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SAP BUSINESS CONSULTING Healthcare by SAP: Solutions for today Supporting strategies for tomorrow! Dr. med. Peter Langkafel MBA CSIS Healthcare Modernization Conference Washington, 4.5.2006

Players in Healthcare National Health Organizations Hospitals Social Assistance Office Primary Care Disease Control Center Doctors Policy Maker Provider Health Insurance Social Funds Payer Citizen Patient Pharma Pharmacies Pharmacy / Medical Products and Devices Unemployment Insurance Research WHO (World Health Organization) Definition: "E-health is a new term used to describe the combined use of electronic communication and information technology in the health sector" SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 2

Modernization of Healthcare-Systems Key success factors: Integration and Transparency Primary Care Health Insurance Human Resources Budgeting Logistic Management Business Strategy / IT-Strategy leads to process optimization Inpatient Care Rehabilitation / Cure Doctors, Nurses administrative / vertical integration medical / horizontal integration functional integration -transparency and controlling for real-time decisions -increased patient satisfaction -reduced costs -improved quality of care -more efficient and effective integrated healthcare systems SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 3

SAP in the Healthcare Industry First healthcare customers went live in the 1980s Today, SAP for Healthcare customers include general hospitals university hospitals integrated delivery networks (IDNs) private hospitals defense organizations and health maintenance organizations (HMOs) with single to multi-facility locations SAP is the market leader in several geographies with advanced healthcare systems: # 1 in Austria 70% of all hospital beds # 1 in Germany 85% of all university hospitals # 1 in Israel 80% of HMO market, SAP Patient Management in 1/3 of all public hospitals Over 1300 installations in more than 45 countries SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 4

Collaborative Healthcare Network: Solution Map by SAP through the entire value chain Suppliers & Partners think big, start adequate! Regulatory Controls Planning & Financing Prävention Treatment Disease Control Research & Development Drugs & Medical Supplies Development Medical Staff Planning & Alignment Health Institution Planning Budget Preparation Public Health Prevention Program Planning Prevention Program Delivery Services Planning Citizen & Patient Empowerment Health Information Provision Health Information Services Management & Support Analytics Financials Human Capital Management Corporate Services Operations Support Patient Management & Care Collaborative Treatment Administration Integrated Diagnostic, Treatment, Care Billing & Budget Allocation Quality Assurance Disease Management Programs Collaborative Quality Management Resource & Results Monitoring Drugs & Medical Supplies Approval Medical Staff Performance Monitoring Medical Statistics Analysis Citizens & Patients SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 5

SAP Proven Experience and Results Best prooven implementation in time and budget Standardized solutions SAP Solution Maps across Industries Scenarios Healthcare Solution Maps Healthcare Provider Collaborative Health Network Standardized methodologies Accelerated SAP (ASAP) Repeatable Methodology and Toolkit SAP Business Maps and Engagement Tools a robust foundation for effective knowledge transfer Product Quality Product Innovation Lifecycle (PIL) that standardizes the way SAP invents, defines, develops, deploys and optimizes solutions SAP Ramp-Up standardized process for introducing solutions to the market Support/Education SAP Active Global Support 24 x 7 global support, guaranteed response time SAP Education More than 200,000 students trained annually, classes offered in more than 15 languages SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 6

SAP for Healthcare: Award winning solutions Press Release Frost & Sullivan Honors SAP for Outstanding Healthcare Market Leadership London/UK, February 13, 2006 Frost & Sullivan has chosen SAP AG as the recipient of the 2005 Frost & Sullivan Market Leadership Award in recognition of its exceptional SAP for Healthcare industry solution. This portfolio unites the SAP Patient Management application and mysap Business Suite to create a complete set of solutions that can streamline all hospital administrative and patient management processes. Based on an open platform, SAP for Healthcare integrates all healthcare processes from staffing and inventory to financials and patient-centric processes. Furthermore, when combined with complementary applications, SAP for Healthcare enables real end-to-end processes spanning administrative and clinical departments. SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 7

SAP Netweaver for Healthcare integrated services for patients, doctors, administration SAP NetWeaver People Integration Multi-Channel Access cooparation with other players and stakeholders key infrastructure for all roles analysis of budget, summarized clinical data SAP Exchange Infrastructure / Middleware SAP Web Application Server Composite Application Framework Portal Information Integration Business Intelligence Process Integration Integration Broker Collaboration Knowledge Management Master Data Management Business Process Management Application Platform Life Cycle Management info center, content management, knowledge warehouse SAP business partner collaborative scenarios, documentation of the value chain web services with integration concepts J2EE DB DB and OS Abstraction.NET ABAP WebSphere Solution Manager, Easy Enhancement Workbench, Object Navigator SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 8 Mobile Healthcare, E-Procurement Enterprise Addon Patient Management

