Evolution of MES. Performance through Partnership. Nancy West, Head of Enterprise Services & Solutions Western Europe and Western Africa

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1 Nancy West, Head of Enterprise Services & Solutions Western Europe and Western Africa Performance through Partnership Evolution of MES Unrestricted Siemens Healthcare GmbH, 2017

2 MES.. Where it all began Early evolution Today Into the future Page 2 Unrestricted Siemens Healthcare GmbH, 2017

3 MES.. Where it all began Early evolution Today Into the future Page 3 Unrestricted Siemens Healthcare GmbH, 2017

4 The world s first MES partnership Royal Free London NHS Foundation Trust, Barnet, United Kingdom Challenge Modernise technology over the long term Predictable investments and value for money Continuously monitor performance results with transparency and reporting Healthcare engineering Asset management Guaranteed funding Minimal downtime The world s first MES partnership Total beds: ~460 A new-build PFI project On-site technicians and asset management systems No longer an internal competition for capital funding Helping to ensure achievement of waiting list targets We ve effectively ring-fenced the money that we need to invest annually in equipment and we have a rolling program for replacing machines at predetermined intervals, which means we re very well equipped. Dr. Andy Nicol, Clinical Director of Surgery and Anaesthetics at Barnet Hospital, Royal Free London NHS Foundation Trust Value contribution 33 years > 2500 items 98% availability technology partnership in Radiology, EBME and telecomms ( ) of clinical equipment provided over contract lifetime guaranteed for medical diagnostic equipment The results by Siemens customers described herein are based on results that were achieved in the customer's unique setting. Since there is no "typical" hospital and many variables exist (e.g. hospital size, case mix, level of IT adoption) there can be no guarantee that other customers will achieve the same results. Page 4 Unrestricted Siemens Healthcare GmbH, 2017

5 The underlying principles of MES Efficient operations Professional project & programme management Flexible financing & business models Technology commissioning Training management Value-based procurement Multi-vendor maintenance Future-proof planning Medical technology Life cycle optimisation Page 5 Unrestricted Siemens Healthcare GmbH, 2017

6 MES.. Where it all began Early evolution Today Into the future Page 6 Unrestricted Siemens Healthcare GmbH, 2017

7 MES: A new era? Bolton NHS Foundation Trust United Kingdom I would never go back to the time before the partnership. It is brilliant. We do not need to renegotiate service contracts every year. Another advantage is that our Trust today is attractive to new staff because they know we have up-to-date equipment. Catherine Walsh, Radiology Services Manager 15-year partnership: Excellent quality of services MedTech availability and appropriateness Improved budgetary stability Page 7 Unrestricted Siemens Healthcare GmbH, 2017

8 From a base of MES history and experience the momentum builds Siemens MES Contracts '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 Page 8 Unrestricted Siemens Healthcare GmbH, 2017

9 MES.. Where it all began Early evolution Today Into the future Page 9 Unrestricted Siemens Healthcare GmbH, 2017

10 The changing healthcare market Market Transformation Market Trends Demographic shift Rapid scientific progress Shift to value-based reimbursement Population growth Increasing cost pressure Consumerism Staff shortage Growing chronic disease burden Consolidation Building the critical mass Industrialization Doing more with less Managing Health Value-based healthcare Page 10 Unrestricted Siemens Healthcare GmbH, 2017

11 requires customers to increase outcomes while decreasing costs Extend clinical capabilities Manage reputation Improve quality of care Improve profitability Standardize care Stay competitive Increase efficiency Reduce risk & act compliant Attract, retain, develop workforce Balance fix vs. variables Page 11 Unrestricted Siemens Healthcare GmbH, 2017

12 Today s MES: enabling healthcare providers to succeed through long-term partnerships Enabling better outcomes Outcomes Costs at lower costs Page 12 Unrestricted Siemens Healthcare GmbH, 2017

13 Best practice, efficient workflow and optimal patient outcomes Managed Equipment Services Challenge Financial Performance Patient Outcome Overhead Burden Cut costs while continuing to deliver the highest standard of care and better treatment results Replace obsolete systems while not having the annual budget William Osler Health System, Ontario, Canada We now have a great partner who can help us to look at best practices, best workflow and optimal outcomes for patients. Healthcare engineering Procurement, replacement and maintenance of some 190 vendor-neutral diagnostic imaging equipment items for radiology and cardiology Financing and clinical solutions, professional services, room renovations, training for clinical users as well as onsite technical support Value contribution Joe Fairbrother, MD, Medical Director 15 yrs 99.6 % > years technology partnership in radiology System uptime exceeds agreed levels > 190 clinical equipment items The results by Siemens customers described herein are based on results that were achieved in the customer's unique setting. Since there is no "typical" hospital and many variables exist (e.g. hospital size, case mix, level of IT adoption) there can be no guarantee that other customers will achieve the same results. Page 13 Unrestricted Siemens Healthcare GmbH, 2017

