NWDA-DWA MERGER CULMINATES THREE YEARS OF "EXTENSIVE" CHANGE WITHIN NWDA, OUTGOING CHAIRMAN FIERY DECLARES; LAWRENCE PHARMACEUTICALS' DuBOW TO TOP SLOT

The Natl. Whsle. Druggists Assn. (NWDA)-Drug Whslrs. Assn. (DWA) merger culminates a three-year period during which NWDA underwent "one of the most extensive programs for change in its 108-year history," outgoing NWDA Chairman Elmer Fiery declared Nov. 4 at the assn.'s annual meeting in Orlando, Fla. In addition to the merger, NWDA moved its headquarters to Washington, D.C., had a near-complete staff turnover, and underwent a reorganization. NWDA President William Ford pointed out that only three members of the assn.'s approximately 25-person staff have been with the group for more than three years. With the merger formally completed, Fiery said, NWDA must ensure that "this one voice . . . is an effective voice." The outgoing assn. chairman declared: "Never before has the NWDA's responsibility to represent this industry been so great. We must target our programs to ensure that all segments of the membership are benefitted. We must reach beyond the border of our membership to ensure that we represent this industry's interests well." In his address, Fiery outlined several assn. cmte. objectives for the upcoming year, including further work on bar coding and scanning, and hospital chargebacks. Fiery noted that in the past year, the assn. added six new cmtes. and expanded membership on several existing cmtes., in part, to broaden member participation in the assn. He added NWDA was successful in efforts to encourage interest in participating in assn. cmte. activities. Electronic Funds Transfer Systems Will Be A Major Challenge To Whslrs., Fiery Says "These additions and expansions permit participation by 51 more active and associate member executives, bringing the total number to 114," he said. "More than 75 whslr. firms are now represented on cmtes. This means that 65% of active member companies have one or more executives participating in NWDA cmtes." In addition, he said, whslr. execs were recently mailed a survey to assess member needs and a similar survey will be mailed to associate members in the near future. "Bar coding and scanning will continue to be a major focus of the business systems and operations cmtes.," he explained. "It provides the potential for sizeable productivity gains in our warehouses -- with automation of the receiving function being one of the most promising" areas. In the area of chargebacks, the Business Systems Cmte.'s next key task, Fiery continued, will be "to work with mfrs. to encourage use of the bid award and notification program, which assures that whslr. has correct data on a timely basis and can anticipate product demand in time to supply product and invoice at the right price." With Lilly moving to an electronic funds transfer system in the first quarter of 1985, that issue will emerge as a major challenge to whslrs., Fiery asserted. Noting that Lilly plans to adjust its terms to compensate whslrs. for losing their normal float, Fiery urged other mfrs. considering electronic funds transfer to "talk to NWDA first." The assn. "can suggest effective ways to set up your systems and fairly compensate whslrs. for lost float," he said. In remarks on Nov. 7 accepting the assn. chairmanship for 1985, Lawrence Pharmaceuticals President Lawrence DuBow announced that the assn. is planning a series of whslr.-mfr. advisory panels. "These meetings will be intended to develop strong understanding of what the mfr. needs and wants to better sell his merchandise and what the whslr. requires to be a better distributor," he explained. The one-day sessions, he said, will consist of a host mfr. and about six whslrs. from different geographic regions and of varying sizes. DuBow also told the meeting the assn. is testing a whslr. exchange program "whereby individuals within whslrs. will have an opportunity to change roles and positions with people from non-competing whslrs." The program provides "a real, live, hands-on opportunity for finding out how the other guy does it and why," he asserted. Joining NWDA's top leadership group are Alco Health Services President Joseph Churchman, who was elected first vice chairman, and Burlington Drug President and Treasurer David Mitiguy, who was elected second vice chairman. Southwestern Drug President Eugene Vykukal, the previous first vice chairman, moves up to chairman elect. He will succeed DuBow as chairman in November, 1985. Outgoing Chairman Fiery moves to Exec Cmte. chairman. The assn. also elected four new board members. Elected for three-year terms were Daryl Crouch (Walsh-Lumpkin Drug Co. president), Barry Krelitz (Twin City Whsle. Drug president), and Ralph Rogers (North Carolina Mutual Whsle. Drug exec VP). Irwin Dohmen (F. Dohmen Co. chairman and president) was elected for a two-year term.