NAPSR CERTIFICATION
Basic Clinical Pharmacology - ANS-1. PHARMACODYMATICS-study of the biochemical &
physiological effects of drugs and their mechanisms of action
2. PHARMACOKINETICS-study of how a drug is processed by the body with emphasis on the
time required for absorption, duration of action, distribution, & method of excretion; the study of
how the body affects drugs
3. DRUG DISTRIBUTION & ELIMINATION- drug delivery systems, route of administration,
modes of excretion
Benefits - ANS-1. COMPANY CAR
2. GENERAL BENEFITS
3. AUTONOMY-being able to work from home; providing computer, modem, fax machine
4. EXPENSES-entertaining their clients over a meal, ballgame, concert, and any other activity,
which helps to build stronger relationships with their clients.
Bonus/Commission Process - ANS-A lot of companies are changing their bonus structure from
market share to volume-based growth.
Other companies use a multi-variable algorithm that includes volume, market share, rankings, &
other factors.
Many pharmaceutical companies try to make the base salary 75% of compensation with
incentive pay accounting for the balance.
Compensation - ANS-Most companies pay base salaries of $45,000-$70,000 for reps with no
prior pharmaceutical sales experience.
Bonuses can be paid annually, quarterly, or monthly.
Most commonly used measures to pay bonuses are listed below:
1. MARKET SHARE-most common way to measure bonuses. The company determines how
much of their product should sell and forecasts a percentage market share.
EX: The company forecasts that the medication should be prescribed 30% of the time, then your
market share needs to be 30% and if you obtain 30%, you will obtain additional bonuses for
increases in that percentage.
, 2. ACTUAL SALES-some companies use this method but not many because it's difficult to
calculate. Actual sales can be difficult because prescriptions are usually sold through
pharmacies. Reps. are paid a bonus or commission based on the total actual sales in their
respective territory.
3. ACTUAL SALES VS. FORECAST SALES- this method is based on the past history of the
rep's designated territory. Companies will forecast and set goals for the amount of prescriptions
to be sold in a specific territory. If the rep exceeds the forecast, they will receive a bonus.
Factors Influencing Growth - ANS-Two Factors:
1. POPULATION GROWTH
2. INCREASING LIFE EXPECTANCY
Both increase the number of elderly persons in the United States.
Senior citizens become candidates for drug therapies & increased prescription use.
Senior citizens consumed over 3x as many medication as people under the age of 65 yrs old.
Food & Drug Administration (FDA) - ANS-FDA regulates the introduction of new drugs &
enforces the United States drug laws
Pharmaceutical companies must submit extensive data to the FDA, demonstrating both the
safety & effectiveness of new drugs before receiving approval for sale in the U.S.
The FDA requires that drugs be produced according to specific "good manufacturing practices"
(GMP)
FDA streamlined the review process of drugs in 1992, which decreased the approval time
(average review time for a new drug is 18 months)- because of this drug approvals have almost
doubled.
General Spectrum of Healthcare Settings - ANS-1. HOME-BASED CARE-Patients/consumers,
their families & friends; home health nurses & aides
2. PRIMARY CARE (Checkups & General Health Issues)-OB/GYN, Family/general practitioners,
internists
3. SECONDARY CARE (Specialized Outpatient Consults)-specialists
4. TERTIARY CARE (Inpatient)-Community hospitals; Academic medical centers; Skilled
nursing facilities
5. END-STAGE CARE-Skilled nursing facilities; Hospitals; Hospices
Basic Clinical Pharmacology - ANS-1. PHARMACODYMATICS-study of the biochemical &
physiological effects of drugs and their mechanisms of action
2. PHARMACOKINETICS-study of how a drug is processed by the body with emphasis on the
time required for absorption, duration of action, distribution, & method of excretion; the study of
how the body affects drugs
3. DRUG DISTRIBUTION & ELIMINATION- drug delivery systems, route of administration,
modes of excretion
Benefits - ANS-1. COMPANY CAR
2. GENERAL BENEFITS
3. AUTONOMY-being able to work from home; providing computer, modem, fax machine
4. EXPENSES-entertaining their clients over a meal, ballgame, concert, and any other activity,
which helps to build stronger relationships with their clients.
Bonus/Commission Process - ANS-A lot of companies are changing their bonus structure from
market share to volume-based growth.
Other companies use a multi-variable algorithm that includes volume, market share, rankings, &
other factors.
Many pharmaceutical companies try to make the base salary 75% of compensation with
incentive pay accounting for the balance.
Compensation - ANS-Most companies pay base salaries of $45,000-$70,000 for reps with no
prior pharmaceutical sales experience.
Bonuses can be paid annually, quarterly, or monthly.
Most commonly used measures to pay bonuses are listed below:
1. MARKET SHARE-most common way to measure bonuses. The company determines how
much of their product should sell and forecasts a percentage market share.
EX: The company forecasts that the medication should be prescribed 30% of the time, then your
market share needs to be 30% and if you obtain 30%, you will obtain additional bonuses for
increases in that percentage.
, 2. ACTUAL SALES-some companies use this method but not many because it's difficult to
calculate. Actual sales can be difficult because prescriptions are usually sold through
pharmacies. Reps. are paid a bonus or commission based on the total actual sales in their
respective territory.
3. ACTUAL SALES VS. FORECAST SALES- this method is based on the past history of the
rep's designated territory. Companies will forecast and set goals for the amount of prescriptions
to be sold in a specific territory. If the rep exceeds the forecast, they will receive a bonus.
Factors Influencing Growth - ANS-Two Factors:
1. POPULATION GROWTH
2. INCREASING LIFE EXPECTANCY
Both increase the number of elderly persons in the United States.
Senior citizens become candidates for drug therapies & increased prescription use.
Senior citizens consumed over 3x as many medication as people under the age of 65 yrs old.
Food & Drug Administration (FDA) - ANS-FDA regulates the introduction of new drugs &
enforces the United States drug laws
Pharmaceutical companies must submit extensive data to the FDA, demonstrating both the
safety & effectiveness of new drugs before receiving approval for sale in the U.S.
The FDA requires that drugs be produced according to specific "good manufacturing practices"
(GMP)
FDA streamlined the review process of drugs in 1992, which decreased the approval time
(average review time for a new drug is 18 months)- because of this drug approvals have almost
doubled.
General Spectrum of Healthcare Settings - ANS-1. HOME-BASED CARE-Patients/consumers,
their families & friends; home health nurses & aides
2. PRIMARY CARE (Checkups & General Health Issues)-OB/GYN, Family/general practitioners,
internists
3. SECONDARY CARE (Specialized Outpatient Consults)-specialists
4. TERTIARY CARE (Inpatient)-Community hospitals; Academic medical centers; Skilled
nursing facilities
5. END-STAGE CARE-Skilled nursing facilities; Hospitals; Hospices
