The document summarizes a meeting between LifeScan, DMS Pharmaceutical Group, and VA representatives to discuss DMS bidding on and supplying LifeScan diabetes testing supplies to the VA. Key discussion points included better understanding the VA bidding process, supply chain dynamics for government channels, and potential initiatives for LifeScan and DMS to work together to expand LifeScan's presence within the VA. The objectives were to gain alignment on managing risks and increasing LifeScan penetration in the large VA pharmaceutical market.
Optimizing Assortments by Focusing on Attribute-Based Demand PatternsG3 Communications
View the full webcast here: http://rtou.ch/2p7g5qg
Learn how to analyze the everyday shopper’s buying behavior using retail data pattern recognition principles and applying those to the average retail environment. Kevin Stadler, President & CEO, and Marsha Shapiro, SVP of Product Management from 4R Systems present a unique approach to consumer patterns and how Assortment Optimization applies. They will cover:
· Retail data pattern recognition guiding principles
· Roadmap to applying consumer pattern principles within the retail environment
· Best uses in retail & key learnings
· Examples and applicability in Assortment Optimization
The document discusses rising food costs for businesses and what can be done about it. Currency fluctuations following the Brexit vote have increased costs for food suppliers, who are passing on higher prices to customers. This is causing food inflation. The document provides advice on monitoring price changes from suppliers and reviewing contracts to identify opportunities for cost savings or renegotiation in light of the new economic conditions.
ERA's Purchasing update - Market Intelligence - from January 2017. Articles on Facilities Management, Water, Hybrid Mail, Food Costs, World-class Procurement, High Value Card Transactions, along with other areas of interest.
The document summarizes the implementation and results of a new eProcurement system called Shop@UW that replaced the previous MDS system. It provides better tools for searching, comparing products, and adding suppliers. Since launching in 2013, Shop@UW has increased the number of available products and suppliers, reduced paperwork, and captured more spending data to help negotiate strategic contracts and achieve greater savings for customers. Usage and cost savings have increased over time as adoption has expanded across campus.
Bullwhip and Supplier Relationship ManagementDeepak Ramawat
This document discusses strategies for managing supplier relationships to reduce the bullwhip effect in supply chains. It defines the bullwhip effect as increased demand variability amplified at each stage of the supply chain. Key points made include:
- Categorizing suppliers as strategic, preferred, or transactional based on impact of late/poor quality deliveries.
- Countering the bullwhip effect through close communication, rate contracts, optimizing lead times, and supplier partnerships.
- Steps for a supplier relationship management program including supplier categorization, identification of critical items, and establishing contracts by strategy.
- The benefits of mutual commitment between organizations and suppliers through performance metrics and support for best practices.
Relationship between working capital management nd profitabilitySoumitra Kansabanik
A statistical study has been conducted on few companies in FMCG sector to understand the relationship between working capital management and profitability
The document describes a web-based portal and software for managing gas and electric supplier deals. It allows suppliers to: instantly price deals; manage sales agents; adjust pricing components; simplify deal entry; track deal status; and provide tools to close deals. It claims the software can reduce a supplier's headcount by 51% and forecasts $16 million in revenue by 2020. The company is raising $3 million to rapidly expand its customer base and invest in software development.
The document summarizes research on predatory lending practices in the auto loan industry, particularly those arranged through car dealers (indirect loans). It finds that loan interest rate markups by dealers are a significant driver of loan delinquencies, not borrower credit factors or the economy. It also examines "Buy Here Pay Here" dealers that cater to high-risk borrowers and have extremely high default rates due to aggressive business models focused on churning the same vehicles through many customers.
Optimizing Assortments by Focusing on Attribute-Based Demand PatternsG3 Communications
View the full webcast here: http://rtou.ch/2p7g5qg
Learn how to analyze the everyday shopper’s buying behavior using retail data pattern recognition principles and applying those to the average retail environment. Kevin Stadler, President & CEO, and Marsha Shapiro, SVP of Product Management from 4R Systems present a unique approach to consumer patterns and how Assortment Optimization applies. They will cover:
· Retail data pattern recognition guiding principles
· Roadmap to applying consumer pattern principles within the retail environment
· Best uses in retail & key learnings
· Examples and applicability in Assortment Optimization
The document discusses rising food costs for businesses and what can be done about it. Currency fluctuations following the Brexit vote have increased costs for food suppliers, who are passing on higher prices to customers. This is causing food inflation. The document provides advice on monitoring price changes from suppliers and reviewing contracts to identify opportunities for cost savings or renegotiation in light of the new economic conditions.
ERA's Purchasing update - Market Intelligence - from January 2017. Articles on Facilities Management, Water, Hybrid Mail, Food Costs, World-class Procurement, High Value Card Transactions, along with other areas of interest.
The document summarizes the implementation and results of a new eProcurement system called Shop@UW that replaced the previous MDS system. It provides better tools for searching, comparing products, and adding suppliers. Since launching in 2013, Shop@UW has increased the number of available products and suppliers, reduced paperwork, and captured more spending data to help negotiate strategic contracts and achieve greater savings for customers. Usage and cost savings have increased over time as adoption has expanded across campus.
Bullwhip and Supplier Relationship ManagementDeepak Ramawat
This document discusses strategies for managing supplier relationships to reduce the bullwhip effect in supply chains. It defines the bullwhip effect as increased demand variability amplified at each stage of the supply chain. Key points made include:
- Categorizing suppliers as strategic, preferred, or transactional based on impact of late/poor quality deliveries.
