(19) United States
`(12) Patent Application Publication (10) Pub. No.: US 2007/0150382 A1
`Danilewitz
`(43) Pub. Date:
`Jun. 28, 2007
`
`US 2007 O150382A1
`
`(54) SYSTEM AND METHOD FOR
`PHARMACEUTICAL MANAGEMENT AND
`TRACKING
`
`(75)
`
`Inventor: Dale Danilewitz, Dallas, TX (US)
`
`Correspondence Address:
`DOCKET CLERK
`P.O. DRAWER 80O889
`DALLAS, TX 75380 (US)
`
`(73)
`
`Assignee: ASD SPECIALTY HEALTHCARE,
`INC. D/B/A AMERSOURCEBER
`GEN SPECIALTY GROUP, Addison,
`TX
`
`(21)
`
`Appl. No.:
`
`11/607,832
`
`(22)
`
`Filed:
`
`Dec. 1, 2006
`
`Related U.S. Application Data
`(60) Provisional application No. 60/741,631, filed on Dec.
`2, 2005.
`
`Publication Classification
`
`(51) Int. Cl.
`(2006.01)
`G06Q 10/00
`(52) U.S. Cl. ................................................................ 705/28
`
`ABSTRACT
`(57)
`A product inventory management system including a cabinet
`configured to contain an inventory of product units having
`RFID tags and further configured to monitor the inventory
`by wirelessly detecting the RFID tags, and a server system
`configured to communicate over a network with the cabinet,
`the server system capable of managing the inventory of the
`cabinet. There is also a method for product inventory
`management, including receiving, in a server system and via
`a network, inventory data from a cabinet, the inventory data
`corresponding to an inventory of product units stored in the
`cabinet, and generating an order to have additional product
`units added to the cabinet according to the cabinet inventory.
`
`Data Processing System
`150
`
`Network interface
`160
`
`Sensor Device
`140
`
`Reader
`120
`
`
`
`Cabinet
`1OO
`
`Refrigerated
`Chassis
`110 N
`
`Page 1 of 11
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`Health Care Logistics, Inc.
`Exhibit 1009
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`

`

`Patent Application Publication Jun. 28, 2007 Sheet 1 of 4
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`US 2007/0150382 A1
`
`Data Processing System
`150
`
`Network interfac
`160
`
`:a
`
`Sensor Device
`140
`
`
`
`Cabinet
`100
`
`
`
`Refrigerated
`Chassis
`110
`
`Figure 1
`
`Page 2 of 11
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`Health Care Logistics, Inc.
`Exhibit 1009
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`

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`Patent Application Publication Jun. 28, 2007 Sheet 2 of 4
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`US 2007/O150382 A1
`
`
`
`Product
`Unit
`200
`
`Packaging
`220
`
`RFID Tag
`M 230
`
`Figure 2
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`Page 3 of 11
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`Health Care Logistics, Inc.
`Exhibit 1009
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`

`

`Patent Application Publication Jun. 28, 2007 Sheet 3 of 4
`
`US 2007/O150382 A1
`
`
`
`
`
`
`
`
`
`Server System
`31 O
`
`
`
`Warehouse
`System
`
`Management
`System
`
`Inventory
`Management
`System
`300
`
`Cabinet
`100
`
`Cabinet
`100
`
`Cabinet
`100
`
`Figure 3
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`Page 4 of 11
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`Exhibit 1009
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`Patent Application Publication Jun. 28, 2007 Sheet 4 of 4
`
`US 2007/O150382 A1
`
`405
`
`410
`
`
`
`415
`
`
`
`420
`
`
`
`425
`
`
`
`430
`
`435
`
`440
`
`Assign Product to Cabinet -—
`445
`
`Record Product and Cabinet
`identifiers
`
`Product transferred to
`Cabinet
`
`Warehouse System Notifies
`Server System
`
`Detect Product and Add to
`inventory
`
`
`
`
`
`
`
`
`
`
`
`
`
`
`
`
`
`Cabinet sends inventory to
`Server
`
`
`
`
`
`Cabinet Reports Consumed
`Product
`
`
`
`
`
`465
`
`Server Monitors inventory
`
`Server issues Order to
`Replace Consumed
`Inventory
`
`Server issues Order to
`Replace inventory
`
`Server Orders inventory
`Removed
`
`
`
`Server Monitors and
`Controls Cabinet
`
`Server Transmits
`Messages
`
`Server Generates Billing
`Invoice
`
`Figure 4
`
`470
`- Server Analyzes Product
`Data
`
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`Health Care Logistics, Inc.
