Health

HE A LTH • Summer 2020 9 said. Among new workers, at least 100 will be in technology and software, and another 100 split among pharma- cy technicians, business operations and financial positions. Ika has successfully built a business before. He ran pharmaceutical payer platform company, ikaSystems, for 12 years before selling it to Blue Cross Blue Shield of Michigan in 2015. He started RxAdvance because he said he saw dissatisfaction among insurance payers using top PBMs. "They weren't satisfied, and they didn't have a choice," he said of a rela- tive lack of other good options. RxAdvance has grown significantly already in its seven years, even if it remains a firm with low name recog- nition. Within its first year, it acquired SentiCare, a prescription monitoring company in Hopkinton, a deal giving it a camera-based device called PillStation giving providers visual 0 3% 6% 9% 12% 15% '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23 '24 '25 '26 '27 % annual growth in prescription drug spending % annual growth in total heathcare spending 0 2% 4% 6% 8% 10% Percent of health spending '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23 '24 '25 '26 '27 Caremark (division of CVS) Express Scripts (division of Cigna) Humana Pharmacy (division of Humana) OptumRx (division of UnitedHealth Group) MedImpact Healthcare Systems Prime Therapeutics All others 30% 23% 23% 7% 6% 6% 4% Growth in prescription drug spending Prescription drug spending has fallen somewhat in recent years after a big spike in 2014. It is projected to outpace total health spending in the coming years: 0 3% 6% '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23 '24 '25 '26 '27 0 2% 4% 6% 8% 10% Percent of health spending '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23 '24 '25 '26 '27 Caremark (division of CVS) Express Scripts (division of Cigna) Humana Pharmacy (division of Humana) OptumRx (division of UnitedHealth Group) MedImpact Healthcare Systems Prime Therapeutics All others 30% 23% 23% 7% 6% 6% 4% Note: 2018 data and beyond is projected Source: Kaiser Family Foundation, U.S. Centers for Medicare & Medicaid Services National Health Expenditure Accounts Prescription spending share For the past 20 years, prescription drug spending has accounted for about one-tenth of total healthcare spending nationally. 0 3% 6% 9% 12% '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23 '24 '25 '26 '27 0 2% 4% 6% 8% 10% Percent of health spending '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23 '24 '25 '26 '27 Caremark (division of CVS) Express Scripts (division of Cigna) Humana Pharmacy (division of Humana) OptumRx (division of UnitedHealth Group) MedImpact Healthcare Systems Prime Therapeutics All others 30% 23% 23% 7% 6% 6% 4% Pharmacy benefits market share The pharmacy benefits management industry is dominated in large part by a few major players. Source: Drug Channels Institute (2018) Ravi Ika President, CEO Master's degree in environmental engineering from Old Dominion University, worked as a research scientist at Harvard University prior to his entrepreneurial career Anand Tati Chief operating officer Bachelor's degree in electrical engineering from the National Institute of Technology in India, and a master's degree in technology management from the University of Pennsylvania John Jacobsen Chief financial officer Bachelor's degree in accounting and finance from Northeastern University and a certified public accountant Aruna Wickremeratne Chief administrative and revenue officer A certified public accountant and member of the American Institute of Certified Public Accountants Prakash Tallabattula Chief technology officer Bachelor's degree in computer science from the University of Karnataka in India and an MBA in international business from Walden University in Minneapolis Mark Owen Chief transformation Bachelor's degree in economics and business administration from St. John's University in Minnesota, and a officer master's degree in business from the University of Wisconsin-Oshkosh Bijendra Malik Chief security officer Bachelor's degree in electrical engineering and numerous certifications including certified information system and executive vice president auditor project management professional for infrastructure Christine Lounsbery Vice president of pharmacy benefit management operations Bachelor's degree in pharmacy from South Dakota State University and a doctorate of pharmacy degree from the and innovations University of Minnesota Nirali Rana Vice president of clinical solutions Doctorate of pharmacy degree from Northeastern University Michelle Mayer Vice president of Master's degree in biotechnology from the University of Pennsylvania and a bachelor of science in toxicology from trade relations University of the Sciences in Philadelphia Heather Johnson Vice president of compliance Bachelor of science from Philadelphia University RxAdvance's leadership team confirmation medications are being taken appropriately at a patient's home. Now, RxAdvance has 65,000 phar- macies in its network, half of which are independents, according to the company. The firm expects revenue this year to top $2 billion. Ika doesn't expect the pandemic or a related downturn in the economy to slow RxAdvance's momentum or keep it from a fast hiring plan. The company has a young work- force, with roughly three-fourths who are Millennials or Generation Z. About half of the workers live in or around Boston, and Ika said competi- tive salaries have drawn workers out of Boston and into MetroWest to work for the company. RxAdvance's new offices are slated to include breakfast, lunch and din- ner, as well as exercise facilities for the convenience of employees working long hours. Name Title Background H Source: RxAdvance

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