The Company understands that as it grows, its operational and financial performance is susceptible to various risks. Therefore, risk management practices based on the principle of prudence have become a necessity to ensure healthy and sustainable growth.
The Company has identified existing risks and the steps required to minimize their impact. These risks are as follows:
Business Risks
The Company analyzes the business risks encountered in its operations:
A. Regulatory and Compliance Risk
Non-compliance with regulations from BPOM and the Ministry of Health. Violations of operational licenses or professional practices by pharmaceutical staff. Storage of medicines that does not meet Good Pharmacy Practice (GPP) standards.
B. Medical Error and Service Risk
Errors in dispensing medication, dosages, or dangerous drug interactions. Lack of patient education regarding correct medication consumption. Risk of using expired or damaged drugs due to improper storage.
C. Financial Risk
Fluctuations in medicine prices that may affect profit margins. Risk of unpaid accounts receivable from customers or business partners. High operational costs (pharmacist salaries, electricity, rent, etc).
D. Supply Chain and Inventory Risk
Delays in drug supply from distributors or manufacturers. Stockouts of essential medicines critically needed by patients. Poor stock recording systems leading to shortages or overstocking.
E. Technology and Data Security Risk
Errors in transaction and stock recording systems due to inadequate IT infrastructure. Threats of cyberattacks or theft of customer data. Disruptions in digital payment systems that could hinder transactions.
F. Reputational and Customer Trust Risk
Poor service or incompetent pharmaceutical staff reducing customer loyalty. Spread of negative online reviews affecting the pharmacy’s image. Allegations of involvement in illegal drug sales or prescription misuse.
Business Risk Management Strategy
The Company has implemented measures to minimize risks arising from its operations:
A. Regulatory Compliance
Ensuring all pharmacy operational licenses are updated and compliant with BPOM and Ministry of Health standards. Using accurate recording systems for reporting the use and stock of controlled substances. Conducting routine training for pharmaceutical staff on the latest regulations and GPP.
B. Medical Error Risk Management
Utilizing e-prescription systems to reduce errors in reading physician prescriptions. Mandating double-checks on dispensed medications, especially for high-dosage drugs or narcotics. Providing verbal and written education to patients regarding medication rules.
C. Sound Financial Management
Forecasting drug inventory based on historical sales data to avoid waste. Maintaining a balance between generic and patent drug stocks to optimize profitability. Managing cash flow by setting strict credit policies for business partners.
D. Supply Chain and Stock Optimization
Building relationships with multiple distributors to ensure a smooth supply chain. Using automated inventory management systems to monitor drug availability in real-time. Performing periodic checks on medications approaching their expiration dates to minimize losses.
E. Technology and Data Security
Using secure pharmacy software integrated with digital recording systems. Implementing regular data backup systems to prevent the loss of critical information. Protecting customer information with strict data security standards.
F. Reputation and Customer Service Management
Improving service by providing pharmaceutical consultations to increase customer satisfaction. Building brand trust by maintaining the quality of medicines and services. Engaging actively on social media and digital platforms to respond quickly to customer reviews.