Philips begins a major, 10-year strategic partnership in Germany

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Philips begins a major, 10-year strategic partnership in Germany

por Valerie Dimond, Contributing Reporter | October 23, 2020
Business Affairs European News
Marienhospital Stuttgart
Royal Philips and German hospital Marienhospital Stuttgart have signed a long-term agreement to boost the hospital’s diagnostic imaging equipment and associated IT systems, digitize the pathology department, and enhance its emergency medicine capabilities.

The new venture will commence with an analysis of the hospital’s current treatment structures and pathways, with the goal of improving costs and safeguarding the hospital’s investment security in all areas.

“Due to the long-term nature of our partnership with Philips, our hospital will not only actively participate in future technological advances in healthcare, but also become a leader,” said Markus Mord, managing director of Marienhospital Stuttgart, in a news release. “It will enable us to offer our patients diagnostic and therapeutic procedures that consistently meet the latest standards.”

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This agreement arrives on the heels of other recent partnerships that Philips has entered with large healthcare organizations. Earlier this week, Philips announced a new agreement with SimonMed Imaging, one of the largest outpatient imaging providers in the U.S., to deploy its 3T MR scanners.

Tampa General Hospital, a 1,006-⁠bed facility, is also underway with a seven-year system-wide upgrade with Philips technology, which will include replacement of all bedside patient and vital sign monitors and upgrades to key imaging equipment in its catheterization laboratories and interventional radiology rooms.

The new partnership with Marienhospital Stuttgart will include:

• Redesign of the hospital’s pathology department workflow, replacing conventional microscopes and glass slides with Philips’ high-performance digital pathology slide scanners and computer workstations, allowing images to be managed, displayed, analyzed and discussed with clinical colleagues.

• Redefining the radiology procedures, processes and IT systems, as well as coordinating equipment renewal and expansion. Under the terms of the agreement, Philips will be responsible for the procurement, installation, maintenance (including updates and upgrades) and servicing of all large radiology equipment.

• Enhancements to the hospital’s Clinic for Emergency Medicine with a holistic care approach, including assessment of patient safety, processes, procedures, technical equipment and staff working conditions.

Philips recently released its Q3 2020 results — and the news was good, with a 10% comparable sales growth and Adjusted EBITA margin improvement of 300 basis points to 15.4%, according to Philips CEO Frans van Houten.

"I am pleased that, under challenging circumstances, we have been able to execute our plans and return to growth and improved profitability for the Group in the third quarter,” he said.





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