General glossary of system terms.
Acquisition Cost
The cost per unit of an item.
Actions
The Actions menu in the Inventory Review Wizard (IRW) provides you with different settings and data-related history of a specific inventory item or of a group.
Actual Usage
The used/dispensed quantity during the indicated month (based on the item’s unit of use measure: tablet, capsule, ml, etc.).
Alert Date
The date to be alerted about an item that has been added to the list of items to be returned to the
wholesaler or liquidated via the Return Alerts function.
Calculated Forecast Quantity (Forecast Usage)
This value represents the expected usage or dispensing volume during the current month. This value is the result of one of 12 different Forecast Formulas (algorithms). All relevant Forecast Formulas are applied to each Inventory Item and the Forecast Error of each is then taken into account to provide the most appropriate estimate (best fit/lowest error).
Current Max
This consists of the Current Min plus the Current Order Quantity.
Current Min
This represents the number of units on hand of an item when a purchase order for its replenishment is to be issued. This often referred to as the Order Point (OP).
Current Order Quantity (Current OQ)
This represents the number of units ordered to replenish the inventory.
Current Turns
This is the estimated number of turns that can be expected based on the Current OP and OQ and the usage history of a given inventory item.
Current Units on Hand
This represents the currently available quantity of an item in your inventory. The value is updated nightly via the nightly Inventory file sent by the Pharmacy Management System to Datarithm.
Data Import Details
Displays the date of the most recently sent data by the Pharmacy Management System to Datarithm.
DEA Class/Drug Schedule
Drugs, substances, and certain chemicals used to make drugs are classified into five distinct categories or schedules, depending upon the drug’s acceptable medical use and the drug’s abuse or dependency potential. The abuse rate is a determinant factor in the scheduling of the drug. For the US, classes are 1 through 5. In Canada N, G & T are used.
Drug Identifier
The NDC (US) or DIN (Canada) associated with the inventory item.
Drug Name
Contains the name and often the format and strength of the inventory item.
Extended Cost
This represents the unit cost of an item multiplied by the total number of units on hand.
Forecast Average On Hand
This is the estimated average on-hand quantity (measured in units) based on the Forecast OP and OQ as measured in units.
Forecast Average On Hand ($)
This is the estimated average on-hand quantity (measured in dollars) based on the Forecast OP and OQ as measured in dollars.
Forecast Daily Usage
This is the estimated average number of units that will be used per day in the current month.
Forecast Daily Usage ($)
This is the dollar value of the estimated average number of units that will be used per day in the current month.
Forecast Formula
The type of mathematical formula applied to an inventory item items in order to determine a forecast for the current month.
Forecast Max
This is the sum of the Forecast OP and the Forecast OQ.
Forecast Min
This represents the estimated number of units on hand when a purchase order for its replenishment is to be issued. This can also be referred to as the Forecast Order Point (OP).
Forecast Order Quantity
This represents the recommended number of units to be ordered to replenish the inventory.
Forecast Order Cycle Usage
The estimated number of units that will be used during the order cycle period. The order cycle period can be defined by the user in Option Values. The default value is 3 days.
Forecast Turns
This is the estimated number of turns that can be expected based on the Forecast OP and OQ and the usage history of a given inventory item.
Generic Equivalency Code (GEC)
The GEC is the grouping code provided by the Pharmacy Management System that allows Datarithm to automatically group generic inventory items. This code may be any one of GCN, GSN, or GPI, depending on the original source.
Generic Indicator
Its value (True or False) indicates whether an item is generic or not.
Impersonation This function gives Company or Region Level users the ability to take on a different role (lower within the hierarchy) within Datarithm.
Liquidation
The process of returning inventory to the manufacturer or through some other means, possibly through a Returns Company or Reverse Distributor.
Liquidation Recommendation Quantity
The number of units of a given inventory item that are in surplus and that are recommended for
liquidation.
