Abstract: The present invention relates to a system and a method for auditing drug usage within a medical care facility. The system comprises an automated drug delivery system for dispensing a plurality of drugs to medical care providers or users, which delivery system has a plurality of drug dispensing stations located throughout the medical care facility and a centralized archive for storing data. Each drug dispensing station includes a console for inputting information about each transaction involving at least one of the drugs and a link for transferring the inputted information to the centralized archive. The system further comprises a processing unit for receiving the transactional information from the centralized archive and for processing it so as to generate at least one report for a defined period of time which detects patterns and abnormalities in distribution and usage of selected ones of the drugs.