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
Volume-based to
value-based.
Understanding &
Reducing Cost
Simplicity &
Modernization
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
Average Cost
20000
• Manage and contain Supply Chain costs
15000
10000
5000
• Automate Supply Logistics
• Convert to Just in Time (JIT) Inventory
Management
• Increase Transparency
0
Dr. Phillip Dr. Dana Dr. Jackson Dr. David
81.51
81.52
81.53
Revenue Performance
20000
15000
10000
5000
0
81.51
Chargeable
81.52
Charged
81.53
Missed Charges
Managing and Containing Costs
Expired Value (now)
• Supply and drug cost
Value
$ 83,000
Quantity
• Procedure costs
357
• Difficult to look at case comparisons by care or within a procedure
Inventory Value
• Better resource management
Optimization Potential
Current
$ 689,500
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
Average Cost
20000
Accurate Data
15000
10000
5000
• Limited knowledge of
procedure supply cost
0
Dr. Phillip Dr. Dana Dr. Jackson Dr. David
81.51
Allowing
better decision
81.52
81.53
Revenue Performance
20000
15000
Enhancing an
organizations
ability to
transforms its
process
10000
5000
0
81.51
Chargeable
81.52
Charged
81.53
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
[email protected]
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
[email protected]
Register for our breakfast session at HIMSS 2015 and visit us
in Booth 1202
Complete our survey for a free Healthcare Supply Chain
Whitepaper.