What is the main focus of formulary management in healthcare?

Formulary management primarily focuses on managing the costs of prescription drugs within the healthcare system. A formulary is essentially a list of medications that are approved for use, typically by a specific health plan or provider organization. By managing this list, healthcare organizations strive to control prescription drug expenses while ensuring that patients have access to necessary medications.

This process involves evaluating the effectiveness, safety, and cost-effectiveness of medications to make informed decisions about which drugs to include in the formulary. Furthermore, formulary management can involve negotiating prices with drug manufacturers and determining co-payment structures for patients, all aimed at reducing overall drug expenditure for the healthcare provider and the patient.

Other choices relate to different areas of healthcare management. For instance, determining hospital service availability addresses operational service issues rather than the financial aspect of medications. Enforcing healthcare policies involves regulatory compliance and governance but is not specifically about drug management. Regulating the number of physicians pertains to workforce management and supply, which again differs from the focus on drug costs and formulary management.