14 Higher productivity and greater efficiency Managed Equipment Services Challenge Clinical Capabilities Process Efficiency Financial Performance Obtain state-of-the art equipment to improve clinical capabilities and offer new examinations Optimize processes and improve operational results Support cost effectiveness Zaans Medical Center (ZMC), Zandaam, Netherlands The utilization management and project management systems have helped us reach more productive results and efficiency through better response and resolution times. Martin Borggreve, Head of Radiology (right) Healthcare engineering 13-year partnership contract covering Provision of state-of-the-art medical technology Maintenance services, upgrades and replacements On-site operational management Solutions for lean clinical workflow Contractual basis for financing a new hospital building Value contribution % 135,000 Additional patients examined per month in CT System uptime exceeds agreed levels Annual savings through MES, compared to traditional procurement The results by Siemens customers described herein are based on results that were achieved in the customer's unique setting. Since there is no "typical" hospital and many variables exist (e.g. hospital size, case mix, level of IT adoption) there can be no guarantee that other customers will achieve the same results. Page 14 Unrestricted Siemens Healthcare GmbH, 2017

15 Sandwell and West Birmingham Hospitals NHS Trust, United Kingdom 10 year Siemens MES ( ) Together we are stronger Five hospital sites including new multi- million Midland Metropolitan Hospital, opening Oct 2018 Management services and solutions for all medical imaging equipment Clinical consultancy to optimise processes Technology roadmaps to ensure best fit at any time Helping the trust transform patient care in the area The outcome is a partnership which brings together our collective strengths that will work together to achieve our 2020 vision. Together we are stronger which, most importantly, is of benefit to our patients. Tony Waite, Director of Finance at SWBH NHS Trust Page 15 Unrestricted Siemens Healthcare GmbH, 2017

16 MES: So our customers can focus on what they do best Customers can focus on patient care, while we take care of the technology Page 16 Unrestricted Siemens Healthcare GmbH, 2017

17 Airedale Barnet Barts Blackburn Bolton Burnley Dudley IT Dudley MES E Cheshire Hampshire MMH Queen s N. Staffs MES N. Staffs PACS Southampton Wishaw Worcester Flexibility is key to modern MES success +63% Bid model Oct-16 +8% +15% +84% +9% +13% +6% +64% +10% +10% +21% -16% -3% 0% +32% +19% -6% Page 17 Unrestricted Siemens Healthcare GmbH, 2017

18 The way we measure and monitor MES success has evolved too Our inputs Outcomes delivered by our customers Page 18 Unrestricted Siemens Healthcare GmbH, 2017

19 MES.. Where it all began Early evolution Today Into the future Page 19 Unrestricted Siemens Healthcare GmbH, 2017

20 Siemens Healthineers MES: Where we are today > 20 years of experience in the management and project execution of customer partnerships > 30 major AMS contracts globally, with up to 40 years of contract duration Outcomes > 65,000 assets under management with a total value of > 500 million EUR Costs We serve customers on all continents Over 300 dedicated experts focus globally on AMS customer projects Page 20 Unrestricted Siemens Healthcare GmbH, 2017

21 Our MES experience and success enables the evolution to continue > 70% of critical clinical decisions are influenced by the type of technology we provide 1 > 46,000 employees > 12,500 granted patents globally 75 countries with direct presence Biggest supplier of medtech infrastructure World market leader in most businesses Access for 1.27 bn people in emerging countries bn revenue > 1 bn R&D spent > 209,000 patients every hour 3 1) AdvaMedDX, A Policy Primer on Diagnostics, June 2011, page 3 2) Siemens AG, Sustainability Information 2016, page 8 3) Siemens AG, Sustainable healthcare strategy - Indicators in fiscal 2014, page 3-4 Page 21 Unrestricted Siemens Healthcare GmbH, 2017

22 And we have the people to support the evolution 10% of employees with clinical background > 1,600 invention disclosures in ,660 R&D employees 17% of entire company 85% employee engagement 92% of employees committed to go the extra-mile A day without passion for healthcare is a lost day 50% of employees globally with Siemens Healthineers > 10 years Page 22 Unrestricted Siemens Healthcare GmbH, 2017

23 Nancy West Head of Enterprise Services & Solutions M +44 (0) E nancy.west@siemens-healthineers.com Page 23 Unrestricted Siemens Healthcare GmbH, 2017

24 Now s our time to inspire the future of healthcare Engineering success. Pioneering healthcare. Together. Unrestricted Siemens Healthcare GmbH, 2017