In this presentation, Mr. Degotte, Chief Financial Officer at CHR Citadelle, tackles the various dimensions you need to take into account while implementing SAP within an healthcare environment. Discover how both aforementioned hospitals got the best out of SAP thanks to Xperthis.

1. SAP implementation in CHR and CHU hospitals (Liège )
NRB SAP Day
Benoit Degotte, CFO 06/10/2016
Brussels

2. Business Case
Presentation C.H.R.de la Citadelle – C.H.U. Liège1
2
The ERP4HC project3
Conclusions4
Agenda
2
 Needs
 Initial steps
 Selection criteria
 Challenges
 Key success factors

3. 1 Presentation C.H.R.de la Citadelle – C.H.U. Liège
Site Citadelle
(site principal)
Site de Sainte
Rosalie
Site du Château
Rouge
Site du Valdor
Site admin des
Hauts Sarts
Site du CIMC
Site du Sart
Tilman
Site N.-D. des
Bruyères
Site Ourthe-
Amblève
Polyclinique
Lucien Brull
Polyclinique
Sauvenière
Polyclinique
d’Aywaille
Site de
Grivegnée
(entrepôt gros
volumes)
Site de Chênée
(achats et logistiques)
600 doctors400 doctors
+1000 beds 925 beds
3500 employees 5000 employees
3

4. Business Case
Presentation C.H.R.de la Citadelle – C.H.U. Liège1
2
The ERP4HC project3
Conclusions4
Agenda
4
 Needs
 Initial steps
 Selection criteria
 Challenges
 Key success factors

5. Business Model Canvas ROI drivers
• Strategic
• Productivity
• Operational
Valuation Method
• Quantitative
• Qualitative
ROI drivers analysis
Business Case
5
2 Business Case : Four insights

6. 6
2 Business Model Canvas Healthcare
Physicians
Medical
Network
Suppliers
Parastatal
Agencies
Donors &
Granting
bodies
Governmental
& Non-
Governmental
Organisations
Provide Full
Range of
HealthCare
Develop
Supply
Chain of
Medicines
Train
HealthCare
Workers
Collect and
Share
Medical
Data
Hospital
Facilities
Internal &
External
Staffing
Agreements
with
Government
Medical
Assets
Information
systems
Dedicated
Personal
Assistance
Residential &
Ambulatory
Care
Curative
Care Patient
Preventive
Care Patient
Patient
Portal
Social
Medias
Website
Physical
contacts in
infrastructu
res
Provide
Data on
HealthCare
Provide
Curative
HealthCare
Services
Provide
Preventive
HealthCare
Services
Insurance
Financial
Contribution
Patient
Financial
Contribution
Parastatal
Financial
Contribution
Public
Funding
Donors &
Donations
Supplies
Amortization
&
Depreciation
Operations
Physicians
Fees
Staff
Salaries

7. 7
2 Business Model Canvas Healthcare
Physicians
Medical
Network
Suppliers
Parastatal
Agencies
Donors &
Granting
bodies
Governmental
& Non-
Governmental
Organisations
Provide Full
Range of
HealthCare
Develop
Supply
Chain of
Medicines
Train
HealthCare
Workers
Collect and
Share
Medical
Data
Hospital
Facilities
Internal &
External
Staffing
Agreements
with
Government
Medical
Assets
Information
systems
Dedicated
Personal
Assistance
Residential &
Ambulatory
Care
Curative
Care Patient
Preventive
Care Patient
Patient
Portal
Social
Medias
Website
Physical
contacts in
infrastructu
res
Provide
Data on
HealthCare
Provide
Curative
HealthCare
Services
Provide
Preventive
HealthCare
Services
Insurance
Financial
Contribution
Patient
Financial
Contribution
Parastatal
Financial
Contribution
Public
Funding
Donors &
Donations
Supplies
Amortization
&
Depreciation
Operations
Physicians
Fees
Staff
Salaries
P
P
P
P
P
P
P