- Countering the bullwhip effect through close communication, rate contracts, optimizing lead times, and supplier partnerships.
- Steps for a supplier relationship management program including supplier categorization, identification of critical items, and establishing contracts by strategy.
- The benefits of mutual commitment between organizations and suppliers through performance metrics and support for best practices.
Relationship between working capital management nd profitabilitySoumitra Kansabanik
A statistical study has been conducted on few companies in FMCG sector to understand the relationship between working capital management and profitability
The document describes a web-based portal and software for managing gas and electric supplier deals. It allows suppliers to: instantly price deals; manage sales agents; adjust pricing components; simplify deal entry; track deal status; and provide tools to close deals. It claims the software can reduce a supplier's headcount by 51% and forecasts $16 million in revenue by 2020. The company is raising $3 million to rapidly expand its customer base and invest in software development.
The document summarizes research on predatory lending practices in the auto loan industry, particularly those arranged through car dealers (indirect loans). It finds that loan interest rate markups by dealers are a significant driver of loan delinquencies, not borrower credit factors or the economy. It also examines "Buy Here Pay Here" dealers that cater to high-risk borrowers and have extremely high default rates due to aggressive business models focused on churning the same vehicles through many customers.
2018 Oregon Wine Symposium | Distribution Round Table: How to Engage & Suppor...Oregon Wine Board
This session will feature a panel of distributors from varied backgrounds that will inform attendees on how to navigate the distributor landscape with a focus on distributors engagement and how to support your distributors to increase sales and market presence. The panel will be led by Elaina Kroll of Elixir Consulting and will feature Amanda Schark of Skurnik, Luke Wohlers of Walden Selections, Chris Riendeau of Southern, who will focus on navigating control states, and Tanya Riesbeck, who will introduce new opportunities for distribution. The session will then break into a roundtable discussion with industry distribution experts.
S2 p strategic opportunity-s2p-implementation-0113-1Dr Gordon Murray
Addressing S2P (Source-to-Pay) is necessary for organisations today in order to reduce transaction costs, but that alone is not enough to drive real cost reduction and bottom line profitability. To derive the maximum benefit, organisations need to seize the opportunity created by the disruption of a S2P implementation to radically transform the way in which procurement is carried out throughout the organisation. This paper provides suggestions on how to make the most of the opportunity created by S2P implementation and makes recommendations on how to maximise the benefits,
Current Automation Purchasing Strategies Fall Short
End users today have a paradoxical relationship with their suppliers. Primary
business drivers in today’s environment include maximizing asset
utilization, enhancing plant performance, and reducing capital, maintenance,
and operational expenditures, but many manufacturers employ
purchasing strategies and supplier relationship management strategies developed
during the heyday of the 1980s. Rather than
focusing on achievement of today’s objectives, the
current environment is characterized by an approach
that relies primarily on initial cost, driving discounts
off list price, and failure to employ a lifecycle costing
perspective.
DAV & SPC Presentation Module 3 - Team 14oenterprises
The document discusses DAV's use of statistical process control (SPC) to monitor and improve the quality of its document processing. It analyzes error rate data from the Policy Extension Group over 30 weeks, finding the process to be out of control with errors ranging from 2-15%. It recommends DAV identify areas requiring high quality, examine low performing groups more closely to understand underlying reasons for issues, and pursue continuous improvement and quality cost reduction through tailored methodology like Six Sigma.
This document discusses strategies for energy companies to mitigate regulatory risks when operating in deregulated markets. It outlines requirements that vary by state, including terms and conditions documents that must be provided to customers. Fines for noncompliance can be substantial. The document recommends automating processes for managing documents, increasing visibility of documents among stakeholders, clearly outlining approval processes, carefully managing changes, and streamlining vendors. It describes a regulatory document management system that can automate workflows and ensure accurate, timely delivery of required documents and communications.
Medical Technology Corporation plans to overcome challenges posed by the Medical Device Excise Tax through supply chain innovations over the short, mid, and long term. In the short term, MTC will remove trunk stock and change sales representatives' roles. Mid-term plans include eliminating branch offices and switching to third-party logistics providers. Long-term goals involve insourcing sterilization and acquiring a 3D printing company to reduce costs and improve customer relationships. MTC aims to streamline operations through initiatives like smart kiosks, customer relationship management systems, and forecasting method changes. The proposals seek to lower touch points and transportation expenses while enhancing production flexibility, customer service, and export growth.
Paul Accinno – Traditional vs Digital AdvertisingSean Bradley
During this session we will focus on 3 key areas of developing a marketing plan.
1. How to develop an integrated marketing budget.
2. How to evaluate traditional and digital media
3. How to create impact with your marketing plan
We find that many dealers struggle with these 3 key steps mainly due to constantly increasing media options they face. In step one we discuss the fundamentals of creating a media budget that is appropriate…
• For Your Dealership size
• For Your Brand
• For Your Location and Market Size
Next we discuss how to evaluate traditional and digital media from a tactical standpoint including…
• What is the Function of Each
• How to measure audience delivery
• How to measure conversions
Finally we determine the proper mix of….