`Exhibit 1009
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`US 2007/O 150382 A1
`
`Jun. 28, 2007
`
`SYSTEMAND METHOD FOR PHARMACEUTICAL
`MANAGEMENT AND TRACKING
`
`CROSS REFERENCE TO RELATED
`APPLICATIONS
`0001. This application claims the benefit of the filing date
`of U.S. Provisional patent application Ser. No. 60/741,631,
`filed Dec. 2, 2005, which is hereby incorporated by refer
`ence. This application also includes some common text
`and/or figures as, but is otherwise unrelated to, concurrently
`filed U.S. patent application Ser. No.
`(Docket Num
`ber AMER01-00020), which is hereby incorporated by
`reference.
`
`TECHNICAL FIELD
`0002 The present disclosure is directed, in general, to
`inventory management and tracking systems, and in particu
`lar to pharmaceutical management and tracking.
`
`BACKGROUND
`0003 Product tracking is of importance to any manufac
`turing, distribution, or sales enterprise. It can be particularly
`important in the pharmaceutical area, where many products
`must be carefully identified and tracked from manufacture
`until administered to a patient. Typical known means of
`tracking pharmaceuticals involve manual record keeping
`and identifying products according to written labels. Inven
`tory management and distribution also typically rely on a
`manual process of taking a physical inventory of product
`and manually ordering refills or restocking, while also
`eliminating product that is nearing or passed its expiry.
`0004 Another significant issue with pharmaceuticals is
`the very high cost of maintaining an inventory of expensive
`drugs. Some drugs can cost several thousand dollars per
`dose, and be relatively rarely needed, but these same drugs,
`when needed, are needed immediately. Pre-purchasing and
`stocking Such drugs is a great expense for pharmacies and
`hospitals. Further, because of the high cost of these drugs,
`managing and tracking each product becomes essential.
`0005 There is, therefore, a need in the art for improved
`systems, methods, and apparatuses for inventory manage
`ment and tracking systems, and in particular for pharma
`ceutical management and tracking.
`
`SUMMARY
`0006. One disclosed embodiment includes a product
`inventory management system including a cabinet config
`ured to contain an inventory of product units having RFID
`tags and further configured to monitor the inventory by
`wirelessly detecting the RFID tags, and a server system
`configured to communicate over a network with the cabinet,
`the server system capable of managing the inventory of the
`cabinet.
`0007 Another disclosed embodiment includes a method
`for product inventory management, including receiving, in a
`server system and via a network, inventory data from a
`cabinet, the inventory data corresponding to an inventory of
`product units stored in the cabinet, and generating an order
`to have additional product units added to the cabinet accord
`ing to the cabinet inventory.
`
`0008. The foregoing has outlined rather broadly the fea
`tures and technical advantages of the present invention So
`that those skilled in the art may better understand the
`detailed description of the invention that follows. Additional
`features and advantages of the invention will be described
`hereinafter that form the subject of the claims of the inven
`tion. Those skilled in the art will appreciate that they may
`readily use the conception and the specific embodiment
`disclosed as a basis for modifying or designing other struc
`tures for carrying out the same purposes of the present
`invention. Those skilled in the art will also realize that such
`equivalent constructions do not depart from the spirit and
`scope of the invention in its broadest form.
`0009. Before undertaking the DETAILED DESCRIP
`TION OF THE INVENTION below, it may be advantageous
`to set forth definitions of certain words or phrases used
`throughout this patent document: the terms “include’ and
`“comprise,” as well as derivatives thereof, mean inclusion
`without limitation; the term 'or' is inclusive, meaning
`and/or; the phrases “associated with and “associated there
`with, as well as derivatives thereof, may mean to include,
`be included within, interconnect with, contain, be contained
`within, connect to or with, couple to or with, be communi
`cable with, cooperate with, interleave, juxtapose, be proxi
`mate to, be bound to or with, have, have a property of, or the
`like; and the term “controller” means any device, system or
`part thereofthat controls at least one operation, whether such
`a device is implemented in hardware, firmware, software or
`some combination of at least two of the same. It should be
`noted that the functionality associated with any particular
`controller may be centralized or distributed, whether locally
`or remotely. Definitions for certain words and phrases are
`provided throughout this patent document, and those of
`ordinary skill in the art will understand that such definitions
`apply in many, if not most, instances to prior as well as
`future uses of Such defined words and phrases.
