1. Ian Bezuidenhout IS Operations Manager Easy Ask Implementation

2. Mastering the art of distribution History Established in 1993 Co-op model for Roche; Boehringer Ingelheim plus 2 Acquisitioned to UTi in 1994 Client base of over 40 manufacturers, 80 business entities Customer base over 7000 active accounts Market share of over 40% for Pharmaceuticals Venturing into FMCG and Diagnostic markets

3. Mastering the art of distribution IHD – The Business Model Pharmaceutical Supply Chain Management Pre wholesales (Wholesales; Retail; Direct to Patient) Warehouse; Order Management; Distribution; Account Receivables for Clients IHD do not own stock Clients also do Inventory Management – daily reports from IHD Clients push stock to IHD based on IHD and own Demand Reporting procedure (DRP) IHD do Bulk and File Picking across 6 warehouses

4. Mastering the art of distribution Some uniquenesses in IHD Medical Control Council (MCC) requirements GxP (GDP, GMP, PICS) System Validation Audits (Sas 70; GCC) Batch / Expiry Dates

5. Mastering the art of distribution IHD Reports to Clients & Internal Business Intelligence Centre Balancing Daily and ad hoc Business users run own reports (risk)

6. Mastering the art of distribution IS Systems & Data flow ERP …developed in-house in Progress Reporting …. 265 reports from 9 databases In 2001, Business Intelligence Initiative with Cognos and SQL Data Warehouse provides cubes/marts for Sales, AR Slow adoption rate by business Data warehouse needs to have detail in IHD Cognos response times not adequate In 2006, started a new project – called Client Zone using MS suite ERP > etl > staging > SQL > new datawarehouse

7. Mastering the art of distribution Inventory Management Need to know what product is arriving; when it is arriving Maintenance of Product Master file What product is where in the warehouses & where it has gone What products will be utilised (based on history and seasonality) What products will not be sold before Expiry Date Ability to perform recall of products by Batch Replenishment of Fine Pick areas and other Distribution Centres In excess of 10 000 product types in bins ALL THIS REQUIRES EASY, ACCURATE and FAST ACCESS TO DATA

8. Mastering the art of distribution EA - As Inventory Management Tool Introduced by Progress Visited Nedbank for a closer look Proof of Concept with QBCON Project approach included IT/IS and Business Used the 20 Most FAQd question approach Within 3 days the requirement was set 16 Questions were answered in the next 6 days The gap of 4 questions were unanswered due to lack of data, at that time

9. Mastering the art of distribution My Perspective Revelation to see how Business were excited Information vs Reams of paper Quick results Non technical staff adoption (Roan vs Eugene) Technical staff freed up Horses for Courses approach Need for Realism

10. Mastering the art of distribution Next steps Complete roll out in Inventory Management (new staff) Implement in the Customer Services department (data is spread about) by end of July

11. Mastering the art of distribution Lessons learnt Importance of a common understanding (stock = product = sku)

12. Mastering the art of distribution QUESTIONS & DISCUSSION