From Volume to Value: How the Affordable Care Act is Driving the Transformation of Supply Chain in Health Care Today.

From Volume to Value: How the Affordable Care Act is Driving the Transformation of Supply Chain in Health Care Today.

Microsoft Experience Center Booth 1202 Clinical Mobility and Productivity Monday: 2:30-6:00 3:00 Customer Spotlight Presentation with Haroon Ansari, CEO of Pinnacle Hospital Tuesday: 9:30-1:45 Wednesday: 12:45-4:00

Marcio Nobrega Marketing Director, Americas Enterprise Services 19 years at Microsoft, with global experience in Consulting, Operations, Sales & Marketing from multiple leadership roles. Computer Science degree and an MBA in management (Brazil)

Jennifer Hasenyager Smith, MD, MBA Chief Medical Innovation Officer Healthcare at Mazik Global Inc. 20 years of executive healthcare information technology experience MD from University of Chicago, an MBA from George Washington University, and a BA in Biochemistry from Cornell University.

Patricia Becker Chief Strategy Officer Healthcare at Mazik Global Inc. 25 years of executive healthcare information technology experience Former CIO, University of Chicago Medical Center and University HealthSystem Consortium Teaches in the Medical Informatics Program at Northwestern University

Distinguishing Between Cost, Price & Revenue Understanding healthcare costs is complex and involves a vast array of variables. Price has not historically been tied to cost or revenue. Revenue optimization has not been a priority in healthcare. Supplies Personnel and Overhead Market Dynamics Price Actual Revenue Revenue

Healthcare Challenges Affordable Care Act Understanding & Reducing Cost Simplicity & Modernization Volume-based to value-based. Healthcare Organizations struggle to: Grow Make meaningful decisions Provide optimal quality of care Fewer systems Business innovation

Healthcare Challenges Shift from volume-based to value-based reimbursement Healthcare organizations take on more risk Cost, Quality, and Outcomes (CQO) movement applies to the Supply Chain CQO at the intersection of cost efficiency, quality of care, and measurement of outcomes 70% Value based payments

Supply Chain as a Strategic Pillar Manage and contain Supply Chain costs Automate Supply Logistics Convert to Just in Time (JIT) Inventory Management Increase Transparency 20000 15000 10000 5000 0 20000 15000 10000 5000 0 Average Cost Dr. Phillip Dr. Dana Dr. Jackson Dr. David 81.51 81.52 81.53 Revenue Performance 81.51 81.52 81.53 Chargeable Charged Missed Charges

Managing and Containing Costs Supply and drug cost Procedure costs Difficult to look at case comparisons by care or within a procedure Better resource management Expired Value (now) Value $ 83,000 Quantity 357 Inventory Value Current $ 689,500 Optimization Potential 35% Supply leakage Hidden supplies Management of expiration dates 23%

Automating Supply Logistics Integrated systems Real-time information Prevent procedural delays Address issues as they occur enabling timely service Increasing patient satisfaction and quality

Just in Time Inventory Management Enhance inventory management Enough inventory to meet the need but Not too much Better data, better planning Vendor inventory Overstock

Increasing Transparency Services costs not understood Limited knowledge of procedure supply cost Accurate Data Allowing better decision Enhancing an organizations ability to transforms its process Average Cost 20000 15000 10000 5000 0 Dr. Phillip Dr. Dana Dr. Jackson Dr. David 81.51 81.52 81.53 Revenue Performance 20000 15000 10000 5000 0 81.51 81.52 81.53 Chargeable Charged Missed Charges

Microsoft Solution in the Box

Solution Example

Mazik Global Inc. Product Engineering Microsoft Dynamics AX Healthcare & Life sciences MazikCare Presidents Club

Microsoft Services Operations Solutions

MazikCare Customer Story Hospitals choose MazikCare Pinnacle Hospital, a full service facility, offers individuals and families in northern Indiana and Illinois outstanding healthcare in a small, patient-centered environment unlike any other in the region. Pinnacle, based in Crown Point, Indiana, sees many thousands of patients a year, and has 150+ physicians on staff. In today's environment, it s critical to have solutions like MazikCare that truly integrate data vertically and horizontally for decision making. At Pinnacle, the choice was clear: We could either piecemeal various systems and hope they all worked together, or we could deploy the full suite of Microsoft and Mazik solutions and know that they would. We are confident in MazikCare for the life of our hospital. Haroon Ansari, CEO, Pinnacle Hospital

Questions? MazikCare.com Info@MazikGlobal.com 3:00 PM Today Customer Spotlight Session Visit us in Booth 1202 for more!

Conclusion Understand cost, price, and revenue Integrated, secure and mobile solutions Modern healthcare financial management: Optimize cost Raise quality Improve outcomes

Thank you! MazikCare.com Info@MazikGlobal.com Register for our breakfast session at HIMSS 2015 and visit us in Booth 1202 Complete our survey for a free Healthcare Supply Chain Whitepaper.