`
`BRIEF DESCRIPTION OF THE DRAWINGS
`0010 For a more complete understanding of the present
`invention, and the advantages thereof, reference is now
`made to the following descriptions taken in conjunction with
`the accompanying drawings, wherein like numbers desig
`nate like objects, and in which:
`0011 FIG. 1 depicts a simplified block diagram of a
`cabinet in accordance with an embodiment of the present
`invention;
`0012 FIG. 2 illustrates a product unit as can be used in
`various embodiments of the present invention;
`0013 FIG.3 depicts a simplified diagram of an inventory
`management system in accordance with an embodiment of
`the present invention; and
`0014 FIG. 4 depicts a flowchart of a process in accor
`dance with a disclosed embodiment.
`
`DETAILED DESCRIPTION
`0015 FIGS. 1 through 4, discussed below, and the vari
`ous embodiments used to describe the principles of the
`present invention in this patent document are by way of
`illustration only and should not be construed in any way to
`limit the scope of the invention. Those skilled in the art will
`understand that the principles of the present invention may
`
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`Health Care Logistics, Inc.
`Exhibit 1009
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`

`US 2007/O 150382 A1
`
`Jun. 28, 2007
`
`be implemented in any Suitably arranged device. The numer
`ous innovative teachings of the present application will be
`described with particular reference to the presently preferred
`embodiment.
`0016 Various embodiments include a system and method
`for managing pharmaceutical inventories, and in particular
`to managing consigned pharmaceuticals in third-party facili
`ties, such as hospital pharmacies. Various embodiments can
`use a product-management cabinet capable of tracking prod
`uct inventory, and corresponding products. Before describ
`ing overall processes, it will be helpful to discuss various
`aspects of cabinets and products that can be used in imple
`menting the processes.
`0017. One aspect of the disclosed embodiments concerns
`an innovative pharmaceutical cabinet used to store pharma
`ceutical inventory. FIG. 1 depicts a simplified block diagram
`of a cabinet that can be used to implement the processes
`described herein.
`0018. The cabinet 100, in a preferred embodiment,
`includes a refrigerated chassis 110, but can be held at any
`required temperature, including cooled, frozen, ambient
`temperature, or even heated, using conventional means. For
`refrigerated or ambient-temperature use, a conventional
`refrigerator unit can be modified as described herein to
`function as the cabinet. For ambient-temperature use, a
`non-refrigerated cabinet can be used, or the refrigeration unit
`can be turned off or disconnected.
`0019. The cabinet 100 also includes a reader 120 to
`wirelessly and automatically detect and identify the contents
`of the cabinet. Preferably, this is a radio-frequency identi
`fication (RFID) reader, known to those of skill in the art. The
`cabinet 100 includes one or more RFID antennas 130
`connected to RFID reader 120 to scan the contents of the
`cabinet.
`0020 Preferably, the cabinet 100 also includes one or
`more optional sensor devices 140. Such as a thermometer, a
`door-open sensor, a power-failure sensor and optional
`backup power Supply; a GPS locating device; and other
`devices. In some embodiments, cabinet 100 also has an
`attached RFID tag.
`0021. The cabinet also includes a data processing system
`150 capable of communicating with and controlling the
`RFID reader 120. The cabinet data processing system 150
`also includes communications Software for communicating
`as described more fully below. The cabinet data processing
`system 150 is also preferably connected to communicate
`with and control the optional sensor devices 140 described
`above.
`0022 Cabinet data processing system 150 can be imple
`mented using any appropriate technology and components,
`capable of operating as described herein, as known to those
`of skill in the art. The cabinet data processing system 150
`generally includes at least a processor or controller and an
`accessible memory for storing data as described herein.
