Case Study
Pharmacy Benefit Management Analysis Saves
Banyan was engaged in 2011 to conduct a full, due-diligence effort relative to pharmacy benefit management (PBM) services. The incumbent vendor has been a trusted business partner of our client for more than six years and provides ongoing value-added resolutions to assist in managing a sizable and growing cost center.
Understanding the value received, our client was also balancing the need to manage expenses and quantify competitive solutions. Banyan conducted a thorough marketing and re-pricing exercise, approaching appropriate direct vendors and pharmacy benefit collaborative arrangements to review funding mechanisms, clinical and administrative programs, and overall service capabilities.
As a result of this project, our client executed an additional three year agreement with the incumbent vendor that will produce nearly $2.5M in savings each year resulting in a total savings of $7.5M over the three year term.