August 22 nd & 23 rd , 2012

1. Utilizing for Pharmacy Purchasing & Inventory Control Welcome to: August 22nd & 23rd , 2012

2. KS Overview • Established in 2001 • Headquartered in Bridgewater, NJ • We deliver information management and ERP solutions that enable corporations to make timely and informed business decisions. We focus on integrating technology, business processes and policies to transform it into business-intelligent and actionable information, and improve business operations. • Lawson Certified Partner since 2005 • Data Management / Business Intelligence • Business Process Analytics

3. Primary Industries Served Manufacturing Healthcare Financial Services Retail Insurance Public Sector Utilities & Communications

4. With clients such as

5. BIO - Mario Naranjo • Experience • 25 years in Pharmacy Purchasing & Inventory Control Management • 5 years Consulting and Customer Service • Skill set: • Lawson Project Lead for Pharmacy implementations • Senior Business Consultant at Lawson Software • Lawson Procurement Suite implementation expertise, Certified in 9.0.1 • Accomplishments: • Successful application set up for Pharmacy at NYPH and two Upgrades • Procurement application set up for Pharmacy at a State hospital in New York City(Completed on time). • President and founder of LMT Health Care Consulting Services, • Application set up of Procurement and Inventory Control for two hospitals • Internationally • Montreal, Canada (Completed on time ) • Mexico City, Mexico. (Completed on time) • Director of ERP Procurement Services and Solutions at Knowledge Solutions, LLC

6. Content • Common Pharmacy Process (RQ, IC & PO) • Pharmacy RQ, IC & PO Using Lawson • Pharmacy Setup • View Proposed KS Solution • Q&A • Summary of Benefits • Overview of existing client setup screens

7. Standard Process Manual Process / Misinterpretation; e.g., Blind ordering, follow-up Manual Process; e.g., Replenishment, follow-up, 3rd party control Manual Process; e.g., No Line Item details No Item Detail; e.g., No Categories, Descriptions Manual Process; e.g., Hand written, phone, fax, spreadsheet Accounts Payable Department Pharmacy

8. Lawson-based Process Automated Process; Online Ordering & Online Inventory (RQC), Mobile Par Counting (MSCM) Automated Process; Replenishment, follow-up, line item receipts (MSCM) and contract compliance Automated Process; Requisition Center or Mobile Supply Chain Mgmt Automated Process; Invoice Line Item Match Item Details; e.g., Descriptions, Categories, Accounts, & Accounting Units Lawson Procurement and Materials Management Accounts Payable Department Pharmacy

9. Process for setup of Pharmacy for Inventory Control • Build an Item Master in Lawson- ALL Pharmacy items or only those you approve. • Agreements- Create from GPO or Distributor File to Lawson and maintained in Lawson by the Pharmacy Buyer • Perpetual Inventory is required so ALL areas can order supplies via Requisition Center (RQC) in Lowest Unit of Measure (LUOM) Internally and then automatically replenish stock. • Stock can be ordered via (MSCM, RQC or Templates) by ALL areas (Pharmacy Satellites, clinics, labs, etc..) direct from the Primary Distributor, this will reduce carrying cost and internal workload from picking and packing • Par Locations- are maintained by the Pharmacy Buyer from one central location, reduces overstock and minimize expiration of stock on the floors. • Supplies can be replenished directly by specific areas from Pharmacy Inventory or from the Distributor.

10. Set up for Inventory Control -Continued - • Receiving: Can be done on Lawson or by utilizing Receiving and • Delivery(RAD), if available. • Radiology, Dialysis and clinics- Can be set up as Par Locationsand • order using RQC Non-Stock supplies direct from the Supplier • Generate PO’s automatically- Eliminate double entry for PO’s • ALL Locations can view actual inventory On Hand (JIT)- • Order on-line utilizing RQC to improve communications • Physical Inventory and Cycle Counting update Lawson (JIT)- • Eliminate cost associated to outside vendors and generate • ability to update working Inventory immediately

11. Are you still with me? Questions?

12. Pharmacy Purchasing & Inventory Control Management Solution

13. Pharmacy Purchasing & Inventory Control Management Solution - Continued -

14. Summary of Benefits for Lawson & Pharmacy • Use of one ERP System to report and track all expenditures- Lawson • Contracts are loaded & maintained in Lawson by the Pharmacy Purchasing Manager. • Budget and track usage by specific AHFS Category • You can budget and control your departments expenditures for Pharmaceuticals • Approval of Requisitions using Process Flow in Lawson • A/P has ability for 3-way match to pay invoice • Option for Electronic Invoice Payment • Ease for Auditors, ALL data Online

15. Summary of Benefits - Continued • Automated Inventory Replenishment • Par and Cycle Counting for ALL areas • Track deliveries made via Lawson R&D. • Interface with Pyxis or Omnicell • Order Pharmacy items online using RQC • View Availability of SOH Online • Locked Templates to control approved Pharmacy items • Use of Template reduces possibility of order error • MSMC used for picking of goods requested • Your Physical Inventory of Perpetual Inventory updated JIT • All items are created in Generic Description

16. Questions?

17. IC02 * To setup Pharmacy Inventory Location

18. IC04 GL Categories

19. IC11 Items Master Setup * Item setup same way as in Procurement but with ‘P’ in front

20. IC11 Setup UOM *

21. IC12 Setup *

22. IC12 Setup Reorder Point*

23. IC12 Source and Replenishment *

24. PO13 Setup * Consider PO13.3

25. PO25 Setup *

26. PO25.6 Lines*

27. Requisition Center * End users place orders for Pharmacy items separately

28. IC81 Par Setup * Satellites replenish using Par counting

29. IC82 Mass Change*

30. MSCM Par and Cycle Counting *

31. ED Setups Outbound * FTP over to Cardinal.com (pharmacy reviews order in Cardinal.com before sending out)

32. ED10 Setup for 832 *

33. Bid Response Loads * Run to update Pharmacy Contracts

34. Thank you Questions?

35. Thank You! Helping you make informed business decisions! Allen Gebhardt Director of Business Development Knowledge Solutions, LLC Cell 973-216-5825 ageghardt@ksols.com Mario F. Naranjo Director of ERP Procurement Knowledge Solutions, LLC Cell: 201- 895-1384 mnaranjo@ksols.com *- Screen shots from Lawson are for presentation and visualization purposes only, data is not actual, some information detail was provided and composed with the assistance of In-Ho Kwak, Manager at NewYork-Presbyterian Hospital, Knowledge Solutions has received permission to publish and use this information as deemed necessary.