KAGes Krankenanstalten Gesellschaft Graz - Styria - Austria KAGes as a Hospital Group Is on Its Way to the Multimedia Electronic Patient Record (Dr. Werner Leodolter - KAGes Chief Information Officer) Association of the public hospitals of Styria Graz University Hospital (2200 beds) 21 Regional Hospitals, 7.600 beds total Plus 1 Psychiatric Hospital, 1 Home for the Elderly e 3 Shared Service Structures Population: 1.200.000 inhabitants Every hospital has its independent information system with clinical and management data All hospitals are connected in a network via a server that stores Demographic and administrative data for the whole population Pointers and indexing data of all clinical documents created for all patients treated The network enables interhospital processes like teleradiology, patient transfers and visit bookings The system was piloted in 1999, went live in 2001 with subsequent roll-out to all hospitals KAGes has about 16.000 employees, of which 1.610 are medical doctors, and 8.000 SAP users The pilot project showed that the SAP standard software approach could satisfy the need of all types of hospitals of the network: from the higly specialized university hospital to the relatively simple regional hospital. The Total Cost of Ownership of the system to date has been very satisfactory, so that KAGes continues to deploy new applications on the SAP platform. The clinical patient process is seamlessly integrated with all administrative and logistic processes thus enabling savings in TCO, faster decisions and better quality of the real-time data SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 9

Integrated Services I Example of an Electronic Patient Record (medical view) SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 10

Integrated Services II Digital Clinical Pathways (medical and business view) assignment + classification + systematic arranging information about the clinical path graphical information documents of the patient selection list search criteria classification information / knowledge management search criteria SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 11

SAP BUSINESS CONSULTING Healthcare by SAP: Solutions for today Supporting strategies for tomorrow! Dr. med. Peter Langkafel MBA CSIS Healthcare Modernization Conference Washington, 3.5.2006

SAP for today and tomorrow: the leading business platform SAP Netweaver SAP offers innovative technology for open and integrative IT infrastructure for Healthcare and all other industries SAP NetWeaver Composite applications People integration Information integration Process integration Application platform Portal Collaboration Multi channel access Business Intelligence Knowledge Mgmt. Master Data Mgmt. Integration Broker Business Process Mgmt. J2EE DB and OS Abstraction ABAP Life Cycle Mgmt. Security Enterprise Service Architecture Standards Based... SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 13

Integrated Healthcare Solutions by SAP SAP offers proven technology: From Walldorf/Germany to Global Solutions Patient relationship management Patients Physicians ext. Hospitals... External access Portal exchange Administration Patient administration Patient accounting Patient schedule Patient service mangement Collaboration SAP NetWeaver TM Corporate application framework People integration Information integration Process integration Application platform Life cycle management Clinical solutions Order entry Results reporting Quality assurance Clinical care Clinical supply Chain management Physicians Nurses... Internal access Portal exchange Decision support Clinical decision support Records management SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 14

SAP for Healthcare: Large Customer Base Across the Globe Over 1300 installations in more than 45 countries Americas 190 installations EMEA 1030 installations APA 90 installations SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 15

KAGes general information Information Institutions: 19 Houses: 22 Inpatients: 246.998 Outpatiens: 632.709 Hospital beds: 6.737 Employees: 15.000 Province of Styria, Austria: Population: 1.2 million SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 16 KAGes covers 90 % of hospital beds in Styria

KAGES system overview The main products to realize the patient record Geb- Reg PAS V2 PDMS... Subsystems IS-H Labor Systema SAP HR IS-H*MED FI/CO PACS Siemens Basic system (HIS) IS-H and IS-H*MED SER Archiv SER TSA/GSD SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 17

SAP offers integrated solutions for health care providers 1 2 3 Clinical processes Patient services Administrative processes HEALTHCARE PROVIDERS Scenario-Oriented Industry Solution Strategic Service Offerings Resources and Supply Chain Planning Collaborative Care Support Patient Management Enterprise Management & Support Integrated Care SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 18

SAP for Healthcare SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 19

Integrated Services III Business Intelligence - Business Process (business view) Hospital Management "All information at a glance" Controlling "What do our costs and revenues look like?" Coding Analyses "Is the medical documentation correct and complete?" Hospital Pharmacy "What is the level of our drug consumption?" Case Figures DRG Controlling Purchasing Diagnoses HR Financials Insurance Providers Profitability Contribution Margin Procedures SAP R/3 Non-SAP SAP IS-H mysap... Provider File SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 20

Contact Dr. Peter Langkafel, MD, MBA Senior Business Consultant SAP Business Consulting Rosenthaler Strasse 30 D- 10179 Berlin E peter.langkafel@sap.com www.sap.com SAP AG 2006, CSIS Conference Washington/ Dr. Langkafel / 21