meet max… ai for pricing & contracting for medtech & pharma manufacturers

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Page 1: Meet MAX… AI for Pricing & Contracting for Medtech & Pharma Manufacturers

1© 2017 Apttus Corporation

Page 2: Meet MAX… AI for Pricing & Contracting for Medtech & Pharma Manufacturers

© 2017 Apttus Corporation

Gopkiran RaoSVP QUOTE-TO-CASH

Page 3: Meet MAX… AI for Pricing & Contracting for Medtech & Pharma Manufacturers

A common goal is to get fair net price compensation across the full range of contracts:

The Life Sciences Industry

• Large Private Entities,

• Hospitals Groups

• Large Pharmacy Chains

• National Access for Direct Reimbursement

• Public hospitals

• Regional authorities

• Public sick funds

• Single hospitals

• Pharmacies & Wholesalers

Big ContractsMarket Access

AgreementsLarge Tenders Smaller Deals

Page 4: Meet MAX… AI for Pricing & Contracting for Medtech & Pharma Manufacturers

MedtechManufacturer

Public and Private Health

Franchise

Service Partner

PaymentsProcessor

Billing Partner

Retail

Tender Portal

Group Purchasing

•Health Economics• KAMs and NAMs• Finance & Legal• Trade & Channel• Support & Service

Admin Fee Committed Contracts

Tiered Pricing

Rebates

Reference Price

Market Basket Pricing

Promotions

Credit CheckMonth End Billing

Multi-Lot Tender

Chargebacks

Catalogs & Options

Customer• KOL• (Clinical/PTN)• Finance & Legal•Vendor Mgmt.• (Provider)• (HI)

Finance Terms

Order

Capitation

Distributor

Cost-Focused

Value-based | risk-sharing | bundled payments

Self-Service Omni-Channel

Mobile, Conversational, Prescriptive

Contract & Tender - centeredRelationship-oriented

Ship-to-Order

Healthcare and Life Sciences Cash-to-Cash Processes are Limited by Legacy

A Better Way

Today’s Way

Integrated Business Process, Unified Data Model

Page 5: Meet MAX… AI for Pricing & Contracting for Medtech & Pharma Manufacturers

.

The Business Challenge –Models to Engage Providers & Payers Are Ever Evolving

Pricing Strategies (Set Price)

Contract Strategies(Committed Price)

Revenue Execution(Realized Price)

Device: Combine cost-plus pricing for the device with outcomes-based pricing for the contract strategy and payment discounts

MedSurg: Combine Kits and portfolio pricing for the SKUs and volume-based rebates for the contract

Equipment: Combine capital list pricing for the device withReagent pricing on the contract and zero dollar billing on the Shipping invoice and retrospective billing for payment

Page 6: Meet MAX… AI for Pricing & Contracting for Medtech & Pharma Manufacturers

A Better Way Starts by Integrating Pricing & Revenue Processes

Page 7: Meet MAX… AI for Pricing & Contracting for Medtech & Pharma Manufacturers

Results in a Powerful Hierarchy of Enterprise Decision Drivers

DESCRIPTIVEProduct, Customer, Price Reporting

DESCRIPTIVEContract & CustomerCompliance Reporting

DESCRIPTIVERevenue & Leakage ReportingROI Reporting

Understand Context

But the on us is still on humans getting it right….

Also known as the the Next Best Action….

QUOTE CONTRACT REVENUEOPPORTUNITY ERPPRICE

Page 8: Meet MAX… AI for Pricing & Contracting for Medtech & Pharma Manufacturers

Enter Machine Learning: Putting Rule-Based Systems… on Steroids

.

Page 9: Meet MAX… AI for Pricing & Contracting for Medtech & Pharma Manufacturers

Pricing & Contracting Recommendations and Guidance

Product

Starting, Target and Walkway Discounts

Account

Asset Lines

Historical Pricing Structures

Incentive Rules

CRM Data

Conversion Likelihood –With Rationale

Business Rules

Product Recommendations

Product Family (Group) Recommendations

Rebate Tier Guidance

Page 10: Meet MAX… AI for Pricing & Contracting for Medtech & Pharma Manufacturers

Balancing Descriptive, Predictive and Cognitive Insights

Page 11: Meet MAX… AI for Pricing & Contracting for Medtech & Pharma Manufacturers

Machine Learning is All Around Us

Page 12: Meet MAX… AI for Pricing & Contracting for Medtech & Pharma Manufacturers

Intelligent Agents leverage a Conversational Interface

To Simplify Usage, Drive Adoption

Naturally Aligned With How And Where Your Users Work

What if you could do this on your phone? Anytime, anywhere?

Machine Learning, Meet Intelligent Agent

Page 13: Meet MAX… AI for Pricing & Contracting for Medtech & Pharma Manufacturers

Driving the First Best Action

Assist

Guide

Coach

Elliott,

Why? Based on my analysis, I think there is a high probability to combine a renewal with the the OneOR solution to St. Lukes.

Good morning Gop,I have created a New Opportunity for St. Luke Hospital

Click here to start configuring the quote for the new offering and I will tell you how you should price it and your compensation on the sale.

Best selling,

Max Profits

NEW OPPORTUNITY LAUNCHED

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Page 14: Meet MAX… AI for Pricing & Contracting for Medtech & Pharma Manufacturers

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