ED ALBREKTSEN

McKesson A Business Units Internal Journey to a Better more Flexible Contact Center Solution Ed Albrektsen, McKesson Supplier Relations

McKesson Corporation at a Glance Delivering Better Health for More than 180 Years 183 $190B $3.7B in operating cash flow year history of serving customers in revenues Delivering 68,000 1/3 More than employees worldwide 13,000 of all prescription medicine in North America #5 2016 Fortune 500 list owned and banner pharmacies

McKesson Touches All Aspects of Healthcare Government Providers Hospitals Payers Consumers Pharmacies Pharmaceutical & Biotech Companies

The Specialty Ecosystem Supporting key stakeholders to drive better patient outcomes Leading position in community care Providers The leader in community oncology Leading position in rheumatology Increasing scale in emerging markets Strong relationship with payers Value-based care and OCM analysis Best-in class tools to optimize payer contracting National presence across specialties Patients Relevant to manufacturers Comprehensive portfolio of services for bringing products to market and sustaining success across the lifecycle Commitment to helping biosimilar and innovator manufacturers navigate a value-based world Manufacturers Payers

Specialty Distribution Innovative and optimized distribution, tailored for each class of trade Hospitals Retail McKesson Specialty Distribution We will focus most of our time on the community practice or clinic but our distribution team works with the manufacturers to deliver drugs to all classes of trade. . . Government Physician Clinic Specialty Pharmacy

Optimizing Access, Delivering Value We never forget that at the end of the pipeline is a patient in need of life-saving therapies and want to be your partner of choice, ensuring success for all stakeholders. We are better together.

Scottsdale Contact Center Bringing our Client Expectations to Life FY15 STATS Inbound calls offered: 2,056,780 Inbound calls handled: 1,968,338 Abandon percentage : 4.3% Total Outbound Calls : 1,182,985 Technology and Processes Core systems: Custom-developed CRM/Workflow systems supporting REMS, PAP, and Reimbursement operations ACD: Five9 VCC Five9 priority skilled routing CTI (SFDC) Workforce Management Solution: NICE IEX Workforce Optimization software (Forecasting, Scheduling, Real Time Management) Call Recording Solution: NICE Knowledge Management Tool: Wiki tool in SharePoint environment

McKesson Reimbursement, Access & Safety Services Medical and Pharmacy Inside Sale Programs Oncology Medical Benefit Co-Pay Programs Dynamic and Growing Strategic Consulting Services 40+ Unique Customers 100+ Unique Brands Patient Assistance Programs REMS Programs Once we had determined that the cloud solutions we had evaluated

Unique Challenges in our Contact Center Rapid staff ramp up of >40% to meet first quarter demands Dynamic ramp down to steady state staffing levels

Our Contact Center Challenges Cost to Implement or Maintain Total cost of ownership (TCO) includes up front payment, maintenance, software upgrades End of life cycle On premise implementations were going to be extremely costly and inflexible Controlling costs while improving performance is an ongoing challenge within our contact center.

Our Contact Center Challenges Speed to update programs or campaigns Time consuming process of updating programs Difficult and costly to change IVR scripting and routing Mixed service offering between internal and external service providers Trunk and network requirements

Our Contact Center Dilemmas Compliance with Security Requirements McKesson security requirements DNC Payment Card Industry Data Security Standards (PCI DSS) Sarbanes-Oxley (SOX) HIPAA Having a solution that enables compliance allows us to have confidence with every customer interaction.

Our Contact Center Challenges Expanding agent seat counts Need to scale based on program seasonality Paying annually for a full agent seat license meant we were paying for more than we were using No flexibility to quickly scale above our annual seat count

Enabled compliance with security requirements Low up front expenses On demand agents – able to scale instantly Easy & seamless transition from our current systems Cloud solutions enabled us to Provided flexibility and addressed all of our primary concerns and mitigated current roadblocks and challenges Low up front expenses Easy seamless transition from our current systems Enabled compliance with security requirements On demand agents – able to scale up and down instantly

Our Move to the Cloud Seamless implementation process Zero impact to the customer Zero impact to agent productivity Allows us to explore new applications Chat for improved patient experience Video for self-vaccinations Disaster Recovery Systems Enhanced disaster recovery plan Cloud geographic redundancy with interconnectivity to regional data centers

Our Move to the Cloud Benefits of going with Five9 20% improvement in agent productivity 35% reduction in overall operating costs 15% improvement in system uptime The results are clear

Our Move to the Cloud Having a Professional Team on your account Having a professional team and support system for your technology is 50% of the equation Two teams you should focus on Implementation team Support and service team On-site technical support Remote support Remote systems monitoring Notification process

Summary Cloud validated by financial models & organizational support Five9 ensured speed, agility, and growth Repeatable success, our impact on other McKesson divisions Once we had determined that the cloud solutions we had evaluated