Medscheme chooses Iocore for R30 million Oracle ERP implementation

IOCORE`s Enterprise Business Solution (EBS) division has signed a R30 million contract with Medscheme to integrate a world-class technology solution into the fund management giant`s existing Oracle based information systems.

The company`s latest project forms part of a total Enterprise Resource Planning (ERP) upgrade within Medscheme, which will endow the company with a powerful infrastructure to optimally support its business activities, provide better control and enable it to quickly and flexibly adjust to business change and growth.

Medscheme is an integrated health fund manager delivering administration, scheme management and managed care initiatives services to 50 medical schemes. With a R9 billion premium income per year and a 35% market share it is bigger than its next three competitors combined.

IOCORE`s solution will include the integration of Oracle General Ledger; Accounts Payable, Accounts Receivable; Cash Management and Workflow modules within Medscheme`s ERP infrastructure, delivering to the company a stable and integrated business solution based on the best technologies and practices available.

The contract also includes integration into Medscheme`s existing custom-developed Oracle systems, consisting of its PULSE database with two main modules managing membership information and claims assessments respectively.

In addition to integration and implementation of the Oracle modules, software licensing has been negotiated through IOCORE, as has a three-year support contract.

The project will be undertaken from business planning, through IT strategy to technical implementation and Medscheme is currently working with IOCORE on tying up a highly detailed business requirement specification.

Gary Taylor, managing director: of Medscheme`s Group Services Division believes this approach will meet the exclusive requirements vital to Medscheme`s continued business success and afford the company multiple business benefits from its Oracle implementation.

According to Taylor, Medscheme thoroughly investigated the market and its major players before choosing a solutions partner.

"We were not only looking for a short-term solution, but one which will carry us into the future", he says. "Price was therefore not the only factor taken into consideration; our major concern was the need for a successful partnership between Medscheme and our applications provider in the long term."

Medscheme`s endorsement of IOCORE as its Oracle technology partner coincided with the announcement by Oracle SA of IOCORE as its Applications Partner of the Year, at the annual Oracle Excellence Awards function in Johannesburg on 19 October.

Taylor continues: "Reconciliation and maintenance of our huge membership database of 900 000 families are extremely complex, with changes encountered literally continuously.

"Our current systems handle more than 6 million claims and pay out approximately R700 million each month, with more than 50% of claims paid electronically.

"Ensuring efficient processing and payment of claims remain the backbone of Medscheme`s business, which is why we place a high premium on reliable information technology systems."

Helena Viljoen, divisional director: of scheme finance at Medscheme, adds: "We were also highly impressed by IOCORE`s implementation methodology, which is based on Oracles` AIM Methodology. The company has approached our needs in an extremely professional way, and has complied 100% with our request for proposal requirement."

A tight project schedule has required a well-staffed approach and a combined Medscheme and IOCORE team of 40 people will implement the new ERP system. Medscheme staff members are currently receiving focused training from Oracle SA.

"IOCORE will be providing the first line of support, although our own team, consisting of systems administrators, technical and business people, will continue with general support and maintenance after implementation," she says.

IOCORE forms part of a global group of IT services companies and is one of South Africa`s leading suppliers of best-of-breed solutions for a wide range of vertical market applications. IOCORE`s EBS unit specialises in providing users with the skills and expertise needed to utilise professional package solutions, mainly implementing Oracle and SAP software.

With more than 160 skilled Oracle consultants, IOCORE, a Certified Solutions Provider for Oracle and its first applications reseller in South Africa, is widely recognised as the solutions partner of choice for a growing number of large corporates.