Financial indicators utilization among community pharmacists: A comprehensive study for pharmacy management

Abstract

Background The financial management of community pharmacies is a critical aspect of healthcare delivery, as pharmacists often operate as healthcare providers and business managers. Understanding pharmacists’ awareness, perceptions, and practices related to financial indicators is essential for effective pharmacy management. There is a paucity of research addressing this issue regionally and locally. Objectives This study aimed to investigate the perceptions and utilization of financial indicators among community pharmacists in Jordan and identify demographic and contextual factors influencing their financial practices. Methods A cross-sectional study was conducted, surveying 353 community pharmacists from various regions of Jordan. The developed and validated survey assessed demographic characteristics, utilizations of financial indicators, and perceptions of their significance. Pharmacists were queried about their financial practices, including the use of various financial indicators. Descriptive and analytical statistics were used to portray the study’s findings. Results The study included a diverse group of community pharmacists in terms of demographic characteristics. Most pharmacists exhibited awareness of financial indicators, with a higher awareness of profitability and liquidity indicators. Pharmacists generally had positive perceptions of the importance of these indicators in daily practice. High agreement was observed in financial practices, including following up on payables and receivables, monitoring changes in monthly revenue, and preparing income statements. There was significant variation in the utilization and perception of financial indicators based on factors such as pharmacy ownership, province, foundation age, and practical experience. Conclusion The findings indicate a positive correlation between utilization and perception, emphasizing the importance of raising awareness of financial indicators among pharmacists. The study also highlights the significance of tailored financial training programs for pharmacists at different stages of their careers and the importance of regional context in financial practices. Understanding these variations can lead to more effective financial management and improved healthcare services in community pharmacies.

Assessing pharmacists' awareness of financial indicators in community pharmacy management: A cross-sectional study

“…This trend may be attributed to updated study plans and training programs that better equip new pharmacists to meet the demands of financial management and healthcare. It underscores the importance of incorporating financial management courses into pharmacy curricula to prepare students comprehensively for their future roles as pharmacy practitioners and potential entrepreneurs [ 8 , 35 ].…”

“…Community pharmacists are healthcare professionals and entrepreneurs who must navigate the complexities of financial management [ 8 ]. The financial health of a community pharmacy is a reflection of its operational efficiency, profitability, and ability to invest in quality improvements [ 9 ].…”

“…First and foremost, pharmacies, like any other business, operate in a competitive market where profit margins can be slim. Pharmacists must, therefore, possess the necessary financial acumen to make strategic decisions that optimize profitability while maintaining a high standard of patient care [ 8 ]. Furthermore, financial indicators serve as early warning signs for potential financial challenges [ 17 ].…”