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Covidien Canada Streamlines Integration and Processing of Fax-based Orders With GHX G-Fax(TM) Fax Conversion Service
Date:1/29/2009

Eliminating fax orders and associated manual processes in healthcare supply chain saves time and money for suppliers and their customers

MISSISSAUGA, Ontario and LOUISVILLE, Colo., Jan. 29 /PRNewswire/ -- Covidien Canada has selected GHX's G-Fax(TM) fax conversion service to streamline the electronic integration and processing of faxed orders from customers throughout Canada. Converting manual fax orders to electronic data interchange (EDI) or other electronic formats using the G-Fax service is expected to cut order processing costs by at least 50 percent.

The G-Fax service addresses one the biggest challenges in creating and managing healthcare supply chains: continued reliance on paper-based processes. A healthcare supplier may receive as much as 60 percent of its provider purchase orders via fax. Tracking missing faxes, trying to read nearly illegible copies, and manually validating data accuracy and routing information across various departments can be time-consuming and inefficient for both suppliers and their customers. With current manual processes, suppliers experience high labor costs and slow payment processing times, while customer service representatives often spend more time processing orders than assisting customers.

Covidien Canada has partnered with GHX since 2001 on a number of strategic supply chain initiatives. Recognizing the need to provide customers with flexibility in ordering methods, Covidien Canada chose the G-Fax service to easily convert orders from fax to EDI, which can be seamlessly integrated with its enterprise resource planning system. Faxes converted by the G-Fax service are delivered to a supplier within an hour and with a 95 percent error-free rate. This eliminates the need for supplier personnel to review and hand-key orders.

"When a customer places a fax order, we can now process it quickly and efficiently and speed up the time from order placement to fulfillment, invoicing and payment," said Martin Fraser, director of IS/IT at Covidien Canada. "By eliminating the manual processing of fax orders - and their associated inefficiencies - we can focus on what our customers care about: innovation and customer service."

The G-Fax service is the latest in a suite of tools utilized by Covidien Canada to streamline its supply chain. As part of GHX, which operates the largest electronic trading exchange and invoicing network in healthcare, the G-Fax service is a scalable global solution that is fast, secure and reliable. The G-Fax service has the flexibility needed to handle faxes that are in multiple languages, handwritten and/or of poor fax quality. The resulting electronic documents are easy to read and are accessible to customer service staff online to retrieve and audit fax history data. Furthermore, implementation of the G-Fax service is transparent to a supplier's customers, as customers do not need to change their existing fax ordering processes.

"We're committed to helping all of the stakeholders in the supply chain optimize efficiencies at every stage of the procurement process," said Nils Clausen, general manager for GHX Canada. "We're pleased to expand our partnership with Covidien Canada and assist them in improving business processes with their customers and trading partners."

About Covidien

Covidien is a leading global healthcare products company that creates innovative medical solutions for better patient outcomes and delivers value through clinical leadership and excellence. Covidien manufactures, distributes and services a diverse range of industry-leading product lines in four segments: Medical Devices, Imaging Solutions, Pharmaceutical Products and Medical Supplies. With 2008 revenue of nearly $10 billion, Covidien has more than 41,000 employees worldwide in 59 countries, and its products are sold in over 140 countries. Please visit www.covidien.com to learn more about our business.

About GHX

As the business hub for healthcare, GHX enables healthcare providers and suppliers in North America and Europe to reduce costs and improve margins by automating processes, reducing operating expenses and increasing knowledge-based decision making. Products and services include trading partner connectivity, order and contract management and validation, data synchronization, sales force automation and business intelligence. Equity owners of GHX are Abbott Exchange, Inc.; AmerisourceBergen Corp.; Baxter Healthcare Corp.; B Braun Medical Inc.; Becton, Dickinson & Co.; Boston Scientific Corp.; Cardinal Health, Inc.; Covidien; C.R. Bard, Inc.; Fisher Scientific International, Inc.; GE Healthcare; HCA; Johnson & Johnson Health Care Systems Inc.; McKesson Corp.; Medtronic USA, Inc.; Owens & Minor; Premier, Inc.; Siemens; University HealthSystem Consortium; and VHA Inc. For more information, visit www.ghx.com


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