• Brand Advertising,
• Promotional Activity and
• Lower funnel marketing
CPG-RETAIL COLLABORATION IN EMERGING MARKETSITC Infotech
Collaboration - a systematic and conscious effort between two parties in creating a positive synergy by working towards a predefined goal. In today’s business world, the term ‘Collaboration’ is gaining even more attention. This is because, none of the three bottom lines - Social, Economic & Environmental, can be achieved by any company working in isolation. In this paper, we will highlight how CPG companies and Retailers in emerging markets should work together to create a profitable, sustainable and socially acceptable business environment and in turn, try to reach Nash equilibrium for all the stakeholders.
This document provides information about an annual conference on commercial contract strategies for the biopharma industry. The conference will take place June 22-23, 2015 in Philadelphia and focus on topics like preventing revenue leakage, simplifying rebate administration, and navigating complexities of group purchasing organization membership and class of trade. It lists speakers from companies like Amerinet, Dr. Reddy's Laboratories, Johnson & Johnson, and Pfizer. Attendees can choose from workshops on optimizing data sets for EDI improvements or dissecting the 340B drug pricing program. The event is aimed at executives involved in contracts, chargebacks, rebates, and other areas.
The document provides an overview of commonly used strategic frameworks and tools including the strategic planning process, McKinsey/GE matrix for industry analysis, Porter's five forces analysis, product life cycle analysis, value chain analysis and the BCG growth-share matrix. It also includes examples of a SWOT analysis, strategic growth options around core competencies, scenario planning and a competitive analysis matrix.
Supply chain finance (SCF) involves an external finance provider settling supplier invoices in advance of the due date at a lower cost than the suppliers' own financing. This benefits both buyers and suppliers. For buyers, SCF can increase payment terms without higher prices and improve cash flow. For suppliers, it provides faster access to cash at advantageous rates. Implementing an SCF program requires selecting technology and financing partners and integrating it with procure-to-pay processes to maximize benefits like improved working capital and stronger supplier relationships.
Internet Retailer Conference + Exhibition (IRCE) 2013 - Coastal.comAaron Magness
Coastal Contacts provides concise summaries of key learnings from their social media marketing efforts. They found that Facebook continues to be a major driver of engagement but that customers feel spammed by too many new ad units. Mobile traffic from smartphones and tablets now accounts for 25-40% of their website visits. The company's large customer databases allow them to effectively target different regions, with price being less important in saturated Canadian markets but still a strong advantage in Australia and Japan.
“Direct” Spend Management: Optimizing spend and increasing direct material av...Genpact Ltd
In the last few years since the Great Recession, organizations have attempted to optimize supply chain operations and position themselves for growth over the next 3-5 years. This includes tapping “low-hanging fruit” in the optimization journey, largely in the indirect sourcing transactional services such as logistics. Procuring “direct” material, however, seems to be a relatively untapped opportunity for organizations to continue optimizing their supply chains. Inevitably, companies can benefit significantly more by opting for an end-to-end framework rather than through incremental improvements to direct spend management processes.
Supply chain finance (SCF) helps address volatility in demand and instability in the supply chain. While SCF seems like a simple solution, effectively implementing SCF programs poses challenges. Key challenges include convincing suitable suppliers to participate, navigating existing supplier contracts, and improving internal invoice approval processes which can delay supplier payments. For SCF programs to truly benefit suppliers, corporations need to address inefficiencies in their own processes that hinder quick supplier payments.
The document summarizes the results of a payables review conducted for Example Corp in October 2014. It found $8.8 million in indirect expenses were eligible for review, with a target of identifying $1.4 million in potential savings across various expense categories like rent, professional services, marketing, and software/communications. Specific vendors and opportunities for cost reductions are outlined for each category along with expected timelines to achieve the savings.
Predictive Analytics for Competitive Advantagevishwavijayps
This document discusses how Dr. Reddy's Laboratories uses predictive analytics to gain a competitive advantage. It describes two case studies: (1) using marketing mix modeling to optimize promotional strategies based on historical data, and (2) developing pricing and reimbursement strategies using claims data to understand patient costs and behaviors. It acknowledges challenges integrating diverse data sources for predictive modeling. Modern technologies like automated data integration and machine learning are proposed to enable real-time predictive modeling and recommendations.
[DNTS2019 - EverWin] Tài liệu thuyết trình vòng 1 Chung kếtKhải Tiên
Tesco is considering expanding into the Vietnamese market and needs to determine the best strategies for entry and channel deployment. The document analyzes the Vietnamese retail landscape, consumer behaviors, potential channels such as convenience stores and supermarkets, and makes a recommendation for Tesco to utilize a 2-in-1 mini store chain model supported by a mobile app and digital in-store utilities. Financial projections are also provided to evaluate the viability of different expansion options.
Make the most out of your claim of GIPS compliance - Incorporating the Global...Chris Spaulding
The Global Investment Performance Standards are globally recognized as best practice when it comes to presenting investment returns to prospective clients. Investing in GIPS compliance and GIPS verification can help a firm attract more assets but to truly benefit from GIPS compliance and GIPS verification it's important you understand how to market your claim of compliance. This presentation, given by David Spaulding CEO of The Spaulding Group and John Molesphini from eVestment tells you what you need to know about leveraging your claim of GIPS compliance from a sales and marketing standpoint.