`0023 Cabinet data processing system 150 is also con
`nected to communicate with other devices using network
`interface 160, which can be implemented using wired com
`munications such as Ethernet or a telephone modem, or
`wireless communications such as GSM or IEEE 802.11, or
`a cable modem system, or otherwise, or a combination of
`
`these. Preferably, network interface 160 communicates
`using Internet Protocol. Network interface 160 allows the
`cabinet data processing system 150 to communicate with the
`inventory management system, described below, and option
`ally with other cabinets 100 using mesh networking, direct
`cabling, or other technologies known to those of skill in the
`art. Communications between cabinet data processing sys
`tem 150 and the inventory management system can be
`implemented using any Suitable data communications tech
`nology, or a combination of them. In embodiments where
`multiple cabinets 100 communicate with each other, these
`can be configured to communicate with the inventory man
`agement system as a single unit with a combined inventory.
`0024. In use, the cabinet data processing system 150 will
`make periodic inventory scans, using the RFID reader 120,
`to uniquely identify each product unit 200 (as shown in FIG.
`2) stored in the cabinet. If a new identifier is found during
`any scan, the cabinet data processing system 150 notes the
`identifier and stores it to a current inventory list for that
`cabinet. Similarly, if a specific identifier is no longer
`detected during a periodic scan, because the product has
`been removed or the RFID tag has been destroyed, the
`cabinet data processing system 150 notes the missing iden
`tifier and removes it from the current inventory list for the
`cabinet. The identifiers of such removed products are also
`stored in a “consumed product” list in the cabinet data
`processing System.
`0025. In this way, the cabinet is configured to monitor the
`inventory by wirelessly detecting the RFID tags. The cabinet
`performs a periodic wireless scan to determine the current
`product units in the inventory, and can determine that a
`product unit has been removed from the inventory when the
`RFID tag corresponding to the product unit is not detected
`for a predetermined amount of time.
`0026. Of course, the references herein to the inventory
`list and consumed product list are not intended to specify a
`data structure for this information, as this information can be
`stored in any number of forms within the scope of the
`disclosed embodiments. “Lists’ is simply used for conve
`nient reference.
`0027. In alternate embodiments, cabinet 100 can also
`include a locking mechanism, or one or more individual
`locking compartments, to control access to the product.
`These locks can be any known technology, including key
`locks, digital keypad locks, biometric locks, etc. Preferably,
`any locking device can also be opened remotely if the
`cabinet data processing system 150 receives such a com
`mand from the inventory management system.
`0028 Cabinet 100 can also include marketing or infor
`mational displays, either as a fixed display, or as a customi
`Zable electronic display. Similarly, cabinet 100 can include
`a display connected to cabinet data processing system 150
`that is capable of displaying status or informational mes
`sages related to the status of the cabinet or the product
`inventory.
`0029 Preferably, cabinet 100 includes a power-failure
`detection device and a backup power Supply. When a power
`failure is detected, cabinet 100 can sound an audible alarm,
`and can communicate with the inventory management sys
`tem to notify it of a problem.
`0030 Product: In a preferred embodiment, the product
`consists of packaged pharmaceuticals, but of course the
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`US 2007/O 150382 A1
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`Jun. 28, 2007
`
`systems and methods described herein can be applied to
`other products. FIG. 2 shows a simple illustration of a
`product unit 200 as can be used in various embodiments of
`the present invention. An important feature of the products,
`in a preferred embodiment, is that each product unit 200
`includes an RFID tag 230 affixed to the product or its
`packaging, where the RFID tag 230 includes identifying
`information capable of being read by the RFID reader.
`0031. In a typical implementation, an individual product
`unit 200 includes the product 210 itself in an appropriate
`packaging 220. Such as a box. The packaging includes the
`RFID tag 230, which seals the package. The RFID tag has
`at least a unique identifier, Such as a serial number, that can
`be read by the RFID reader. Preferably, to open the package
`220 to use the product 210, the RFID tag 230 is destroyed,
`at which point it can no longer be read by the RFID reader.
`0032) For ease of reference, the term “serial number” will
`be used herein to refer to the unique identifier, although
`those of skill in the art will recognize that any other style of
`unique identifier can be used.
