What to Know
- Effective drug procurement is critical to the success of in-office infusion and specialty practices.
- Accurate forecasting, strategic vendor partnerships, and technology-driven inventory management protect margins and improve patient access.
- Understanding pricing structures and payer contracts strengthens financial stability under the buy-and-bill model.
- Remedy GPO simplifies procurement through national vendor relationships, transparent pricing, and real-time technology tools.
- Optimized processes reduce waste, enhance compliance, and ensure timely delivery of biologic infusion therapies.
Why Drug Procurement Optimization Matters
For specialty providers, drug procurement is more than a supply chain task; it’s a financial and operational cornerstone.
Every vial of a biologic infusion represents both a patient’s care outcome and a significant capital investment.
An optimized procurement process ensures predictable costs, consistent supply, and streamlined reimbursements under the buy-and-bill model.
However, specialty practices face growing challenges: fluctuating pricing, payer scrutiny, and the administrative complexity of managing multiple vendor relationships.
This is where structured best practices and trusted partners like Remedy GPO make the difference.
Forecasting Demand and Managing Inventory
Accurate forecasting is the foundation of efficient procurement.
Specialty medications and biologic infusions have limited shelf lives and high acquisition costs, so balance is key. Too little stock risks treatment delays, while overstocking ties up working capital and may increase waste.
To achieve that balance, practices can implement several proven best practices that align clinical operations with financial goals.
Best practices include:
- Leverage historical data: Use patient scheduling patterns and infusion frequency to anticipate demand.
- Coordinate clinical and financial teams: Align infusion scheduling with order cycles to avoid over- or under-purchasing.
- Adopt automated tools: Remedy GPO’s technology platforms provide real-time tracking and predictive analytics to streamline ordering and minimize waste.
- Set reorder thresholds: Establish alerts based on inventory turnover rates and patient pipeline trends.
Understanding Pricing Structures and Payer Contracts
The buy-and-bill model allows practices to purchase medications directly, administer them, and then seek reimbursement.
This model can enhance patient access and revenue potential, but only if costs, contracts, and cash flow are managed strategically.
Additionally, studies show that tendering and procurement models directly impact biosimilar availability and supply stability.
To optimize pricing:
- Evaluate WAC vs. ASP dynamics: Understanding how drug pricing benchmarks fluctuate helps providers negotiate more favorable purchase terms.
- Clarify payer policies: Proactively understanding each payer’s coverage and prior authorization criteria for biologic infusion therapies helps practices prevent avoidable delays and denied claims.
- Leverage GPO discounts: Remedy GPO’s vendor relationships offer members competitive pricing and transparent cost structures that preserve margins.
- Monitor reimbursement trends: Regularly review remittance data to identify underpayments or payer policy changes.
Strengthening Vendor Relationships
Reliable vendor partnerships are vital for specialty practices managing high-value therapies. Beyond pricing, vendor reliability impacts delivery speed, replacement policies, and compliance support.
Recent U.S. analyses highlight how even minor supply chain disruptions can cascade into medication shortages and treatment delays, underscoring the importance of resilient procurement networks.
To help practices navigate these complexities with confidence, Remedy GPO offers a structured, partnership-driven approach that simplifies procurement at every stage.
Remedy GPO’s approach includes:
- National partnerships: Access to trusted distributors, manufacturers, and specialty wholesalers.
- Transparent communication: Consistent updates on availability, shortages, and pricing shifts.
- Quality assurance: Every vendor partner meets strict sourcing and compliance standards to protect patient safety.
- Dedicated support: Procurement specialists provide personalized assistance for order management and contract questions.
Leveraging Technology to Streamline Procurement
Modern procurement efficiency depends on real-time data and automation.
Remedy GPO’s technology tools integrate with clinical systems to simplify daily operations.
By combining automation with actionable insights, these solutions help practices save time, reduce errors, and maintain complete visibility over procurement activities.
Key technology benefits:
- Centralized dashboards for inventory, purchase orders, and expiration tracking.
- Automated reordering based on usage patterns and upcoming infusion schedules.
- Analytics insights to measure procurement performance and identify savings opportunities.
- Regulatory documentation management to maintain compliance and audit readiness.
These digital solutions reduce administrative workload, prevent errors, and allow clinical teams to focus on patient care rather than paperwork.
Safeguarding Profitability While Enhancing Care
In specialty practice operations, profitability and patient access go hand in hand.
When procurement is optimized, providers spend less time resolving shortages, denials, or billing delays and more time delivering exceptional care.
By combining Remedy GPO’s negotiated pricing power, robust vendor network, and intuitive technology, practices can strengthen financial resilience while maintaining seamless patient treatment continuity.
Strengthening Procurement for Long-Term Practice Success
Optimizing drug procurement is an ongoing process that blends forecasting accuracy, contract insight, and trusted partnerships.
Specialty providers that integrate data-driven tools and collaborate with Remedy GPO gain a decisive advantage, ensuring efficiency, compliance, and profitability in every stage of the buy-and-bill lifecycle
FAQ: Optimizing Drug Procurement for Specialty Practices
1. What is the buy-and-bill model?
It’s a reimbursement model in which providers purchase medications, administer them in-office, and then bill payers for both the drugs and administration services.
2. How does joining Remedy GPO help with procurement?
Remedy GPO negotiates national contracts and offers members access to preferred pricing, reliable vendors, and procurement support tools that streamline workflows.
3. What are common challenges in biologic infusion procurement?
High upfront costs, payer reimbursement delays, drug shortages, and compliance tracking are common issues faced by specialty practices.
4. How can technology improve drug inventory management?
Automated tracking, reorder alerts, and integrated dashboards reduce manual errors and improve forecasting accuracy.
5. Why is forecasting important for specialty providers?
It helps practices avoid stockouts or overstocking, maintaining continuity of care while protecting working capital.
6. How does optimized procurement impact patient outcomes?
Efficient procurement ensures timely access to therapy, fewer treatment interruptions, and improved overall patient satisfaction.