2018 Oregon Wine Symposium | Distribution Round Table: How to Engage & Suppor...Oregon Wine Board
This session will feature a panel of distributors from varied backgrounds that will inform attendees on how to navigate the distributor landscape with a focus on distributors engagement and how to support your distributors to increase sales and market presence. The panel will be led by Elaina Kroll of Elixir Consulting and will feature Amanda Schark of Skurnik, Luke Wohlers of Walden Selections, Chris Riendeau of Southern, who will focus on navigating control states, and Tanya Riesbeck, who will introduce new opportunities for distribution. The session will then break into a roundtable discussion with industry distribution experts.
S2 p strategic opportunity-s2p-implementation-0113-1Dr Gordon Murray
Addressing S2P (Source-to-Pay) is necessary for organisations today in order to reduce transaction costs, but that alone is not enough to drive real cost reduction and bottom line profitability. To derive the maximum benefit, organisations need to seize the opportunity created by the disruption of a S2P implementation to radically transform the way in which procurement is carried out throughout the organisation. This paper provides suggestions on how to make the most of the opportunity created by S2P implementation and makes recommendations on how to maximise the benefits,
Current Automation Purchasing Strategies Fall Short
End users today have a paradoxical relationship with their suppliers. Primary
business drivers in today’s environment include maximizing asset
utilization, enhancing plant performance, and reducing capital, maintenance,
and operational expenditures, but many manufacturers employ
purchasing strategies and supplier relationship management strategies developed
during the heyday of the 1980s. Rather than
focusing on achievement of today’s objectives, the
current environment is characterized by an approach
that relies primarily on initial cost, driving discounts
off list price, and failure to employ a lifecycle costing
perspective.
DAV & SPC Presentation Module 3 - Team 14oenterprises
The document discusses DAV's use of statistical process control (SPC) to monitor and improve the quality of its document processing. It analyzes error rate data from the Policy Extension Group over 30 weeks, finding the process to be out of control with errors ranging from 2-15%. It recommends DAV identify areas requiring high quality, examine low performing groups more closely to understand underlying reasons for issues, and pursue continuous improvement and quality cost reduction through tailored methodology like Six Sigma.
This document discusses strategies for energy companies to mitigate regulatory risks when operating in deregulated markets. It outlines requirements that vary by state, including terms and conditions documents that must be provided to customers. Fines for noncompliance can be substantial. The document recommends automating processes for managing documents, increasing visibility of documents among stakeholders, clearly outlining approval processes, carefully managing changes, and streamlining vendors. It describes a regulatory document management system that can automate workflows and ensure accurate, timely delivery of required documents and communications.
Medical Technology Corporation plans to overcome challenges posed by the Medical Device Excise Tax through supply chain innovations over the short, mid, and long term. In the short term, MTC will remove trunk stock and change sales representatives' roles. Mid-term plans include eliminating branch offices and switching to third-party logistics providers. Long-term goals involve insourcing sterilization and acquiring a 3D printing company to reduce costs and improve customer relationships. MTC aims to streamline operations through initiatives like smart kiosks, customer relationship management systems, and forecasting method changes. The proposals seek to lower touch points and transportation expenses while enhancing production flexibility, customer service, and export growth.
Paul Accinno – Traditional vs Digital AdvertisingSean Bradley
During this session we will focus on 3 key areas of developing a marketing plan.
1. How to develop an integrated marketing budget.
2. How to evaluate traditional and digital media
3. How to create impact with your marketing plan
We find that many dealers struggle with these 3 key steps mainly due to constantly increasing media options they face. In step one we discuss the fundamentals of creating a media budget that is appropriate…
• For Your Dealership size
• For Your Brand
• For Your Location and Market Size
Next we discuss how to evaluate traditional and digital media from a tactical standpoint including…
• What is the Function of Each
• How to measure audience delivery
• How to measure conversions
Finally we determine the proper mix of….
• Brand Advertising,
• Promotional Activity and
• Lower funnel marketing
CPG-RETAIL COLLABORATION IN EMERGING MARKETSITC Infotech
Collaboration - a systematic and conscious effort between two parties in creating a positive synergy by working towards a predefined goal. In today’s business world, the term ‘Collaboration’ is gaining even more attention. This is because, none of the three bottom lines - Social, Economic & Environmental, can be achieved by any company working in isolation. In this paper, we will highlight how CPG companies and Retailers in emerging markets should work together to create a profitable, sustainable and socially acceptable business environment and in turn, try to reach Nash equilibrium for all the stakeholders.
This document provides information about an annual conference on commercial contract strategies for the biopharma industry. The conference will take place June 22-23, 2015 in Philadelphia and focus on topics like preventing revenue leakage, simplifying rebate administration, and navigating complexities of group purchasing organization membership and class of trade. It lists speakers from companies like Amerinet, Dr. Reddy's Laboratories, Johnson & Johnson, and Pfizer. Attendees can choose from workshops on optimizing data sets for EDI improvements or dissecting the 340B drug pricing program. The event is aimed at executives involved in contracts, chargebacks, rebates, and other areas.
The document provides an overview of commonly used strategic frameworks and tools including the strategic planning process, McKinsey/GE matrix for industry analysis, Porter's five forces analysis, product life cycle analysis, value chain analysis and the BCG growth-share matrix. It also includes examples of a SWOT analysis, strategic growth options around core competencies, scenario planning and a competitive analysis matrix.
Supply chain finance (SCF) involves an external finance provider settling supplier invoices in advance of the due date at a lower cost than the suppliers' own financing. This benefits both buyers and suppliers. For buyers, SCF can increase payment terms without higher prices and improve cash flow. For suppliers, it provides faster access to cash at advantageous rates. Implementing an SCF program requires selecting technology and financing partners and integrating it with procure-to-pay processes to maximize benefits like improved working capital and stronger supplier relationships.
