McKesson

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McKesson
Empowering Healthcare
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Agenda

• Introductions
• Company Overview
• Distribution Center Overview
• Operations Management Development Program
• Q A

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The Future is Healthcare You have the power make
an impact!
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Uniquely Positioned to HelpShape Healthcares
Future

• Largest healthcare services company in the world
• Fortune 18 93 billion in revenues (FY07)
• More than 32,000 employees dedicated to
  healthcare ?
• Oldest U.S. healthcare company
• Established 1833 nearly 175 years focusing
  on healthcare
• Only company offering solutions at every point of
  care
• Deep clinical, IT and process expertise

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Unified by Our Company Values

• Integrity
• Customer first
• Accountability
• Respect
• Excellence

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Directly Addressing Healthcares Chronic Woes

• Error-Prone Care
• 98,000 people killed, 1.5 million injured by
  medication errors each year.
• Skyrocketing Costs
• 2.1 trillion (17 of GDP) spent on healthcare
  in U.S. in 2006 expected to double in next
  decade.
• 7 annual rise in overall costs (8.6 for Rx
  drugs).
• 43 of U.S. seniors income earmarked for
  healthcare.
• Inefficient Use of Time and Money
• 80 of healthcare costs spent managing chronic
  conditions.
• 45 of hospitals costs earmarked for supplies,
  drugs and consumables.
• 30 of healthcare costs due to administrative
  waste.
• 30 of insurance claims submitted incorrectly
  the first time.

Projected
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A 360o View of HealthcareTouching Healthcare
Players at Every Point of Care
Manufacturers 400 Pharmaceutical 2,000
Medical-Surgical 950 Consumer Product
Healthcare Providers 200,000 Physicians 10,000
Long-Term Care Facilities 5,000 Hospitals
(including VA and DoD) 750 Home Care Agencies
Retail Pharmacies 26,000 Locations
Health Plans 600 Payor Organizations (Public and
Private)
Consumers 25 Million Covered Lives
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The Market Leader in Our Businesses
McKesson Technology Solutions
McKesson Distribution Solutions

• No. 1 pharmaceutical distributor in U.S., Canada
  and Mexico
• No. 1 primary care and extended care
  medical-surgical supply distributor
• No. 1 independent retail pharmacy franchise,
  Health Mart
• No. 1 generic drug distributor

• No. 1 in hospital automation
• No. 1 in care management software and services
  for payors
• No. 1 in disease management for Medicaid
  agencies
• Leader in clinical, revenue cycle and resource
  management
• More Best in KLAS products than any other
  company

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Strong Annual Revenue Growth
Billions
14 CAGR
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Most Comprehensive Offerings in Healthcare
Manufacturers
Pharmacies
Healthcare Providers
Payors
Consumers
Pharmaceutical Distribution Retail
Programs Pharmacy Management Systems and
Software Automation Claims Processing Managed
Care Outsourced Pharmacy Management and Consulting
Disease Management Care Management Workflow
Software Nurse Advice Services Clinical Decision
Support Claims Management andCode
Auditing Specialty Pharmacy Services
Product Launch Services Pharmacy and Patient
Marketing Patient Adherence Programs Specialty
Drug Services
Personalized OnlineHealth Management Self-Service
AccountManagement Telehealth Devices In-Room
CommunicationSystems Specialty Drug Services and
Medical Supplies
Business Performance, Resource and Revenue Cycle
Management Clinical Management and Decision
Support Contact Center Management Medical-Surgical
Supply Distribution Specialty Drug Distribution
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Long-Term Relationships with Global Leaders in
Healthcare
Retail Pharmacy
Health Systems
Primary and Alternate Care
Payors
Manufacturers
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Our Commitment to Corporate Citizenship

• We strongly believe that making investments in
  our people and our community is good for business
  and the communities where we live and work.
• McKesson Foundation 5 million annually to
  healthcare-related nonprofit organizations ?
• Employee volunteerism
• In-kind donations to community clinics and
  school-based health clinics ?
• Business model of diversity excellence

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McKessons Vision Connecting Healthcares
Players

• Claims
• Reimbursements
• Clinical Decision Support

• eRx
• Claims
• Reimbursements

• EMR
• Clinical Data
• Claims Management
• eRx
• Revenue Cycle

• EMR
• Clinical Data
• Patient Accounting
• Revenue Cycle
• Imaging

• Payments
• Credits

• Orders
• Results
• Charges

• Personal Data
• Scheduling
• Account Management

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Opportunities
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Opportunities with McKesson

• Operations Management Development Program (OMDP)
• An industry leading 9-month management
  development program

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OMDP Objectives

• To develop Operations bench strength by
  continuously attracting top talent to McKesson
• To introduce innovative, state-of-the-art
  processes to our business

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OMDP What we look for

• B.S. in Business, Supply Chain, Logistics or
  Operations Management
• Work experience during college
• Leadership experience
• Willingness to relocate and initially work nights
  
• Performance skills
• GPA 3.0, leadership, problem solving, teamwork,
• multi-tasking, initiative and ability to learn

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OMD Program

• Distribution Center Rotations
• Warehouse 3 Months
• Computer Room 2 Weeks
• Inventory 4 Weeks
• Regulatory/Security 1 Week
• Human Resources 1 Week
• DC Operations Management 4 Weeks

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Operations Management Development Program

• Cross-Functional Rotations
• Provide training in key functions that
  impact/partner with the distribution center
• Sales Retail and Health Systems
• Regional Finance Office and Customer Financial
  Services
• Asset Management/Inventory/Customer Care
• Gives Associates insight into how a DC impacts
  the company from different perspectives

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OMD Program

• Professional Development
• Offers a professional development tools that
  maximize personal and managerial growth
• Business writing
• Presentation skills training
• Other areas individually identified
• Gives the Associate baseline tools in
  anticipation of first supervisory assignment

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OMD Program

• Professional Support
• Associate Development Team everyone who touches
  the program
• Evaluations and Updates
• reporting and check-in mechanisms such as monthly
  reports,
• bi-weekly conference calls

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OMD Program

• Professional Support
• Quarterly team meetings
• Strategic and operations business information
• Executive presentations
• Six Sigma Greenbelt Project
• Six-month process improvement project that
  culminates in a final presentation to company
  leaders

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OMDP Architecture
Management Associate
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OMD Program

• Questions?