1. CLICK TO ADD TITLE [DATE][SPEAKERS NAMES] The 5th Global Health Supply Chain Summit November 14 -16, 2012 Kigali, Rwanda The LMIS rEvolution in Tanzania Chris Wright

2. Presentation Overview Current state of LMIS data in Tanzania Vision for electronic LMIS State-of-the-Art ERP at Medical Stores Department

3. Data management in the recent past

4. Health Facilities ARVs & OI Drugs Essential Meds/ILS TB & Leprosy Report & Requisition EPI Lab supplies HIV tests Central MSD ERP Shipments Medical Stores Dept. Orders Zonal MSD ERP Zonal MSD ERP Zonal MSD ERP R&Rs or Orders District Approval R&R ORDER Report Tanzanian LMIS in 2011

5. LMIS data collected at the Health Facility 5 Malaria (ILS) 3 items Family plan (ILS) 12 items Essential med. (ILS) 106 items Hosp Extra Supp ARV HIV test 30 item OI’s Drugs 110 item Lab 200 item TB 77 item EPI 63 item Opening balance Received Lost/adjusted Closing balance Max – Min stock Consumption Qty needed by HF (order) Patient data

6. LMIS data collected at Health Facility and received by MOHSW & Programs 6 Malaria (ILS) 3 item Family plan (ILS) 12 item Essential med. (ILS) 106 item Hosp Extra Supp ARV HIV test 30 item OI’s Drugs 110 item Lab 200 item TB 77 item EPI 63 item Opening balance Received Lost/adjusted Closing balance Max – Min stock Consumption Qty needed by HF (order) Patient data

7. Impact of Poor Data Availability Health FacilityDistrictMedical Stores Dept.MOHSW/Program Redundant, burdensome reports Inadequate fundingInadequate data for forecasting Too little feedback Long lead times for procurement, order process No visibility into supplies at facility level Not enough staffNo visibility into MSD stocks Mismatch between demand and supply No visibility into MSD stocks Ineffective supervision Inadequate data for supervision Inadequate controlsNo visibility into system performance Poor accountability at higher levels Poor accountabilityInadequate visibility into performance Inadequate supply chain oversight

8. Vision for the Future: eLMIS in 2013

9. eLMIS Focus MDS SMS Text Data Fax/Scan Optical Character Recognition MSD ERP Orders and Shipments MOHSW and Partner Access Reporting Dashboard And KPIs Mobile RF Scanner Transportation Information/GIS eLMIS LOGISTICS DATA WAREHOUSE Web Based Data Entry and Data Uploads

10. State-of-the-Art ERP at MSD: Improving Business Performance

11. Need for a New ERP: MSD Business Growth ~US$120 Million

12. Project Objectives Implement the new and sustainable ERP System which supports MSD’s strategic business requirements Re-engineer business processes according to industry best practices Implement/improve KPIs and processes for effective business management Deliver SOPs and other documentation required to support ISO9001 certification Improve organizational capability to support continuous improvement

13. Enterprise Resource Planning (ERP) in a nutshell

14. Selected ERP System: Epicor 9 Epicor 9 is a fully integrated Enterprise Resource Planning system capable of supporting the strategic business requirements of MSD.

15. Implementation Methodology Project Charter Vision Success Metrics Scope Risks Governance Approach Work Plan Comm Plan Change Control Technology Architecture Hardware/Software Selection Infrastructure Setup Contracts and Staffing Change Management Plan Project Charter Vision Success Metrics Scope Risks Governance Approach Work Plan Comm Plan Change Control Technology Architecture Hardware/Software Selection Infrastructure Setup Contracts and Staffing Change Management Plan Foundation Training Process Review Define New Business Processes Gap Analysis New Process SOPs and Approval User Requirements Functional and Technical Spec Workflow Dev Data Migration Strategy Reporting Strategy Tech Strategy Dev and Test Environments Documentation Plan Foundation Training Process Review Define New Business Processes Gap Analysis New Process SOPs and Approval User Requirements Functional and Technical Spec Workflow Dev Data Migration Strategy Reporting Strategy Tech Strategy Dev and Test Environments Documentation Plan Staging & Production Setup EPICOR Screen and Flow Construction System Configuration CRP Schedules and Scenarios Test Plans and Cases Data Migration Development Test Technical Infrastructure End User Training Plan CRP 1 Execution CRP 2 Execution Deployment Planning Support Plan Staging & Production Setup EPICOR Screen and Flow Construction System Configuration CRP Schedules and Scenarios Test Plans and Cases Data Migration Development Test Technical Infrastructure End User Training Plan CRP 1 Execution CRP 2 Execution Deployment Planning Support Plan Fully Configured Environment User Acceptance Testing End User Training Production Cutover Plan Go-live End User Production Support Awareness Events KPI Review Fully Configured Environment User Acceptance Testing End User Training Production Cutover Plan Go-live End User Production Support Awareness Events KPI Review Lessons Learned Knowledge Transfer Project Office Closure Lessons Learned Knowledge Transfer Project Office Closure Prepare & Plan Analyze & Design Construct & Test DeployOperate

16. Prepare & PlanAnalyzeDesign Construct and Deploy ERP Implementation Activities: Phase 1 Nov - Dec ‘10Jan - Apr ‘11May ’11 - Mar ‘12Apr - Jul ‘12 Establish Team and Charter Map Current Processes Define Future Business Processes Approve New Processes Define Future Business Scenarios Simulate Scenarios on E9 Software Document Specs For Modifications Identify Needed Modifications Develop & Test Modifications SOPs Assess in CRP & Repeat Work Instructions Training Aides Training of Trainers End-user Training High Value Stock Take Security & Tech Deployment Cutover & Data Migration Reports Launch July 23, 2012 Servers, Desktops, Connectivity Ordering Organizational Assessment Epicor Vision Training Epicor Detailed Training

17. ERP Successes System is Live as of July 23, 2012 and in use to operate the business (only 10-15% customized) Strong commitment from MSD and USG Collaborative decision making, effective risk management –MSD owns the process and SCMS provides consultant expertise and vender management Project ownership and team empowered to re-engineer the business Enhanced MSD technical expertise on system evaluation, selection, business re-engineering, system design & deployment processes

18. ERP Challenges Very high learning curve for MSD core team delayed taking ownership of implementation Vender unfamiliar with constraints of deliverables-based, fix- price contract Need to change ineffective Project Managers (SCMS, Epicor) Availability of key staff in all parties, staff changes Lack of common understanding of terminology (definitions, acronyms) Requiring twice as much time and 50% more budget than originally planned. Original: $3.2 million Jan – Oct 2011 (Go Live) Revised: $4.7 million Jan 2011 – July 2012 (Go Live)

19. Questions? Epicor 9 ERP User Acceptance Testing