Internet Retailer Conference + Exhibition (IRCE) 2013 - Coastal.comAaron Magness
Coastal Contacts provides concise summaries of key learnings from their social media marketing efforts. They found that Facebook continues to be a major driver of engagement but that customers feel spammed by too many new ad units. Mobile traffic from smartphones and tablets now accounts for 25-40% of their website visits. The company's large customer databases allow them to effectively target different regions, with price being less important in saturated Canadian markets but still a strong advantage in Australia and Japan.
“Direct” Spend Management: Optimizing spend and increasing direct material av...Genpact Ltd
In the last few years since the Great Recession, organizations have attempted to optimize supply chain operations and position themselves for growth over the next 3-5 years. This includes tapping “low-hanging fruit” in the optimization journey, largely in the indirect sourcing transactional services such as logistics. Procuring “direct” material, however, seems to be a relatively untapped opportunity for organizations to continue optimizing their supply chains. Inevitably, companies can benefit significantly more by opting for an end-to-end framework rather than through incremental improvements to direct spend management processes.
Supply chain finance (SCF) helps address volatility in demand and instability in the supply chain. While SCF seems like a simple solution, effectively implementing SCF programs poses challenges. Key challenges include convincing suitable suppliers to participate, navigating existing supplier contracts, and improving internal invoice approval processes which can delay supplier payments. For SCF programs to truly benefit suppliers, corporations need to address inefficiencies in their own processes that hinder quick supplier payments.
The document summarizes the results of a payables review conducted for Example Corp in October 2014. It found $8.8 million in indirect expenses were eligible for review, with a target of identifying $1.4 million in potential savings across various expense categories like rent, professional services, marketing, and software/communications. Specific vendors and opportunities for cost reductions are outlined for each category along with expected timelines to achieve the savings.
Predictive Analytics for Competitive Advantagevishwavijayps
This document discusses how Dr. Reddy's Laboratories uses predictive analytics to gain a competitive advantage. It describes two case studies: (1) using marketing mix modeling to optimize promotional strategies based on historical data, and (2) developing pricing and reimbursement strategies using claims data to understand patient costs and behaviors. It acknowledges challenges integrating diverse data sources for predictive modeling. Modern technologies like automated data integration and machine learning are proposed to enable real-time predictive modeling and recommendations.
[DNTS2019 - EverWin] Tài liệu thuyết trình vòng 1 Chung kếtKhải Tiên
Tesco is considering expanding into the Vietnamese market and needs to determine the best strategies for entry and channel deployment. The document analyzes the Vietnamese retail landscape, consumer behaviors, potential channels such as convenience stores and supermarkets, and makes a recommendation for Tesco to utilize a 2-in-1 mini store chain model supported by a mobile app and digital in-store utilities. Financial projections are also provided to evaluate the viability of different expansion options.
Make the most out of your claim of GIPS compliance - Incorporating the Global...Chris Spaulding
The Global Investment Performance Standards are globally recognized as best practice when it comes to presenting investment returns to prospective clients. Investing in GIPS compliance and GIPS verification can help a firm attract more assets but to truly benefit from GIPS compliance and GIPS verification it's important you understand how to market your claim of compliance. This presentation, given by David Spaulding CEO of The Spaulding Group and John Molesphini from eVestment tells you what you need to know about leveraging your claim of GIPS compliance from a sales and marketing standpoint.
Similar to DMS LifeScan Meeting of 02 11 2016 v5 (20)
Make the most out of your claim of GIPS compliance - Incorporating the Global...
DMS LifeScan Meeting of 02 11 2016 v5
1. Review of DMS large quantity
VA CMOP Bid and Award
of LifeScan Items
February 11, 2016
10:00 – 11:00 A.M. (CST)
Remote Call in # (877) 565-9999 Pass Code 94395044
DMS Pharmaceutical Group, Inc.
810 Busse Highway
Park Ridge, IL 60068
2. Review of DMS large quantity VA CMOP Bid and Award of LifeScan Items
Attendees
LifeScan LFSUS
Ron Larson, National Account Director LifeScan
Paul Smith, Government National Account
Director -JNJ
Mary Russell, Government National Account
LifeScan
DMS Pharmaceutical Group, Inc.
