Protecting the Health of Your Supply Chain

1. Protecting the Health of Your Supply Chain Vendormate VISION™ ©2008 Vendormate, Inc

2. Most Vendor Programs Start with Regulatory Compliance HIPAA Joint Commission Audits CDC AORN ACS Stark Law / Anti-Kickback OIG OFAC Homeland Security Deficit Reduction Act Federal Sanctions State Sanctions OIG Guidance: “III. Hospital Compliance Program Effectiveness”, sub-section B. 7. Employees, contractors and medical and clinical staff members checked routinely against government sanctions lists. Civil Monetary Penalty (CMP) for Medicaid Fraud: Up to $10K for each item or service improperly claimed plus up to 3X the total amount claimed improperly. • American College of Surgeons: Verify representatives in patient care areas are trained in: • HIPAA • Sterile techniques • Infectious disease • Occupational safety 2 4/15/2011

3. But Many Departments Have Concerns about Vendors Patient Safety Each function requires unique, as well as similar, vendor information ©2008 Vendormate, Inc 3

4. Vendormate VISIONTM A Business Credentialing and Compliance Monitoring Solution Potential Vendors Existing Vendors Vendormate VISION indexes over 150 fields of self-reported data about the vendor business and its representatives. Accessing over 1.7 billion public and private records, Vendormate VISION credentials Financial Health, Legal Status, Certificate and License Expiration, and Regulatory Compliance. Vendormate VISION continuously monitors vendor status, alerts buyers of any non-compliance, and delivers integrated badging. Ethics/Compliance - Legal - Procurement Risk Mgmt - Executive Mgmt

5. Business level Federal Tax ID Address, phone Number of employees Business description Insurance coverage Diversity status Geographic service capacity Stock ticker symbol Links to vendor website Representative level Contact information Years with company Certificates and Licenses Immunization documentation Product specialty by UNSPSC codes Product marketing materials Sales territory References Acceptance of hospital policies Conflicts of interest Vendormate VISIONTM Information is captured for potential and existing vendors. Accessing a private-label solution linked from your website, vendors enter self-reported data including… *Above list is a sampling of data captured.

6. Business BasicsType of businessFounding yearNumber of employeesHeadquarters country Business FinancialsRevenuesPublic-trading statusNet IncomeDays-beyond-termCommercial credit score Legal AlertsNumber of bankruptciesNumber and value of LiensNumber and value of judgmentsNumber of derogatory UCCs      Sanctioned Watch List OFAC PHS GSA FDA OIG Tri-CareDEA Federal RegisterOIG State Diversity Minority-owned certificationWomen-owned certificationVeteran-owned certificationSmall/disadvantaged certification Insurance Insurance limitsInsurance effective datesInsurance expiration dates Credentials and status are checked repeatedly, not just annually. Vendormate VISIONTM With over 100 different background checks, we verify business and representative information and rate vendors based on your custom criteria.

7. Vendormate VISIONTM Vendormate continuously monitors vendors through systematic compliance checks and performance scorecards. • Vendormate VISIONTM automatically evaluates… • Financial Health, Legal Status, Certificate and License Expiration, and Regulatory Compliance • Any instance of non-compliance triggers alerts • Email notifications to buyers and vendors • Flags displayed on the Buyer Dashboard • Scorecards provide a mechanism to capture and track vendor performance • Each employee can rate their experience with both the vendor company and its representatives • Responses to your customized questions are valued to produce an average score • Comments area is available to note specific issues and document a case history

8. Access Management Integrated Badges control access to your facilities Be assured all vendors on your premises are fully credentialed against your custom criteria Electronic sign-in with audit log of all vendors Badge displays name, date, appointment location, photo, vendor status, and individual status Benefits include enhanced hospital and patient security, JCAHO and HIPAA compliance, and audit trail of vendor foot traffic Missing Documents 4/15/2011 8

9. Match Requirements to Your Goals

10. Your Program. Your Policies. Vendor Funded. Vendors bear the cost of screening and due diligence The health system receives the Vendormate VISIONTM solution for… No software costs No licensing/user fees No capital investment No maintenance fee Annual vendor company subscription fee for your program: High Profile = $250 Medium Profile = $100 Low Profile = $25 HOSPITAL – Vendor Program Initial representative pays subscription fee for all company representatives Rep 2 -- No $ Rep 3 -- No $ Rep 4+ -- No $

11. Vendor-side ManagementOfferings Ease Participation Vendormate Open Access Opens the doors to ALL Vendormate healthcare customers with one annual fee whether 1,000 representatives or independent Vendormate Credential CentralOutsource the entire credentialing and documentation management process. Vendormate Standard Traditional per system model

12. Reporting CapabilitiesStandard Reports Vendormate provides 24 standard reports that are available to all users of the system (list provided below).  The data for each report is represented in real-time; and every report can be exported into any of the following formats - PDF, Excel, comma separated values (CSV) text file, and XML.  • Failed Insurance Alert Vendors • Failed Diversity Alert Vendors • Score Alert Vendors • Conflict of Interest Vendors • Diversity Vendors • All Vendor VQM Alerts • GPO Vendors • Vendors in My Categories • All Reps, All Vendors • My Appointments • All Appointments • VQM Calculator Report Newly Registered Vendors Vendor Sign In/Out Log Failed Sanction List Vendors Failed Sanction List Vendor Reps Vendor Document Audit Report Representative Document Audit Report Vendor Acknowledgment Audit Report Representative Acknowledgment Audit Report Vendor Risk Profile Report Rep Risk Profile Report Vendors in My Categories Failed Fin/Legal Warning Vendors Proprietary and Confidential ©2009 Vendormate, Inc

13. Tracking Performance • Reports in the application provide details or exception stats in real time or near real time • Custom reports compare you to Vendormate industry norms

14. Ongoing Education Tools Online tutorials keep the program current. Overview Your Vendormate vendor management program is designed to compliance, credentialing, and other best business practice requirements. This brief introduction ties together the essential elements of your program and outlines your role in its success. Sign In and Sign Out Learn the simple steps to sign in and out vendor representatives who visit your facility. Creating AppointmentsUse the appointment scheduling feature to eliminate unscheduled visits from vendor representatives. Vendor Registration OverviewVendor representatives can use this overview to understand the basic steps in registering with a Vendormate-based vendor management program.

15. Vendormate Vendor Credentialing and Compliance Solution • Registration • Vendor representatives register ata Private Label web portal • Sanction Checks • OIG, GSA, OFAC, Tri-Care, Federal Register, FDA, OIG State • Monthly checks • Vendor Company and Vendor Representative Level checks • Hospital Policies • Rep risk profiling – Custom-defined by facility and department requirements • Vendor Representative agreeing to Hospital specific policies • Required Vendor Representative Credentials • Rep risk profiling -- Custom-defined by facility and department requirements • Procedural Areas • Immunizations • Competency Certifications • Business Financials and Legal Alerts • Days-beyond-term • Commercial credit score • Insurance limits and effective dates • Number of bankruptcies • Number and value of liens • Number and value of judgments

16. Drive Faster Vendor Participation Leverage our extensive implementation experience with multi-level communication and marketing campaigns.