Maximum Days Supply to Buy
This represents a cap on the Forecast OQ as measured in Days Supply.
Months Since Last Usage
The number of months since the last time an item has been dispensed.
Months Without Usage
This is the number of consecutive (recent) months without usage.
New (Usage Pattern)
Items that appear to have been part of the formulary for 9 or fewer months.
Current on Hand
The number of units currently in stock for an Inventory Item or generic group.
Order Cycle Period
The maximum number of days between placing orders with the wholesaler. As an example, while a pharmacy may send an order every day during the week, the Order Cycle Period should be 3 days to allow for the gap between the Friday order and the Monday order.
Order Lead Time
The typical number of days between placing an order and receiving the ordered item. As an example, if a pharmacy can expect to receive an order the day after placing it, this value should be 1.
Over/Under Stocked
This is the difference between the Current on Hand and the Forecast Average On Hand as measured in units. A positive value indicates that an item is overstocked, and a negative value indicates that an item is understocked.
Over/Under Stocked ($)
This is the difference between the Current on Hand and the Forecast Average On Hand as measured in dollars. A positive value indicates that an item is overstocked, and a negative value indicates that an item is understocked.
Package Cost
The cost of one package of a given inventory item.
Package Size
The number of units contained in a single package.
Pharmacy Days’ Supply
This represents the number of day’s supply based on the Current on Hand quantity and the usage rate for the item.
Planned Excess
The quantity of a product you must buy above the recommended quantity (using the Standard Order Quantity (SOQ) calculated by Datarithm) due to the package size.
Quantity Found
The actual number of units found in your inventory while performing a Cycle Count when using the Standard Cycle Count method.
Quantity to Expect
The expected Current on Hand of an Inventory Item that has been assigned for Cycle Counting.
Rank by Cost
Inventory items are ranked within Datarithm based on the volume of each item moving through the store. Fast movers are assigned the A Rank, with the B, C, and D Ranks filling out the spectrum. In this case the volume is measured in terms of cost basis dollars.
Rank by Frequency
Inventory items are ranked within Datarithm based on the volume of each item moving through the store. Fast movers are assigned the A Rank, with the B, C, and D Ranks filling out the spectrum. In this case, the volume is measured in terms of the number of dispensing events.
Rank by Quantity
Inventory Items are ranked within Datarithm based on the volume of each item moving through the store. Fast movers are assigned the A Rank, with the B, C, and D Ranks filling out the spectrum. In this case, the volume is measured in terms of units.
Receiving Pharmacy
In the context of a Transfer, this is the location that is supposed to receive items sent from another location.
Recurring (Usage Pattern)
Items with dispensing events in 8 or more of the most recent 12 months.
Replenishment Points
This is the pair of values for an inventory item comprised of an Order Point and an Order Quantity, or a Min and a Max.
Return Recommendation Quantity
This is the number of units that are recommended for a return to the wholesaler.
Rounded SOQ
The Rounded SOQ is the Standard Order Quantity (SOQ) rounded up to the nearest package size for the inventory item.
Safety Stock
The number of units added to (included within) the order point to maintain a buffer required for
recurring items with greater usage to reduce the risk of stock-outs.
Standard Order Quantity (SOQ)
The optimum (unrounded) order quantity that a pharmacy should maintain for an inventory item, given a set costs, demand rate, and other variables to minimize inventory maintenance costs.
Sporadic (Usage Pattern)
Inventory items that are not New and that have dispensing events in less than 8 of the most recent 12 months. Infrequently dispensed items.
Strength
The strength of a drug expressed in mg/ml/etc.
Transfer Recommendation Quantity
This is the number of units that are recommended for a transfer to another pharmacy within the
company.
Typical Daily Dispense Quantity (TDDQ)
This represents either the median or the mode of daily usage expressed in units, whichever is greater.
Usage Pattern
Indicates whether an item is New, Recurring, or Sporadic.