Bill Anderson, EVP
Jean Hawkins, VP Contracts & Administration
Susan Hennegan, VP Business Development
Tom Price, Finance Manager
3. Review of DMS large quantity VA CMOP Bid and Award of LifeScan Items
Meeting Objectives
Better Understand the VA channel and open market bid Process
Gain alignment with supply chain dynamics in government channels
Key Agenda Items
• Timing of request
• Short lead time for approval
• Large quantities
• No meters
• Lack of transparency to utilization of strips
4. Primary Object
Better understand the VA channel and open market
bid process
o Key Points
o VA Pharmaceutical Spend Dimensions
Geographic Concentration in Midwest & CMOPs
Market Segmentation by Facility Type
Target Market Segmentation by Product Class
o High Level Open Market Process Flow map
o Issues in understanding and succeeding in VA Open Market Bid
space
o Key Agenda Topics Discussion
5. Understanding the VA CMOP Open Bid Market
Key Points
• Pharmaceutical Spend is controlled by a single Prime Vendor Contract currently estimated to now
total $5.2 Billion involving 7 CMOPs and over 750 VA other medical treatment centers
• Have been more recently deploying NCO1 Contract Officers in Teams tasked to expanding preferenced
entity utilization goals that have been traditionally and systematically circumvented in past
• Open Market RFQ process deployed since 2008 using FedBizOpps.gov as preferred forum for engaging
small business and preference entities who are mostly wholesale distributors who have been awarded
virtually all Non-Pharmaceutical Prime Vendor procurements
• Market participants must claim to being manufacturers under NAICS 325412 in addition to more
accurately classifying themselves as wholesale distributors under NAICS 424210
• This permits FARs to apply that favor VA bid quote requirements primarily in product pricing and
availability among others. This has also led to additional special Terms & Conditions placed on the VA
CMOP Open Market bid contracting statement of work requirements
• DMS estimates that the VA CMOP Open Market Bid Process procures less than $20 million on an
annual basis over the past 5 years, but is rapidly increasing in past year.
Note 1 Consolidated Mail Outpatient Pharmacy Acquisitions Team Network Contracting Office 15
6. State No of State No of
/ Terr. 2011 Usage Facilities / Terr. 2011 Usage Facilities
IL 572,036,427.52$ 18 DC 25,283,302.36$ 3
TN 495,429,122.39 9 KY 24,396,014.61 7
SC 486,454,667.27 9 MS 22,426,182.65 6
KS 485,473,466.75 10 PR 22,374,073.79 4
TX 348,453,255.63 43 MD 22,042,843.61 5
AZ 270,287,011.07 40 CO 21,167,209.78 12
MA 176,559,773.35 14 MT 20,967,123.13 20
FL 138,669,857.84 32 AL 20,379,873.13 13
CA 133,383,055.14 53 LA 20,320,733.36 12
OK 100,897,709.61 67 NV 19,807,692.67 14
NY 86,007,859.65 32 CT 18,357,376.41 8
PA 62,940,029.66 27 UT 16,480,667.14 2
OH 60,730,526.39 19 NJ 15,655,251.28 7
NC 48,026,741.53 12 IA 15,012,599.86 4
NM 47,974,587.68 29 ND 14,309,832.86 12
WA 42,696,767.51 19 NE 12,849,157.06 11
MN 41,293,336.01 17 ME 11,701,907.81 4
AK 39,742,230.51 18 ID 10,870,339.18 7
MI 38,489,937.06 13 WY 7,796,630.15 4
WI 37,522,587.14 14 DE 7,582,897.27 1
MO 37,462,397.50 10 RI 7,040,410.02 3
VA 34,089,106.32 7 VT 5,543,314.17 1
GA 33,586,700.19 8 HI 5,184,957.97 4
WV 30,428,274.77 11 NH 5,023,693.09 2
IN 29,848,981.50 8 MP 2,650,509.23 1
OR 27,645,092.32 17 AP 2,145,127.03 1
SD 26,018,649.08 17 PI 1,643,565.73 1
AR 25,569,847.30 4 VI 70,434.84 1
Grand Total 4,336,801,718.88$ 747(continued in next columns on right)
VA CMOP Impact on Pharmaceutical Spend No of % of
State Facilities in 2012 City 2011 Usage Facilities Facilities
IL VA CMOP HINES A-FRAME HINES 519,874,608.70$
KS VA CMOP LEAVENWORTH LEAVENWORTH 471,489,927.15
SC VA CMOP CHARLESTON NORTH CHARLESTON 465,875,872.93
TN CMOP MURF -MAN BCKORD/BULK MURFREESBORO 322,237,795.98
TX VA CMOP DALLAS MAIN LANCASTER 219,399,151.51
AZ VA CMOP - TUCSON TUCSON 186,418,874.47
MA VA NE CMOP CHELMSFORD CHELMSFORD 149,081,737.54
TN VA CMOP COOKEVILLE REPAK COOKEVILLE 25,574,787.71
TN VA CMOP COOKEVILLE TUS COOKEVILLE 105,362,241.34
56.8% 2,465,314,997.33$ 9 1.2%
ALL OTHER TREATMENT FACILITIES 43.2% 1,871,486,721.55$ 738 98.8%
100.0% 4,336,801,718.88$ 747 100.0%
7. 2011 PPV Contract Usauge Report
VA 2010 Usage % of No of % of
Class Net Spend Spend Facilities Facilities
CMOPs 2,465,314,997.33$ 57% 9 1%
VA Hospitals 1,338,675,410.08 31% 280 37%
Indian Health Services 349,560,008.12 8% 257 34%
Bureua of Prisons 88,799,391.38 2% 107 14%
Sub-total 4,242,349,806.91$ 98% 653 87%
All Other 94,451,911.97 2% 94 13%
Grand Total 4,336,801,718.88$ 100% 747 100%
2010 PPV Brand/Generics/OTC Expenditures
Grand % of
BRAND RX GENERICS OTC Total Total
CMOPS $ 1,952,261,423.00 $365,824,184.00 $118,701,708.00 $ 2,436,787,315.00 57.6%
VA FACILITIES 1,139,674,529.00 223,816,307.00 62,838,131.00 1,426,328,967.00 33.7%
IHS FACILITIES 231,228,514.00 55,881,629.00 17,266,995.00 304,377,138.00 7.2%
BOP
FACILITIES 54,138,553.00 9,619,983.00 1,451,677.00 65,210,213.00 1.5%
$ 3,377,303,019.00 $655,142,103.00 $200,258,511.00 $ 4,232,703,633.00 100.0%
79.8% 15.5% 4.7% 100.0%
9. Review of DMS large quantity VA CMOP Bid
and Award of LifeScan Items
Understanding the VA CMOP Process
• Julian Lake, Senior Contract Officer summary response of 1/13/2016 Overview
• Open market bids are subject to Federal Acquisition Regulation (FAR) requirements
• National Acquisition Center (NAC) assigns a Contract Officer to issue a FAR compliant
solicitation for publication on line in FedBizOpps.gov.
