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  1. GS1 Data Standards Overview 1

  2. This is Medline 1st Generation 1910 A.L. Mills starts Northwestern Garments 1912 Company renamed Mills Hospital Supply 2nd Generation 1918 Irv Mills enters father’s business at age 12 1924 Irv manages business at age 18 (Mills Hospital Supply 1912-1961) 3rd Generation 1961 Cenco Instruments buys Mills Hospital Supply 1966 Medline founded - Jim and Jon Mills manage company 4th Generation 1997 Charlie, Andy Mills and Jim Abrams assume management Northwestern Garments/Mills Hospital Supply 2 2 2

  3. Medline has Momentum $3.6billion This is Medline 4thgenerationfamily leadershipseeks long-termgenerational growth 950person dedicated field representatives 40+years of consecutive growth 6800+employees No.1privately held manufacturerand distributorof health care products inthe US Sales in Millions 3 3 3

  4. Serving Customers Across the Health Care Industry Hospitals Nursing Homes Ambulatory Surgery Centers Hospital Laundries Home Health Care Physician Offices Retail (Walgreens, CVS, Wal-Mart, Costco, Sam’s Club, Dollar General, K-Mart, Family Dollar, Target, Jewel) This is Medline 4 4 4

  5. This is Medline Multiple Facilities — Everywhere Our Customers Are Anchorage, AK Mundelein, IL – Corp Office & MFG Facility Libertyville, IL – Dist Center Waukegan, IL – 2 MFG Sites, 1 Sterilizer Seattle, WA Portland, OR Mansfield, MA Wawayanda, NY Danbury, CT Detroit, MI Allentown, PA Columbus,OH Salt Lake City, UT Indianapolis, IN Lathrop, CA Aberdeen, MD Denver, CO Trans-ship Lathrop, CA Cincinnati, OH Kansas City, MO Louisville, KY Durham, NC San Bernardino, CA Alamo, TN Oklahoma City, OK Memphis, TN Noble, OK Honea Path, SC Phoenix, AZ Hawaii Atlanta, GA Dallas, TX Austin, TX Orlando, FL New Orleans, LA San Antonio, TX Oldsmar, FL Clearwater, FL Miami, FL Laredo, TX Phnom Penh, Cambodia Nuevo Laredo, Mexico Campeche, Calkiní & Merida, Mexico San Juan, PR 5 5 5 2 Service Centers 13 Manufacturing Sites 30 Distribution Centers 3 Sterilizers

  6. GS1 - Overview of Data Standards Who is GS1 Healthcare US? GS1 Healthcare US is the national healthcare industry user group that supports the adoption and implementation of global standards led by GS1 Healthcare. GS1 Healthcare is a global user group created to further develop existing GS1 standards to meet the specific needs of healthcare around the world GLN: Global Location Number (customer numbers) GTIN: Global Trade Item Number (universal item number) 6

  7. Healthcare Industry Timelines The current industry goals for implementation are: GLN – fully supported use by December 2010 Baseline functions are for provider / supplier to utilize EDI 850 / 855 (PO and PO Confirm) by this date GTIN – fully supported use by December 2012 Baseline functions will be similar to GLN, but details still being worked out via the GS1 US Healthcare workgroups 7

  8. The Global Location Number 8

  9. GLN - Details GLN: Global Location Number (customer numbers) Each location of a healthcare facility is assigned a unique 13-digit number called a Global Location Number (GLN). The GLN provides a globally unique standardized location identification number for providers, manufacturers, and distributors. The GLN can identify a functional entity, such as a nursing station; a physical entity, such as a warehouse or a hospital wing; or a legal entity or trading partner, such as a specific company or supplier 9

  10. GLN is assigned to the location by the provider (or maybe GPO has assisted.) 9900005781245 MAIN STOREROOM 9900004542649 OR DEPT Supplier AAA Supplier BBB Provider orders using the same GLN with any supplier Distributor XYZ Provider doesn’t have to maintain all of the vendor account numbers GLN Details

  11. GLN Registry • Over 240,000 GLNs registered for Healthcare • Hierarchy allows identification of Ship To, Deliver To and Bill To locations • 4 Levels allow identification from Street to Bin • Source of Truth for Locations tied to GLNs • The GPO Roster is still the source of truth for Eligibility • Manufacturers still the source of truth for pricing. • GLNs are assigned to physical locations, not people • If a doctor changes offices, they would be assigned a new GLN. 11

  12. What does a GLN identify?

  13. GLN Registry GLN USPS Address Standards Location Type & Hierarchy 13

  14. Inside the Supplier’s System The GLN is another field as part of the customer master record.

  15. Inside the Supplier’s System • We will still have customer account numbers – the semantic may change to internal account number. • All transactions and reporting will ultimately reference the GLN • Reality is it will take time for full adoption, and we serve markets that don’t use the GLN’s so supplier provided account numbers will still be needed. • The implementation doesn’t and shouldn’t matter to other trading partners. It is the USE of the information that matters. • Same holds true for your systems – you are not looking at an “All or Nothing” principle. • Different systems will vary, but a hybrid approach allows you to start smaller (or simple) and grow from there.

  16. Some More Terms: Registry = GS1 database of GLN information. Hierarchy = establishing your parent/child relationships (main account, ship-to’s, etc.) Enumeration = assignment of GLN’s to all relevant location data (and then saved in the GLN Registry.) Reconciliation = working with your supplier(s) to determine which account numbers align to your GLN’s. Many GPO members’ data is already in the GLN Registry. Check with your GPO representative or contact GS1 US Healthcare.