8. 8
Strategic
2 BMC : ROI Drivers for an ERP
Physician
Fees
Accounting
Standard
Hospital
Business
Processes
Information
Security
SaaS-Based
ERP
Solution
Merger,
Acquisition &
Regrouping
Processes &
Services
oriented
organization
Enable
Hospital of
the Future
Enable
Financial part
of Patient
Portal
Financial
Performance
optimization
Financial
Performance
optimization
Asset
Management
Integration
with
External
Systems
Procurement
Process
Apps & Systems
Decommissioning
Accounting
& Financial
Close
Accounting
& Financial
Close
Single Data Entry
Inventory
Spent Analysis
Spent Reduction
Invoice to Pay
IT Operations
& Services
Financial
Performance
Management
Treasury & Financial Risk
Management
Treasury & Financial Risk
Management
Financial
Performance
Management
Productivity Operational

9. 9
Enhance
Effectiveness
Reduce
Improve
Time
efficiency
Minimize
Optimize
Cost
efficiency
Enable
Innovation
2 ROI Driver Analysis

10. Financial Performance Optimization will enable:
- Conduct predictive Financial Management
- Benchmark financial performance with external
healthcare players
- Optimize financial ratio’s
- Free-up budget
And will lead to:
- Continuous reporting
- Real-time analytics
- Improved reporting reliability
EnhanceEffectiveness
EnableInnovation
10
2 Main Driver : Financial Performance Optimization

11. The spent analysis & reduction will enable to:
- Identify suppliers classes by volume & value
- Improve the negotiation position
- Potentially reduce the number of suppliers
- Optimize consumption
- Improve inventory rotation
And will lead to:
- Minimal 3% less spending in purchase
- Recurrent savings
- Strategic Vendor Management
- Administrative simplification
Minimize
Optimize
Cost
efficiency
EnableInnovation
2 Main Driver : Spent Reduction & Analysis
11

12. Process & Service Oriented Organization will enable to:
- Implement cross-departmental SLA’s
- Apply lean management principles
- Define process based roles
And will lead to:
- Measured Services performance
- Operational excellence
- Enhanced internal & external stakeholders’ satisfaction
- Improved human resources allocation
Minimize
Optimize
Cost
efficiency
Reduce
Improve
Time
efficiency
2 Main Driver : Process & Service Oriented Organisation
12

13. The Single Data Entry & Information Security will enable to:
- Simplify exception management
- Conduct in-depth budget control
- Comply with legal requirements
- Lower risk level
And will lead to:
- Higher level of data quality
- Traceability & fraud detection
- Single version of the truth
- Higher productivity
Minimize
Optimize
Cost
efficiency
EnhanceEffectiveness
2 Main Driver : Single Data Entry & Information Security
13

14. ROI
Business Model
Canvas
Valuation Method Benefit Impact Metric
Productivity Cost Quantitative
Invoice to pay & invoices
dematerialization
Staff optimization
Less outstanding
#FTE
#days outstanding
The Invoice to Pay process will enable:
- To reconcile invoice & purchase orders in an automated way
- To limit manual reconciliation to the exceptions
- To have a better control on the payment schedules
- To reduce the number of errors and disputes
And will lead to:
- Free up workforce for other tasks
- Potential staff optimization
- Better control on the treasury
- Systematic use of the procurement process
2 Main Driver : Invoice to Pay & Invoices Dematerialization
14
Minimize
Optimize
Cost wise
efficiency
Reduce
Improve
Time
efficiency

15. ROI
Business Model
Canvas
Valuation
Method
Benefit Impact Metric
Operational Key Resources Quantitative Asset Management Life-cycle management # € (cost savings & investment optimisation)
The centralized asset management will enable:
- To manage all assets in a comprehensive way
- To plan investments based on defined life-cycles
- To optimize maintenance schemes
- To reduce the number of equipment failures
And will lead to:
- Replacement and rehabilitation investment smoothing
- Recurrent savings on maintenance
- Equipment standardization
2 Main Driver : Asset Management
15
Minimize
Optimize
Cost
efficiency

16. ROI
Business Model
Canvas
Valuation
Method
Benefit Impact Metric
Strategic Partnerships Qualitative Physicians’ Fees Accounting Enhanced confidence & transparency
Partner satisfaction;
Staff attraction & retention
The Physicians’ Fees Accounting module will enable:
- To apply a systematic and correct fees calculation
in a centralized and comprehensive way
- To book timely the calculated fees
- To reduce the number of errors and disputes
And will lead to:
- A full control of the physicians fees either
by the hospital or by the physician
- More confident relationship
- Enhanced hospital reputation
2 Main Driver : Physicians’ Fees Accounting
16
Minimize
Optimize
Cost wise
efficiency
Reduce
Improve
Time
efficiency

