Medical Dealer - July 2017

MEDICAL EQUIPMENT, PARTS & SERVICE

JULY 2017 | WWW.MEDICALDEALER.COM

multi -market healthcare consolidation as the new normal

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CONTENTS_Features 42 MERGER MANIA

48 CORPORATE PROFILE

Consolidation and expansion remain dominant narratives of the U.S. health care industry. Efforts to drive greater economies of scale have reverberated throughout the market. In adapting to the dynamics of an increasingly vertical industry, getting bigger helps diversify risk, but it also complicates things.

Avante Health Solutions is making it easier and more affordable for every hospital, clinic and medical practice to have the very best equipment, supplies and service, therefore doing its part to help providers improve the practice of medicine. By bringing together DRE Medical Group, Integrated Rental Services, Global Medical Imaging, Oncology Services International (OSI), Pacific Medical Group and Transtate Equipment Company, you can now find everything you need from one integrated solutions partner.

Medical Dealer (Vol. 20, Issue #7) July 2017 is published monthly by MD Publishing, 18 Eastbrook Bend, Peachtree City, GA 30269-1530.

POSTMASTER: Send address changes to Medical Dealer at 18 Eastbrook Bend, Peachtree City, GA 30269-1530.

For subscription information visit www.medicaldealer.com. The information and opinions expressed in the articles and advertisements herein are those of the writer and/or advertiser, and not necessarily those of the publisher. Reproduction in whole or in part without written permission is prohibited. © 2017

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MEDICALDEALER 9

INDUSTRY UPDATE 13 News & Notes MD Publishing 18 Eastbrook Bend Peachtree City, GA 30269 (800) 906-3373 Fax: (770) 632-9090 Publisher

John M. Krieg john@mdpublishing.com

Vice President

Kristin Leavoy kristin@mdpublishing.com

Editor

John Wallace jwallace@mdpublishing.com

Art Department Jonathan Riley Jessica Laurain Kara Pelley

20 People on the Move 22 OEM Update

MARKET ANALYSIS Imaging: Probes 27 Market Analysis 28 Product Showroom 31 Summit Imaging Q&A 32 Preferred Vendors Med/Surg: SUD 37 Market Analysis 38 Product Showroom 41 Preferred Vendors

Account Executives Jayme McKelvey Lisa Gosser

Contributors

Jim Fedele Matthew N. Skoufalos Dan Bobinski

SLICE OF LIFE 54 Dan Bobinski 56 The Other Side 60 Pay It Forward

Accounting

Kim Callahan

Circulation

Lisa Cover Laura Mullen Jena Mattison

71 Marketplace 72 Categorical Index 74 Alphabetical Index

Web Department Cindy Galindo Kathryn Keur

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INDUSTRY UPDATE_News & Notes

GREAT HILL PARTNERS ACQUIRE PARTSSOURCE PartsSource has announced that suppliers and OEMs to over 3,300 it has been acquired by Great Hill hospitals worldwide.

Partners, a leading growth-oriented “PartsSource has experienced private equity firm. The acquisition rapid growth in recent years and will allow the company to accelerate has emerged as the leader in the its sales and marketing investments medical supplies procurement and further position the company to space, empowering our customers execute on its growth plan. to drive costs out of the health care “PartsSource’s e-commerce delivery system while improving technology has disrupted a workoutcomes,” said PartsSource CEO flow that has historically been Phil Settimi, M.D. “We are pleased offline, allowing providers to main- to collaborate with Great Hill, who tain their facilities efficiently and will offer both the experience and more cost effectively,” said Mark resources to fully maximize the Taber, a managing partner of Great value of our health care solution, Hill. “We are delighted to partner while maintaining our commitment with Phil Settimi and the entire to first-class customer service, PartsSource team to help them innovation and quality.” continue to expand their market “We believe PartsSource has leadership.” tremendous growth potential as Founded in 2001, PartsSource’s procurement teams within health core electronic spend management care seek ways to digitize their platform automates the procureworkflows via a one-stop-shop for ment process of medical parts and medical parts and supplies,” Rafael supplies from product sourcing to Cofiño, a partner with Great Hill financial settlement, incorporating Partners, added. “It has been excitproprietary analytics to optimize ing to watch them build the online compliance, efficiency, cost and category leader.” quality. In addition to automat“I am proud of the team that has ing the highly complex workflow contributed to PartsSource’s emerassociated with procurement, the gence as the leading procurement company created and maintains the solution for the health care indusindustry’s only online, fully intetry and believe we have found the grated parts procurement marketright partner in Great Hill to build place. PartsSource facilitates more on its accomplishments to date,” than 1.5 million transactions anPartsSource founder and Executive nually by connecting thousands of Chairman Ray Dalton said.