  17. How to get going… Secure Executive-Level support. Stay educated and get involved in workgroups and user groups sponsored by GS1 US and other industry organizations. Work with your GPO to get involved in Pilots that facilitate GLN Adoption. You don’t have to do this alone. Plan a phased approach that works for your organization. Start now! 17

  18. Provider Readiness Scorecard • Scorecards are available from GS1 to inform suppliers of your status. • This is to help promote understanding of where providers are in the process. • Suppliers fill out a similar scorecard • Good method to match up suppliers and providers ready to transact.

  19. Case Study: IDN and Supplier Go-Live • What does it mean to get started? • What do I do? • How do I get started? • And other questions… • An experience going live with the GLN.

  20. Case Study: IDN and Supplier Go-Live • Gained access to the registry via our primary GPO • Cleaned-up all data • Found multiple entries input by multiple GPO’s • Registry now tracks ID of person making changes • Only the primary GPO (for affiliates) and provider can make changes • All changes are sent to the provider for final approval • Any initial info set-up done by other GPO’s must be approved by the current GPO and provider; GS1 does the changes

  21. Case Study: IDN and Supplier Go-Live • Level 1 – Legal Entity • Level 2 – Financial Structure

  22. Case Study: IDN and Supplier Go-Live • Level 3 & 4 Supply Chain

  23. Case Study: IDN and Supplier Go-Live VENDOR CUSTOMER ACCOUNTS/SHIP-TO X-REF TABLE – “Postal Service without a Zip Code” (Sample)


  25. Case Study: IDN and Supplier Go-Live EDI 850 PO – IMPLEMENT BY VENDOR GLN (SHIP-TO) ISA^00^ ^00^ ^ZZ^531680B00T ^01^007951230 ^080309^2319^U^00401^000000032^0^T^| GS^PO^ 531680B00T ^007951230^20080309^2319^32^X^004010 ST^850^0001 BEG^00^NE^5548434^^20080307 N1^VN^^21^472 N1^ST^^UL^1100004542649 PO1^1^1^BX^14.11^^VC^2378MC32221^IN^1000220 CTT^1 SE^7^0001 ST^850^0002 BEG^00^NE^5548435^^20080307 N1^VN^^21^472 N1^ST^^UL^1100004542649 PO1^1^1^BX^21.11^^VC^2378MC42221^IN^1000220 CTT^1 SE^7^0002 GE^2^32 IEA^1^000000032 VND ITEM # going to GTIN of ^^UK^ 00382903672035^ * Not using this today

  26. Case Study: IDN and Supplier Go-Live GLN Process Steps – Provider and Supplier • Developed task list; sources of information: internal, Mayo White Paper, EDI process map info • Developed internal strategy and tactics for the pilot • Used the EDI environment as the “x-ref” environment as intermediate solution; Recognize that this is not a long-term approach • Reconciled customer account numbers (sold-to’s and ship-to’s) • Provider provided list of GLN’s to Supplier • How these numbers will be maintained and who will provide in the future needs to be determined • Total Provider invested cost: 8-10 manhours per week • Total Supploer invested cost: 4-8 manhours per week

  27. Case Study: IDN and Supplier Go-Live Using the GLN • Started: 8-17-09 • First order Released: 10-5-09 • Focus was 850/855 transactions • Goal: Send and Receive transactions with the GLN (“perfect order”) and receive product in the correct location • Since then, we now also transact the EDI 810 (Invoice) with this IDN.

  28. Case Study: IDN and Supplier Go-LiveWhy was this successful? • Both partners understood the process and had common goals and a common defined outcome • Both partners were well educated on the GLN concept • Flexibility and Good Communication • Testing, Testing, Testing • There was close monitoring of orders and confirmations • Had a set process to discuss findings and issues and to share information

  29. GTIN - Details GTIN: Global Trade Item Number (universal item number) Global Trade Item Numbers (GTINs) uniquely identify items that are traded in the Supply Chain. Brand Owners who hold the specifications of a healthcare item must properly allocate and maintain their GTIN’s When fully adopted, there will be no more vendor catalog numbers used (MMM1149, B-D50345, MDS090675, etc.) Each item will have its own GTIN and distributors, hospitals, etc will reference the item by its GTIN. Today if a customer wants to order NON27420, they use a different catalog number depending on who they order it from (example below.) 29

  30. GTIN is assigned by the Manufacturer of the Item All parties in the supply chain are using the same item number. Distributor refers to the same item using the same GTIN Provider orders using the same GTIN for that same item GTIN Details

  31. GTIN Readiness • Good news: all the heavy work is being performed by the manufacturers. • Provider MMIS will have patches to support GTIN before Sunrise Date 2012 • Suppliers committed to support go live end of 2012.

  32. Getting More Information Check out the the GS1 US Healthcare website for lots of good information: Great Information in the GS1 Provider Toolkit: Available on CD’s too. Work with your GPO as they have been involved in the GS1 efforts Join Weekly Teleconference Call for GLN Registry Simple 30 minute call that you can just listen, or ask any question you like. Probably the best way to get started beyond your own research on-line. Give it a few weeks – some weeks are better than others depending on the attendees for that call (varies due to work schedules.) 32

  33. GLN Registry User Group Call Join weekly conference calls and/or live workgroup meetings – great way to hear some information firsthand When: Second Tuesday of every month 11:00 AM to 11:30 AM Eastern Where: 1-866-910-4857 Passcode # 943010 Objective: This group is open to all GLN registry  users (manufacturers, suppliers, distributors, providers)  to share information, the use of best practices and general information. The 2009 chairman is Premier. But again this teleconference is open to all users.  Please disseminate this meeting as widely as possible. Premier Point of contact for this meeting is Kathy Spring or Troy Cook. 

  34. Thank You! Questions & Answers 34