17. 17
ROI
Business Model
Canvas
Valuation
Method
Benefit Impact Metric
Strategic Value proposition Quantitative Enable hospital of the future Readiness
Operational excellence
achieved by IT landscape
integration
Strategic Channels Qualitative
Financial follow-up through Patient
Portal
Administrative simplification;
Access to additional
information
Customer satisfaction
Less burden for admin
employees
Strategic Key Resources Qualitative Information security
Legal compliance;
Fraud detection
Lower risk level
Strategic Cost & Revenue Qualitative Financial Performance Optimization
Predictive financial
management enables
benchmarking
Data quality
Reporting reliability
Strategic Key Resources Qualitative Process & Service-Oriented Organisation Inter-departmental SLAs Service levels
Strategic Partnerships Qualitative Physicians’ Fees Accounting
Enhanced Confidence &
transparency
Partner satisfaction
Staff attraction &
retention
Strategic Key Resources Qualitative Merger, Acquisition & Regrouping
Facilitate and accelerate
integration
#days (reduced time for
scale benefits)
Strategic Key Resources Qualitative SaaS-based ERP solution Evolutive best practices
Improved operational
excellence
Strategic Key Activities Qualitative Standard Hospital business processes Process Simplification Service levels
2 Strategic ROI drivers

18. ROI
Business Model
Canvas
Valuation
Method
Benefit Impact Metric
Productivity Cost Quantitative Spent analysis Strategic vendor management
# vendors
€ cost of purchased goods &
services
Productivity Cost Quantitative Inventory Optimized stock levels € stock (stock rotation)
Productivity Cost Quantitative Spent reduction Optimized consumption € savings
Productivity Cost Quantitative
Invoice to pay
(automated workflow &
invoice dematerialization)
Staff optimization
Less outstanding
# FTE
# days outstanding
Productivity Cost Quantitative Single data entry
Higher level of Data Quality
Simplified exception
management
Traceability
Budget controlling
# errors
# FTE
Productivity Cost & Revenue Qualitative
Financial Performance
Management
Financial analytics # days for reporting
Productivity Cost & Revenue Quantitative
Treasury & Financial Risk
Management
Optimized cash flow €
Productivity Cost Quantitative
IT Operations & Services
(SaaS – model)
IT costs reduction
€
# FTE
2 Productivity ROI drivers
18

19. 19
ROI
Business Model
Canvas
Valuation
Method
Benefit Impact Metric
Operational Cost Quantitative Controlled & simplified procurement process Lean process
€
# days (lead time)
Operational Cost Quantitative Decommissioning of applications & systems IT cost reduction €
Operational Cost & Revenue Quantitative Accounting & financial close Financial soft close # days
Operational Cost Quantitative Integration with external systems IT cost reduction €
Operational Key Resources Quantitative Asset Management Life-cycle management
# € (cost savings &
investment
optimization)
2 Operational ROI drivers

20. Business case
Presentation C.H.R.de la Citadelle – C.H.U. Liège1
2
The ERP4HC project3
Conclusions4
Agenda
20
 Needs
 Initial steps
 Selection criteria
 Challenges
 Key success factors

21. 21
HARPEGE « HARmonisation des Processus et Excellence en GEstion »
3 The ERP4HC project
Needs
Initial steps
Selection
criteria
Challenges
Key success
factors

22. 22
IT landscape
modernisation
Information flows
rationalisation
Transparency of operations
through all business
processes
Seamless access to data
Document Management
System
Better cost controls
Traceability
Reporting
Flexible, scalable and
open solution
Meet changing legal
requirements
Meet organizational changes
3 The ERP4HC project NEEDS
Multi-
site
Multi-
shop
Multi-
user
Multi-
chart of
accounts
Multi-
period
Multi-
language
Multi-
currency
Process alignment on market best practices
Adopt, not adapt
Replace various tools by one integrated tool
Reduce errors - Speed up processes - More transparency
- More reliable information - Simplified maintenance Scope : Procurement & Finance

