Independent Pharmacy Group Reduces Claims Reconciliation Time by 88% with Help from EnlivenHealth

At a Glance

As a pharmacy owner managing 11 stores within the 986 Pharmacy Group network, Dr. Lilia Xu faced the overwhelming challenge of manually reconciling accounts receivable (AR) across multiple locations. After implementing Cardinal Health Reconciliation Plus (powered by EnlivenHealth®), she transformed her AR management from a time-consuming manual process into a streamlined operation requiring just 1-2 hours per month. With dedicated analyst support and systematic monthly reviews, 986 Pharmacy now maintains ARs with zero outstanding claims over 60 days, which should help ensure accurate financial reporting and improved cashflow management.

Background

Lilia Xu, PharmD, a pharmacist with 13 years of experience, has grown her pharmacy business from a single location in La Verne, California to part-ownership of 11 stores within the 986 Pharmacy Group, a franchise model with pharmacy locations across multiple states.

As her business expanded, the complexity of managing accounts receivable became increasingly challenging. What started as manual reconciliation for one store evolved into an unmanageable burden across multiple locations, with countless claims to track and 986 Pharmacy Group having no clear system for following up on unpaid amounts with various PBMs.

The turning point came when Xu recognized that, as a business owner, her time was better spent on marketing, team building—and, of course, serving her patients—rather than diving into individual claims. She determined she needed a professional solution that was designed to handle the technical complexities of AR management while providing the oversight necessary for accurate financial reporting.

With an analyst helping me, everything’s just way easier. When you bring someone in who knows what to do, you can just focus on building your business and helping the community.

Lilia Xu, PharmD
‍Vice President of Business Development & Pharmacy Owner, 986 Degrees Corporation

Challenges

Time-Consuming Manual Methods: Managing AR across 11 locations manually was consuming excessive time and resources, with no systematic way to track claims or follow up on unpaid amounts.

Difficulty Contacting Payers: Without insider knowledge of which payers to reach out to for specific claims, inquiries were sent to general email addresses that often went unanswered.

Inflated AR Numbers: Without proper reconciliation, 986 Pharmacy Group’s AR numbers often appeared inflated, making it difficult to assess true business performance and provide accurate information to CPAs for financial reporting.

Solution: Cardinal Health Reconciliation Plus (powered by EnlivenHealth)

To address these challenges, 986 Pharmacy Group implemented Cardinal Health Reconciliation Plus, the third-party reconciliation service powered by EnlivenHealth. (For pharmacies that are not Cardinal Health customers, the service is available as EnlivenHealth Reconcile.)

Cardinal Health Reconciliation Plus offers dedicated analyst support with monthly reviews, systematic claim tracking, and on-call support that is intended to efficiently resolve outstanding issues. Analysts work directly with pharmacy owners to establish AR goals and maintain clean, accurate financial records.

Results

Dramatic Time Savings: Reduced extensive manual AR management to just 1-2 total hours maximum per month for all 11 pharmacies reviewing analyst reports and responding to inquiries. That’s approximately 88% less time than the average pharmacy spends reconciling third-party claims, according to an NCPA Foundation grant report.

Zero Claims Outstanding Past 60 Days: Currently, 986 Pharmacy Group successfully maintains Aged Receivables under 60 days with zero outstanding claims over that threshold across all 11 locations managed by Dr. Xu.

Accurate Financial Reporting: Year-end numbers match dispensing data, which should provide greater confidence in financial reporting to CPAs and stakeholders.

For More Information

To learn more about how EnlivenHealth has the potential to streamline your pharmacy’s AR management and improve cash flow, contact EnlivenHealth at 877-778-1714 or request a demo today!

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