• Vendors must monitor and acquire bid details on FedBizOpps.gov
• DMS and other vendors will bid to compete under ‘Rule of Two’ to solicitations requirements
• These requirements may include:
• Letter of Commitments as to product availability from Vendor prior to submission
• Short solicitation response times
• Manufacturer Backordered products bid not specifically available within bid metric
delivery requirements
• DSCSA pedigree requirements with 12 Month Expiration Dating
• Limited number of lots preference that does not always support FIFA inventory control
• Price assurance on bid price for ten days of bid response.
10. Review of DMS large quantity VA CMOP Bid
and Award of LifeScan Items
Understanding the VA CMOP Process (continued)
The requirements may also include:
• AS7001 Notice To Dealers and Suppliers clause which, if enforced, would negatively impact
every responding wholesale distributor bidder’s relationship with the manufacturer supplier
Consequential damage clause with re-procurement clause permitting for cause award termination
• Manufacture allocations on products that are biased toward prime vendor demand and not
toward sporadic demand typical of most of the VA CMOP open market items and channel
• Unfavorable vendor review and adverse Past Performance evaluations when the difficult to
obtain items cannot be, or at times will not be, allocated to the CMOP open market channel
by the manufacturers
Note: DMS has been successful in both accepting and managing most risks associated with this complicated bid and award process.
11. Key issues in participation
Timing of request
Inconsistent Ordering Patterns in the Open Market Process
• DMS believes that this is often from either:
- Preference to PPV who has to be used if item is on FSS
- Open market accessed often in backordered situations
- VA preference has been to not utilize preferred secondary prime vendors
(unlike the DoD) to qualified entities that could obtain better contract
pricing (other than FSS) with larger annual volumes to encourage
manufacturer involvement while reducing bid response inefficiency and
process points of pain experienced by all bid responders
• Promote occasional usage disruptions for certain manufacturers
inventory allocations
• Encourage bids from non-qualified ADRs
12. Key issues in participation
Short lead time for approval
Bid issued with less than a week response time
• DMS believes that this is often from either:
- New contract officers who need supervisor approvals that are delayed.
- Experienced CO that seek to limit bids responses from experienced
Vendors that are capable of the performing to stated SOW requirements.
• Stress response approvals with manufacturers
• Result in less bidders who will respond
- DMS also views this as a competitive advantage and less disruptive to Mfr.
13. Key issues in participation
Large quantities
Trending to bids with fewer items with larger quantities
over last year
• DMS perspective:
- New efforts to utilize small business with NCO teams of contract officers
tasked to specifically engaging small business participation
- These efforts are guided by more experienced CO that assure performance
to Federal Acquisition Regulations (“FAR”) requirements
• Stress inventory utilization / allocation and financial credit
approval with manufacturers within SOW requirements
• Can stress financial debt capacity of some small business vendors
- DMS views this as a competitive advantage as a financially stable [Women
Owed Small Business Enterprise ] ‘preferenced entity.’
- DMS is also a small business with less than 500 employees under NAICS guidelines
14. Key issues in participation
No Meters
Utilization Report data requested, if available, from VA
• DMS perspective:
- LifeScan may not be the predominant meter with the VA but are provided
to veterans through VHA Prosthetics Supply Inventory Management.
Lack of transparency to utilization of strips
Utilization Report data requested, if available,
from VA
• DMS perspective:
- Committed to provide whatever support is required,
and DMS can provide.
