More drugs in the prescription are not in stock

Assignment Help Operation Management
Reference no: EM132097315

Write an issue register for the process above. Analyze at least the following issues:

? Sometimes, a prescription cannot be filled because one or more drugs in the prescription are not in stock. The customer only learns this when they come to pick up their prescription.

? Oftentimes, when the customer arrives to pick up the drugs, they find out that they have to pay more than what they expected because their insurance policy does not cover the drugs in the prescription, or because the insurance company covers only a small percentage of the cost of the drugs.

? In a very small number of cases, the prescription cannot be filled because there is a potentially dangerous interaction between one of the drugs in the prescription and other drugs that the customer has been given in the past. The customer only finds out about this issue when they arrive to pick up the prescription.

? Some prescriptions can be filled multiple times. This is call a “refill”. Every prescription explicitly states whether a refill is allowed and if so how many refills are allowed. Sometimes, a prescription cannot be filled because the number of allowed refills has been reached. The pharmacist then tries to call the doctor who issued the prescription to check if the doctor would allow an additional refill. Sometimes, however, the doctor is unreachable or the doctor does not authorize the refill. The prescription is then left unfilled and the customer only finds it out when they arrive to pick-up the prescription.

? Oftentimes, especially during peak time, customers have to wait for more than 10 minutes to pick-up their prescription due to queues. Customers find this annoying because they find that having to come twice to the pharmacy (once for drop-off and once for pick-up) should allow the pharmacy ample time to avoid such queues at pick-up.

? Sometimes, the customer arrives at the scheduled time, but the prescription is not yet filled due to delays in the prescription fulfillment process. When making assumptions to analyze these issues, you may choose to equate “oftentimes” with “20% of prescriptions”, “sometimes” with “5% of prescriptions” and “very small number of cases” with “1% of prescriptions”. You may also assume that the entire chain of pharmacies consists of 200 pharmacies that serve 4 million prescriptions a year and that the annual revenue of the pharmacy chain attributable to prescriptions is $200 million. You may also assume that every time a customer is dissatisfied when picking up a prescription, the probability that this customer will not come back after this experience is 20 %. You may also assume that on average a customer requires five prescriptions per year. Taking the issue register as a basis, apply Pareto Analysis to determine a subset of issues that should be addressed to reduce the customer churn due to dissatisfaction by at least 70 %. Customer churn is the number of customers who stop consuming services offered by a company at a given point in time. In this context, this means the number of customers who stop coming to the pharmacy due to a bad customer experience.

Reference no: EM132097315

Questions Cloud

When conducting marketing strategy planning : Discuss what you see as its strengths and weaknesses. How should it consider these when conducting marketing strategy planning?
Do you think that brands have finite life : Do you think that brands have a finite life, or do you believe that brands can last forever?
Are these new influences benefit or are they harmful : Are these new influences a benefit or are they harmful?
Find alternative for the american apparel case problem : Find an alternative for the American Apparel Case Problem.
More drugs in the prescription are not in stock : Sometimes, a prescription cannot be filled because one or more drugs in the prescription are not in stock.
Effectively grow the non carbonate segment of the business : How can coke effectively grow the non carbonate segment of the business?
Work for large multi-national us firm : Let’s say that you work for a large multi-national US firm as the VP of Purchasing.
Discuss the principles of capital budgeting : Discuss the principles of capital budgeting and how the outcome of this analysis can influence the “go – no go” decision.
Business value-adding and non value adding : Identify the steps in this process and classify them into value-adding, business value-adding, and non value adding.

Reviews

Write a Review

Operation Management Questions & Answers

  Global manufacturer of high-end writing instruments

Understanding Project Failure You are the director of project management for Stello, a global manufacturer of high-end writing instruments.

  Advanced technologies like robots-artificial intelligence

With rapid changes in demographics, global outsourcing trends, introduction of advanced technologies like robots and artificial intelligence,

  Decline stage of the organizational life cycle

How can a corporation keep from sliding into the Decline stage of the organizational life cycle?

  Part of the implementation process

Which of the following is NOT part of the implementation process?

  What is the safety stock and the average inventory

A company stocks an SKU with a weekly demand of 225 units and a lead time of 3 weeks. Management will tolerate one stockout per year. If sigma for the lead time is 175 and the order quantity is 800 units, what is the safety stock, the average invento..

  The decision support system analyst

The decision support system analyst has been asked to prepare an estimate of the percentage of his time that a lab technician spends on microscopic examination of blood culture, with a 95.5 percent confidence level. Past experience indicates that the..

  Define departmental processes

Define departmental processes, enterprise processes, and inter-enterprise processes. Describe their characteristics.

  Health care organization in valuing projects and budgets

Please help with the following for CVS Health and McKesson pharmaceutical companies Create realistic strategic options for a health care organization in valuing projects and budgets. Create realistic strategic options for a health care organization i..

  Depending on the type of hotel

When a guest stays at a hotel, they are, at-the-minimum, promised a clean, safe and comfortable accommodation. In addition, depending on the type of hotel, they may also have the opportunity to relax by the pool, workout in the fitness center, or ..

  Medically needy category make sense

Does Medicaid's medically needy category make sense to you? Why or why not? For example, is it a good idea to discount medical expenses so high-need individuals can access healthcare through Medicaid?

  Demonstrate the projects value to centervale apparel

Prepare a proposal using a balanced scorecard approach to demonstrate the project's value to Centervale Apparel.

  Kinds of structural power in an organization

With power comes responsibility. What then are the kinds of structural power in an organization? In what ways can their use of power empower others? Offer a practical example for each.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd