Science of Inventory

As a seasoned pharmacist, you are an undisputed expert in managing the day-to-day realities of medication inventory. You possess an almost supernatural ability to know which drugs will be in high demand during flu season, you’ve mastered the art of the “cycle count,” and you’ve spent countless hours on the phone tracking down a backordered medication to ensure a patient doesn’t go without. You have been a masterful tactical inventory manager.

This module will empower you to translate that invaluable frontline experience into the language of strategic supply chain management. The goal is to elevate your perspective from managing the individual bottle on the shelf to architecting the entire system that gets it there. To lead a modern hospital pharmacy, you must become fluent in the financial and logistical principles that govern the single largest non-labor expense in your department—the drug budget.

We will deconstruct the entire pharmacy supply chain, from national purchasing contracts to the final dose in an ADC. You will learn to move from reactive ordering to proactive demand forecasting. You will master sophisticated inventory analysis techniques that allow you to optimize stock levels with scientific precision, minimizing holding costs while maximizing availability. This module is your masterclass in becoming a strategic financial steward for the hospital, ensuring that every dollar invested in the pharmacy’s inventory is working as efficiently and effectively as possible to support patient care.

Your Roadmap to Supply Chain Mastery

This module provides a comprehensive framework for managing the pharmacy’s most critical asset: its medication inventory.

12.1 Principles of Pharmacy Supply Chain and Logistics

A foundational overview of the hospital pharmacy supply chain, exploring the roles of manufacturers, wholesalers, Group Purchasing Organizations (GPOs), and the internal logistics of getting a drug from the loading dock to the patient bedside.

12.2 Par Level Setting, ABC/XYZ Analysis, and Demand Forecasting

A deep dive into the science of inventory optimization. Learn how to set data-driven PAR levels, segment your inventory using ABC/XYZ analysis for targeted management, and begin to forecast future demand to move from a reactive to a proactive ordering model.

12.3 Drug Shortage Management and Contingency Planning

Master one of the most critical and challenging aspects of modern pharmacy management. This section provides a systematic playbook for proactively monitoring, communicating, and managing drug shortages to ensure continuity of patient care.

12.4 Reverse Distribution and Expiration Management

An exploration of the often-overlooked “back end” of the supply chain. Learn the regulatory and financial nuances of managing expired medications, maximizing credit through reverse distribution, and minimizing waste.

12.5 DSCSA Compliance and Product Traceability

A manager’s guide to the Drug Supply Chain Security Act (DSCSA). Understand your pharmacy’s responsibilities for transaction data, serialization, and ensuring the integrity of the pharmaceutical supply chain from illegitimate products.