Elizabeth Hilla 2014 Fal Conference December 9 11, 2014 OMNI Hotel, Chicago

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1 Pricing Accuracy Elizabeth Hilla Senior Vice President Health Industry Distributors Association (HIDA) Executive Director, HIDA Educational Foundation 2014 Fall Conference December 9 11, 2014 OMNI Hotel, Chicago

2 HIDA Pricing Accuracy Initiative Elizabeth B. Hilla Senior Vice President, HIDA Executive Director, HIDA Educational Foundation Copyright 2014 Health Industry Distributors Assn.

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4 Impact of All That Complexity Price mismatches Credits/rebills Rebate denials Supply chain FTEs Copyright 2014 Health Industry Distributors Assn.

5 3 Imperatives for Fixing the Contracting Process AUTOMATION: Push for 100% electronic transactions. Redesign any process that cannot be automated. STANDARDS: Standardize processes for information-sharing Support GS-1 standards adoption for customer and product identification. TIMELINESS: Commit to contract negotiation deadlines that allow timely notice and implementation of contract changes to all parties. Copyright 2014 Health Industry Distributors Assn.

6 White Paper Just Released! Copyright 2014 Health Industry Distributors Assn.

7 Standards for Contract Communications EDI 845: gold standard CSV file matched to 845 format Standard fields, definitions, and order Best practices for processing this information Price Authorization Acknowledgment Manufacturers Price / Sales Catalog: EDI 832 End User Sales Tracing: EDI 867 Chargeback Reconciliation: EDI 849 Copyright 2014 Health Industry Distributors Assn.

8 Standards for Contract Timing White paper recommendations specific timeframes for contract activation for: New GPO Contracts New Local Contracts GPO Price Tier Activation / Changes Extending a contract / award with or without changes Expiring a contract / award Copyright 2014 Health Industry Distributors Assn.

9 The Biggest Challenge: Standards for Customer Identification We often don t know who the customer is or what the product is St. Mary s Hospital? St. Mary Medical Center? Saint Mary s Hospital? Copyright 2014 Health Industry Distributors Assn. St. Mary s Surgical Center?

10 GS-1 Adoption Has Faced a Who-Goes-First Standoff Suppliers need to use GLNs and GTINs Providers need to enumerate their locations and maintain data Provider Adoption Supplier Adoption Does UDI provide the impetus needed for all players to finally get this done? Copyright 2014 Health Industry Distributors Assn.

11 Other Benefits of Moving Now Instead of Waiting Ellenmary Martin Chief Strategy Officer DUKAL Corporation 2014 Fall Conference December 9 11, 2014 OMNI Hotel, Chicago

12 Expanded Use of UDI Cost - Quality - Outcome UDI will impact and support provider efforts in achieving C-Q-O What is the true cost to deliver care? Visibility to what is used where, when and how much Fall Conference December 9 11, 2014 OMNI Hotel, Chicago

13 Expanded Use of UDI Supply Chain is in the middle of this: Standardization the touchless order One Single Item Master vs. current state of multiple 2014 Fall Conference December 9 11, 2014 OMNI Hotel, Chicago

14 Danny Adams President and CEO Distributor Data Solutions (DDS) Cameron Hall Director, Product Management ValueCentric, LLC Denise Odenkirk Senior Director, Industry Solutions GHX 2014 Fall Conference December 9 11, 2014 OMNI Hotel, Chicago

15 Standards for Contract Timing White paper recommendations specific timeframes for contract activation for: New GPO Contracts New Local Contracts GPO Price Tier Activation / Changes Extending a contract / award with or without changes Expiring a contract / award Copyright 2014 Health Industry Distributors Assn.

16 The Biggest Challenge: Standards for Customer Identification We often don t know who the customer is or what the product is St. Mary s Hospital? St. Mary Medical Center? Saint Mary s Hospital? Copyright 2014 Health Industry Distributors Assn. St. Mary s Surgical Center?

17 GS-1 Adoption Has Faced a Who-Goes-First Standoff Suppliers need to use GLNs and GTINs Providers need to enumerate their locations and maintain data Provider Adoption Supplier Adoption Does UDI provide the impetus needed for all players to finally get this done? Copyright 2014 Health Industry Distributors Assn.

18 Other Benefits of Moving Now Instead of Waiting Ellenmary Martin Chief Strategy Officer DUKAL Corporation 2014 Fall Conference December 9 11, 2014 OMNI Hotel, Chicago

19 Expanded Use of UDI Cost - Quality - Outcome UDI will impact and support provider efforts in achieving C-Q-O What is the true cost to deliver care? Visibility to what is used where, when and how much Fall Conference December 9 11, 2014 OMNI Hotel, Chicago

20 Expanded Use of UDI Supply Chain is in the middle of this: Standardization the touchless order One Single Item Master vs. current state of multiple 2014 Fall Conference December 9 11, 2014 OMNI Hotel, Chicago

21 Danny Adams President and CEO Distributor Data Solutions (DDS) Cameron Hall Director, Product Management ValueCentric, LLC Denise Odenkirk Senior Director, Industry Solutions GHX 2014 Fall Conference December 9 11, 2014 OMNI Hotel, Chicago

22 Open Discussion Questions Experiences Ideas Future HMMC Conference Workshops on these topics? 2014 Fall Conference December 9 11, 2014 OMNI Hotel, Chicago