23. 23
12/12
2014
• Information session related to the Request for proposal
(24 candidates – 7 attending)
30/01
2015
• Opening of the offers and qualitative selection
(4 offers retained)
05/05
2015
• Presentation of the different offers – formal & material examination
(3 offers considered)
26/05
2015
• Comparative analysis comparative of admissible selection
(2 offers analysed)
With an external company for “Assistance à la maîtrise d’ouvrage”
3 The ERP4HC project INITIAL STEPS
SCORING Poids
Note offre de
base
Note Variante
obligatoire
Critères détaillés pour évaluer la qualité technique de l’offre 20 19.5 19.5
Qualité fonctionnelle de l’offre 20 14.5 19.5
Qualité technologique de la solution, notamment sur le plan de l’intégration avec
l’architecture applicative et technique du CHU et/ou du CHR
20 12.6 18
Approche méthodologique, gestion de projet en terme d’implémentation, de lanning, de
formation, de transfert de connaissances et de compétences
6 3.7 5.7
QUALITÉ TECHNIQUE DE L’OFFRE 66 50.3 62.7
PRIX 34 23 21.9

24. 24
The Harpège project
3 The ERP4HC project SOLUTION SELECTION
Xperthis’
ERP4HC
solution
Based on SAP (ERP worldwide leader)
Already in place in 50 Belgian hospitals
To be Hana technology (in memory)
To be SaaS mode at NRB
Very Good hospital functionalities coverage
Solution confidence (Processes demonstration)

25. 25
The Harpege project
3 The ERP4HC project PLANNING
Phase 1
Préparation
Conception générale
Réalisation
Validation
Formation utilisateurs
Préparation finale
Go live
Support phase 1
Opérations
Phase 2 (pharma, 3P, portails)
Réalisation
Validation
Formation utilisateurs Ph 2
Préparation finale Phase 2
Go live Phase 2
Support Phase 2
Mar.Oct. Nov. Dec.
2016
Juil. Août Sept.Mai Dec.
2017
JuinJan. Fév Mar. Avr.Oct. Nov. Dec. Avr. Mai JuinJan. Fév. Juil. Août Sept. Oct. Nov.
April 2017 :
Finance and
Procurement
November 2017 :
Integration pharma
Patients and suppliers portals

26. 26
Common suppliers’
database
Product information
(articles)
Chart of accounts Analytical structure
Reference
data
The Harpege project
3 The ERP4HC project PREPARATION
Data migration
Workshops to harmonise
the source data before
project launch
Common working site for
migration of common
reference data
Carried out in S1 2015
Restitution on 10/09/2015
SPF SOUS-DISCIPLINE SITE PROJET
xxx xxx x (xxx)
Sous-discipline
Discipline
Groupe
QUI ?
QUOI ?
CF - SPF
OU ?
POURQUOI ?
SITES
PROJETS

27. 27
Important change
• Organizational
• Functional
Innovation
Centralized management of repositories
Purchases relay (purchase requisition)
in services
Workflows
Integration in an hospital ecosystem
•EPR
•TarFac
•Patients and suppliers portals
•Labo & Pharma
3 The ERP4HC project CHALLENGES

28. 28
Prince2-based
Steering committee
• Strategic decisions
• Monthly meetings
Project committee
• Weekly meeting
• Operational decisions
Working groups
• Ad-hoc meetings
• 50 key users
• Functional and technical
decisions
Governance &
methodology
User identification
• Project Team :
• Key users (50)
• Contributors/Change
agents (140)
• Final users (800)
Communication channels
• Meetings (Kick-off, monthly
information meetings, …)
• Newsletter
• Intranet
• SharePoint website
(www.harpege.be)
• Documentation
• Contacts list
• Agenda
• …
• Roadshow for management
Communication
strategy
Change
management
Integration
3 The ERP4HC project KEY SUCCESS FACTORS
Dedicated Team
Training
• Train the Trainer
• Training men/day (350)
• Training Sessions (50)
Less is More Policy
Specific Testing

29. Business case
Presentation C.H.R.de la Citadelle – C.H.U. Liège1
2
The ERP4HC project3
Conclusions4
Agenda
29
 Needs
 Initial steps
 Selection criteria
 Challenges
 Key success factors

30. 30
4 Conclusions
Strategic project 
support from top
management
Adopt a solution 
risk & change
management
ERP is a tool for all
players in the
hospital - from the
Management
Committee to the
nurses to
physicians...
The sky is the limit
…

31. 31
Thank you !