`0033. As will be understood by those of skill in the art,
`the product unit 200 represents a generic product. There can
`be one or more actual products 210 identified as a product
`unit 200, and preferably packaged together. For example, in
`the pharmaceutical context, a single dose, pill, or pre-filled
`Syringe can be a single product 210, but multiple ones of
`these can be packaged together as a single product unit 200,
`depending on the requirements for using, dispensing, or
`billing for the product 210.
`0034) Inventory management system: An inventory man
`agement system 300 is used to control the inventory in
`multiple cabinets 100. FIG.3 depicts a simplified diagram of
`an inventory management system 300, in accordance with
`an embodiment of the present invention, including server
`system 310, warehouse system 320, management system
`330, and multiple cabinets 100, all communicating via
`network 340. Network 340 can be implemented using any
`known networking technology, as a public or private net
`work or as direct communications, and is preferably imple
`mented using the Internet to communicate between each
`system. Network 340 can be implemented using multiple
`technologies, and can be implemented using multiple sepa
`rate networks.
`0035) Server system 310, warehouse system 320, man
`agement system 330, while depicted as single, individual
`systems in this simplified figure, can each be implemented
`using one or more data processing systems, which can be
`commonly located but are not necessarily so. For example,
`as known to those of skill in the art, different functions of
`server system 310 may be more efficiently performed using
`separate data processing systems, each performing specific
`tasks but connected to communicate with each other in Such
`a way as to together perform the functions described herein
`for the server system 310 as a whole. Similarly, one or more
`of server system 310, warehouse system 320, and manage
`ment system 330 could be implemented as an integrated
`system as opposed to distinct and separate systems.
`0036) Server system 310 performs overall inventory
`management functions for multiple cabinets 100, as
`described in more detail below with regard to the overall
`process. In general, server system 310 communicates with
`
`cabinets 100 to monitor the inventory of each cabinet 100 on
`a regular basis. Server system 310 can also monitor other
`status information of each cabinet 100 according to sensor
`devices 140. Server system 310 includes a database of the
`current inventory of each cabinet 100, the product inventory
`assigned to each cabinet 100, and other information regard
`ing the cabinets 100.
`0037) Server system 310 also tracks all product units 200
`from time of purchase and receiving into a warehouse, to
`shipment placement in a cabinet 100, to storage in cabinet
`100, to removal from cabinet 100. Server system 310 will
`periodically receive communications from each cabinet 100
`including the current inventory list, the consumed product
`list, and other information. These communications can be
`initiated by server system 310, by polling each of the
`cabinets 100, or can be initiated by the cabinets 100.
`0038) Server system 310 preferably includes a web server
`interface to allow management using a standard web
`browser interface. Preferably, at least some data sent and
`received by server system 310 is in XML format. Server
`system 310 maintains at least one database for product
`inventory data; in a preferred embodiment, this database is
`an SQL database.
`0039) Server system 310 can also generate billing and
`invoice data according to the reports from cabinets 100 of
`product units 200 that are delivered (added to the current
`inventory list) or consumed (added to the consumed inven
`tory list).
`0040. In various embodiments, the server system 310 is
`capable of creating an order to have additional product units
`added to the cabinet according to the cabinet inventory. In
`Some cases, the product units in the cabinet inventory are
`consignment product units, and the server system 310 cre
`ates an invoice when the product units are removed from the
`inventory. The server system 310 is further capable, in some
`embodiments, of receiving cabinet status data from the
`cabinet, and sending cabinet control instructions to the
`cabinet. The server system 310 is further capable, in some
`embodiments, of analyzing product consumption data
`according to inventory data received from the cabinet, as
`described below.
`0041 Warehouse system 320 is connected to communi
`cate with server system 310. Warehouse system 320 is
`configured to receive inventory management orders from
`server system 310, to have inventory shipped or delivered
`for placement in a cabinet 100. Warehouse system 320 is
`also preferably capable of reading the RFID tags of the
`product units 200 to identify exactly which product units are
`being shipped to a given destination. In alternate embodi
`ments, warehouse system 320 is also configured to produce
`RFID tags for labeling product units 200.
