Presentation of Agile PLM and Demantra Demand Management updates at Oracle Direct Selling Summit 9.Feb.11

1. Tips For Accelerating Product Innovation and Maximizing Product Profitability Oracle Direct Selling Summit February 10, 2010 Brian Hicks Director, Forecast & PLM USANA Health Sciences, Inc.

3. Agile Direction – Product Governance & Compliance, Recipe & Material Workspace

6. Lack of One Record

7. Processes are not integrated

8. Stacks of Paper = Unfriendly User InterfaceR&D Development Process

10. Program/Project Management

11. Project Costing

12. Resource Management

13. Issues and Action items

15. Maintain ingredient specification

16. Integrated to product master

18. Manage CAPA’s, root cause analysis

19. Document management and control plans

21. AML/ASL

22. Formula Management

24. Recipes

25. Materials/Resources

26. Batch Production Records

30. USANA’sfascination with email, spreadsheets has manual processes has slowed our adoption to electronic tools in some areas of the company.

32. Agile Direction – Product Governance & Compliance, Recipe & Material Workspace

34. Program/Project Management

35. Project Costing

36. Resource Management

37. Issues and Action items

39. Maintain ingredient specification

40. Integrated to product master

42. Manage CAPA’s, root cause analysis

43. Document management and control plans

45. AML/ASL

46. Formula Management

48. Recipes

49. Materials/Resources

50. Batch Production Records

52. Reduce frequency of inquiries to consultants and lower overall cost

53. Eliminate “bottleneck” for regulatory reviews for “Where can this be used?”

54. Allow immediate feedback for R&D in the formula development process

55. Reduce overall time to marketProposed Solution Agile Product Governance & Compliance

57. Reduction in costs associated with market consultants

58. Eliminate duplicate work for materials and ingredients that show up in multiple markets and in multiple productsOverall Increase time to market and reduce risks associated with regulatory restrictions

60. Integrate formulation with current Agile products and improve Regulatory review process

61. Provide version control of all R&D recipes during the development phase

62. Provide the ability to scale batches (Preliminary Prototype PilotProduction )Proposed Solution Agile Recipe & Material Workspace

64. Improve process time and accuracy through increased visibility and accountability

65. Automate recipe approval from the development phase through the production phase of the product lifecycle

66. Replaces out-dated excel processes and LIMSOverall Increase time to market and reduce risks associated with product formulations

68. Agile Direction – Product Governance & Compliance, Recipe & Material Workspace

71. Time to analyze promotional activities

72. Minimized obsolescence costs

73. Increase forecast visibility

74. Facilitate trust

75. Communication, Collaboration, Cooperation

76. Statistical Forecast < 10% Aggregate MAPE

78. Enhancements that come with latest releases of Demantra use the standard Data Model

80. Increase the number of indicators to be used in regression models

81. Import financial models to closer align with financial reporting and budgeting

82. Integrate with Oracle EBS Advance Supply Chain Planning to include supply, demand and inventory