15. DMS participation in VA CMOP with LifeScan
DMS Purchases from LifeScan 2015 2016 todate Activity
PRODUCT DESCRIPTION Purchases Quantity Purchases Quantity Purchases Quantity Purchases Quantity Purchases Quantity
ONE TOUCH STRIP ULTRA 1,207.70$ 10 9,206.64$ 72 27,648.00$ 576 38,062.34$ 658
ONE TOUCH ULTRA BLUE 50'S 11,222.80 185 202,464.00 8,436 213,686.80 8,621 331,200.00$ 7,560
ONE TOUCH ULTRA LANETS 100 10,871.04 1,248 10,871.04 1,248 12,369.60 1,440
ONETOUCH LANCETS 100EA 1,209.60 144 1,209.60 144 4,521.60 576
ONETOUCH ULTRA 2 1EA 72.00 4 72.00 4
ONETOUCH VERIO 100EA 795.90 6 16,770.00 120 17,565.90 126
PENLET PLUS LANCING DEVISE 1,083.60 72 1,083.60 72
Grand Total 13,298.40$ 205 25,976.64$ 192 243,276.24$ 10,476 282,551.28$ 10,873 348,091.20$ 9,576
DOD OTHER Total 2015 ActivityVA CMOP
• DMS Purchase activity in 2016 for VA already exceeds all of 2015 to all Segments by 23%
• Indicative of DMS past profile in ‘gulping’ rather than ‘sipping’ its past growth
• Opportunities exist with other segments
16. VA Office of Inspector General
Continuing efforts to identify and correct internal control issues
Office of Audits and Evaluations
Audit of Prosthetics Supply Inventory Management, March 30, 2012
• Link to report
http://www.va.gov/oig/pubs/VAOIG-11-00312-127.pdf
• OIG contact names and titles (if necessary)
17. Secondary Objective
Gain alignment with supply chain risks with government supply channels
o LifeScan / DMS Initiative possibilities with the VA
Gantt Chart of JNJ / LifeScan / DMS Risk Management discussion topics
Ideas for discussion of possible initiatives to gain alignment
Actions necessary to address Risk Mitigation and Management
o Why DMS ? – performance based credibility with the both Veteran Admin. & DoD
o DMS logistical presence with key Region 6, VISNs 11 & 12
o Next Steps
18. Gain Alignment in Reducing Gray Market
Risks through Partnered Awareness and
Focused Risk Mitigation Processes
19. DMS suggested possible initiatives to gain
alignment with LifeScan in providing the VA
1. Assist LifeScan to expand penetration into this large pharmaceutical spend market.
2. Continue to offer LifeScan as a an Open Market Channel to the CMOP supply chain.
3. Use DMS as a preferred Authorized Distributor of Record for provisioning this specific channel
4. Participate in VA education campaign to existing VA patients with LifeScan new or future meter
features and product offerings to convert to LifeScan from existing meter providers:
a. Literature distribution via CMOP and/ or Prosthetics Inventory Supply Management
b. Identify and assist in sample distribution to targeted Prosthetics Supply Inventory Management
purchasing leadership or Formulary Panels
5. Target VA Prosthetics Supply Inventory Management to promote LifeScan as the VAs ‘glucose meter
provider of choice’ with value based business case development
6. Consider the development of a new LifeScan [ Veterans’ First Meter Discount Card ] / Program to
encourage or incent JNJ / LifeScan channel compliance
7. Request VA CMOP NOC Issue Secondary Prime vendor contracts or Blanket Purchase Agreement (BPA)
for larger annual volumes of LifeScan diabetic supplies
20. DMS credibility with the both
Veterans Administration & DoD
Capable small business full line
pharmaceutical wholesaler
20 years experience with more complex
Government Contracts
Highly qualified performance reviews
Often tasked to sensitive and difficult
procurements with key order status
follow up with DMS Signature Service
Model
National Woman’s Business Enterprise
Certified Cert No.200512711
Founding Sponsor for Fisher House for
Hines
(Veteran patient family housing similar to McDonald House)
21. Location pins plots indicating DMS (Headquartered in Park Ridge, Illinois) ability to serve VA Region 6 – VISN 11
& 12, which represent the small business set-aside regions that were cancelled in past Pharmaceutical Prime
Vendor bids that were awarded to a single PPV who now provides 99.5% of VA Total Pharmaceutical Spend.
Cluster
Ref
Pin
Ref
Government Facility Location
Miles
from
DMS
6 - 12 A 3001 Green Bay Road #133, North Chicago, IL 60064 25
6 - 12 B 2500 Overlook Terrace, Madison, WI 53705 137
6 - 12 C 5000 West National Ave, Milwaukee, WI 53295 78
6 - 12 D 500 E Veterans Street, Tomah, WI 54660 226
6 - 12 E 325 East H Street, Iron Mountain, MI 49801 292
6 - 12 F Roosevelt & 5Th Avenue, Hines, IL 60141 17
6 - 12 G N 2665 County Road QQ, King, WI 54946 198
6 - 12 H 425 Fisher Street, Marquette, MI 49855 371
6 - 12 I 10 Tri Park Way, Appleton, WI 54914 178
6 - 12 J 820 S Damen Ave , Chicago, IL 60612 19
6 - 12 K One Veterans Drive, Manteno, IL 60950 70
6 - 12 L 9330 S Broadway, Crown Point, IN 46307 60
6 - 12 M 4940 East State Street, Rockford, IL 61108 68
6 - 12 N Roosevelt & 5Th Ave, Hines, IL 60141 17
6 - 12 O 820 South Damen Avenue, Chicago, IL 60612 19
6 - 12 P 1 Blk N Cermak on 1st Ave, Hines, IL 60141 19
6 - 12 Q FCI Oxford - Federal, P.O. Box 1000, Oxford, WI 53952 187
6 - 12 R 525 Airport Road, Oneida, WI 54155 193
6 - 12 S W12802 County Hwy A, Bowler, WI 54416 227
6 - 12 T 71 West Van Buren Street, Chicago, IL 60605 17
6 - 12 U 129 Old Abe Road, Lac Du Flambeau, WI 54538 339
6 - 12 V 129 Old Abe Road, Lac Du Flambeau, WI 54538 339
Region 6 – VISN 12
23. Next Steps
Near term action steps
• Key issues that need immediate or near-term resolution
Long term action steps
• Key issues that need immediate or near-term resolution
• Consequences of postponement of risk mitigation
24. 24
810 Busse Highway
Park Ridge, Illinois 60068
P(847) 518-1100
F(847) 518-1105
www.dmspharma.com
Thank you for your time and
consideration of DMS as a
valued business partner.