`0042. Management system 330 is preferably a data pro
`cessing system configured to connect with server system 310
`to allow a user to manage the functions of server system 310
`and the processes it controls. Management system 330 can
`preferably be implemented using a common data processing
`system including a standard internet browser, connected to
`allow the user to connect to a web server interface on server
`system 310.
`0043 FIG. 4 depicts a flowchart of a process in accor
`dance with a disclosed embodiment. Various embodiments
`
`Page 8 of 11
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`Health Care Logistics, Inc.
`Exhibit 1009
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`

`US 2007/O 150382 A1
`
`Jun. 28, 2007
`
`include an inventory management process that provides
`monitoring, tracking, and billing functions for product units
`200 in cabinets 100. In this way, each cabinet 100 can
`function as a “virtual warehouse' of product units 200
`located at each product location, such as hospital pharma
`cies. This process is particularly useful when the product is
`not sold when shipped for placement in a cabinet, but rather
`is held on consignment in the cabinet, and considered sold
`when removed from the cabinet or the product packaging.
`0044) In particular, the embodiments described herein
`can be used for high-dollar injectable pharmaceuticals,
`which a pharmacy may desire to have readily available but
`not be willing or able to pre-purchase. In this case, the
`consignment product in the “virtual warehouse' cabinet
`functions to answer a significant and immediate need in the
`industry.
`0045 According to one process, product units 200 are
`first designated to be transferred from a warehouse to a
`cabinet 100 (step 405). Of course, this process is performed
`for any number of cabinets 100, but for simplicity of
`description, the process will be described with reference to
`only one cabinet 100.
`0046) The warehouse system 320 will record the serial
`numbers of each product unit shipped to the cabinet 100,
`along with an identifier of cabinet 100 (step 410), which may
`be the RFID tag serial number of the cabinet 100, if it were
`so tagged. Warehouse system 320 can preferably record each
`of these serial numbers by performing an RFID scan of all
`product units being shipped to the cabinet 100.
`0047. When the product units are shipped (step 415),
`warehouse system 320 will notify server system 310 that the
`product units 200 have shipped, the destination cabinet 100
`of the product units 200, and the serial numbers of the RFID
`tags of each of the shipped product units 200 (step 420), and
`any other inventory management data.
`0.048
`Server system 310, in turn, periodically communi
`cates with cabinet 100. At some point after shipment, the
`shipped product units 200 will be delivered to and placed
`within cabinet 100 at a customer site. Cabinet 100 will detect
`the serial numbers of the RFID tags of each of the product
`units, and add those to the current inventory list (step 425).
`Cabinet 100 will communicate the current inventory list to
`server system 310, which will update a status record for each
`corresponding serial number (step 430).
`0049. In implementations where there is a direct sale of
`the product, server system 310 can generate a billing invoice
`for the customer either when the product units 200 are
`shipped or when they are detected within cabinet 100,
`depending on the terms of the customer contract, or at
`another appropriate time (step 440, see also below).
`0050. When the cabinet 100 no longer detects a given
`RFID serial number of a product unit 200, that serial number
`is added to the consumed product list and eventually
`reported to server system 310, as described above (step 435).
`Typically, this will be when the product unit 100 is opened
`and the product is consumed, but it can also happen when the
`RFID tag is destroyed when the packaging is opened, or if
`the product is otherwise removed, stolen, destroyed, etc.
`0051. In a preferred embodiment, a particular product
`unit is not moved to the consumed product list immediately
`
`when it is not detected, but only when it has not been
`detected for a significant period, such as 24, 48, or 72 hours.
`This is to accommodate the event that the product unit 200
`is removed from cabinet 100 in anticipation of use, but is not
`actually consumed, and so is returned to the cabinet 100 and
`is thereafter detected by cabinet 100.
`0052. In an implementation where the product is in the
`cabinet on consignment, server system 310 can generate a
`billing invoice for the customer when the product units 200
`are placed on the consumed product list (step 440).
`0053 Server system 310 continues to monitor the inven
`tory of cabinet 100 on a periodic basis. As products are
`consumed, server system 310 updates its inventory and
`performs any necessary billing procedures (step 445).
`0054 When server system 310 determines that the num
`ber of product units 200 in cabinet 100 for a given product
`has fallen below a predetermined threshold, server system
`310 will preferably send a purchase order (for direct sales)
`or transfer purchase order (for consignment sales) to ware
`house system 320 (step 450). Warehouse system 320 will
`process a new delivery of the required product to the cabinet
`(e.g., returning to step 405). That is, when the server system
`determines that a cabinet is running low on a specific
`product, it will preferably automatically generate an order
`for the warehouse system to replenish the Supply.
`0055 Also, in preferred embodiments and particularly in
`pharmaceutical implementations, the server system 310 will
`maintain pedigree and expiry information for each product
`unit 200, associated with the product unit serial number. In
`the event of a product recall or product that is nearing its
`expiration in a cabinet, the server system 310 can produce an
`order for the product to be removed or replaced in the
`cabinet (step 455), and adjust its inventory and billing
`records when the replacement is reported by the cabinet.
`0056.
`In alternate embodiments, the temperature and
`other parameters of the cabinet 100 can be directly modified
`by cabinet data processing system 150. Further, server
`system 310 can send appropriate commands to cabinet data
`processing system 150 to change the cabinet parameters. In
`this way, for example, server system 310 can determine the
`optimal cabinet parameters according to the current cabinet
`inventory, and thereafter modify the parameters accordingly
`(step 460).
`0057 Server system 310 can also track product units 200
`indicated as shipped by warehouse system 320 but that are
`not timely detected by the destination cabinet 100. When
`this occurs, server system 310 can send an appropriate notice
`to an operator, the customer, or other appropriate person or
`system. By reference to the status information of the carrier
`contracted to deliver the product units, server system 310
`can also determine whether the product was delivered to the
`customer location but never placed by the customer in the
`cabinet 100. According to the provisions of a customer
`contract, server system 310 can optionally automatically bill
`the customer for Such product units that are never placed in
`the destination cabinet.
`0058 According to other embodiments, server system
`310 can also communicate with physicians and other indi
`viduals using electronic mail, text messaging to mobile
`telephones or PDAs, paging, or in other ways known to
`those of skill in the art (step 465). These communications
`
`Page 9 of 11
`
`Health Care Logistics, Inc.
`Exhibit 1009
`
`

`

`US 2007/O 150382 A1
`
`Jun. 28, 2007
`
`can be real-time. Such as text messaging or paging, or can be
`delayed. In particular embodiments, these messages can be
`used to provide updates of product inventory to individuals
`regarding the particular cabinets in their facility, to advise of
`new stock or to warn of low product inventory. These
`messages can be combined with advertisement or promo
`tional material, for example to promote the use and benefits
`of particular products stocked or available to be stocked in
`the cabinet.
`0059. In other embodiments, product inventory data can
`be analyzed and/or aggregated by server system 310 in order
`to determine and predict product usage trends. For example,
`in the pharmaceutical context, server system 310 can deter
`mine the general rate at which any particular product is used
`in a particular cabinet, and thereby determine an optimum
`inventory level for that product to meet ongoing and emer
`gent needs. Further, server system 310 can use aggregate
`data to determine how much product should be ordered and
`stocked in warehouses, and to determine what drugs are
`most often used and in what contexts, among other infor
`mation.
`0060. The systems and techniques described herein,
`while particularly described in a pharmaceutical context, are
`of course not limited to pharmaceuticals. Those of skill in
`the art will recognize that these techniques can be applied to
`any number of other products, with particular utility in
`managing inventory of consumable products such as drugs,
`foods, drinks, liquors, etc.
`0061 Those skilled in the art will recognize that, for
`simplicity and clarity, the full structure and operation of all
`systems suitable for use with the present invention is not
`being depicted or described herein. Instead, only so much of
`a data processing system as is unique to the present inven
`tion or necessary for an understanding of the present inven
`tion is depicted and described. The remainder of the con
`struction and operation of these systems may conform to any
`of the various current implementations and practices known
`in the art.
`0062. It is important to note that while the present inven
`tion has been described in the context of a fully functional
`system, those skilled in the art will appreciate that at least
`portions of the mechanism of the present invention are
`capable of being distributed in the form of a instructions
`contained within a machine usable medium in any of a
`variety of forms,