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PartsSource will join Great Hill Partners’ portfolio of health care companies including Qualifacts, RxBenefits, PlanSource, Passport Health Communications (acquired

by Experian for $850 million), SterilMed (acquired by Johnson & Johnson) and bSwift (acquired by Aetna for $400 million). Additionally, Great Hill has extensive experience in e-commerce and electronic marketplaces, including companies such as Wayfair, The Shade Store, Cliq Studios and Momondo (acquired by The Priceline Group for $550 million).

As part of the transaction, Mark Taber, Rafael Cofiño and Cheng Li will be joining the PartsSource’s Board of Directors. Sellers in the transaction include Ray Dalton, Polaris Partners and Primus Capital Funds. Financial terms of the deal were not disclosed.

Robert W. Baird & Co. served as exclusive financial advisor to PartsSource. Goodwin Procter LLP served as legal advisor to Great Hill Partners. Jones Day LLP served as legal advisor to PartsSource. •

MEDICALDEALER 13

INDUSTRY UPDATE_News & Notes

FDA GRANTS MARKET CLEARANCE TO NEW PERIPHERAL ARTERY DISEASE TREATMENT The Food and Drug Administration (FDA) has granted market clearance to Ra Medical Systems’ DABRA System. DABRA (Destruction of Arteriosclerotic Blockages by laser Radiation Ablation) changes the paradigm of vascular treatments clinically and economically.

More than 200 million people worldwide suffer from Peripheral Artery Disease, a life-threatening condition in which the arteries that carry blood from the heart to the legs and arms narrow and become blocked. In the United States and Europe, PAD is responsible for approximately 240,000 amputations every year. Nearly one-quarter of these patients die within 30 days and almost half within a year of their limb amputation.

“DABRA’s pivotal study demonstrated 95 percent success without any clinically significant adverse events,” said Ehtisham Mahmud, M.D., study chair and Chief of Cardiovascular Medicine, Director of Sulpizio Cardiovascular Center-Medicine and Director of Interventional Cardiology at the UC San Diego School of Medicine. “Furthermore, the DABRA Catheter is unique in its ability to cross Chronic Total Occlusions (CTOs) without having to cross the lesion with a wire, and it also debulks and modifies arterial blockages, making it an invaluable clinical tool.”

Compared to other treatments for arterial blockages, Ra Medical Systems’ DABRA has a shorter procedure time and is less expensive.

Combined with its safety profile, these DABRA advantages may reduce the costs associated with treating PAD and ultimately lead to greater patient access to, and success with, interventional procedures instead of limb amputation. • 14 MEDICALDEALER | JULY 2017

Staff Reports

WASHINGTON HOSPITAL HEALTHCARE SYSTEM RECEIVES AWARDS In recognition of successful programs to reduce environmental impact, Washington Hospital Healthcare System has received two awards from Practice Greenhealth, the nation’s leading organization dedicated to environmental sustainability in health care. These Environmental Excellence Awards are given each year to honor environmental achievements in the health care sector.

“We are very proud of these honors,” said Nancy Farber, chief executive officer of the 341-bed, acute care hospital. “As health care providers, sustainability is at the core of our healing mission and central to protecting the health of our patients, staff and community.”

First, Washington Hospital received a Partner for Change Award from Practice Greenhealth, the seventh time this honor has been presented to the Hospital.

The Partner for Change Award recognizes health care facilities that continuously improve and expand upon programs to eliminate mercury, reduce and recycle waste, source products sustainably, and more. Winning facilities must demonstrate that they are recycling at least 15 percent of their total waste, have reduced regulated medical waste, are on track to eliminate mercury, and have developed successful sustainability programs in many areas.

Second, the Hospital has been honored for the first time with a Greening the OR Recognition Award.

The OR Recognition Award acknowledges facilities that demonstrate success in reducing the environmental impact of its surgical suites. Operating rooms are large contributors to a health care facility’s environmental footprint, creating opportunity for significant cost savings and sustainability improvements. The award builds on the Greening the OR Initiative led by Practice Greenhealth, which in 2015 alone helped participating facilities save $41.7 million while avoiding 2,150 tons of waste and more than 9 million kWhs of energy.

Hospital improvements that led to the Practice Greenhealth recognition include water reduction efforts through the replacement of older technologies with new ones that use less water, such as sterilizers and chillers.

“In addition to replacing technology, we’ve replaced a lot of landscape with more drought-tolerant landscaping,” said Paul Kelley, director of Biomedical Engineering and leader of Washington Hospital’s Green Team. “One such landscaping project consisted of using river rocks that were dug up during construction of our new Morris Hyman Critical Care Pavilion which will open in 2018. Another example is our continued reduction of paper usage, plus an increase in the recycled content of our copy paper.”

Changes in the OR include a single-use reprocessing program.

“We’ve started a single-use reprocessing program that reduces our environmental impact while maintaining patient safety,” explained Kelley, “and continued our OR recycling program, which diverts noncontaminated paper and plastics from surgical cases. We also have new methods to eliminate wasted materials from surgical cases.”

The awards were presented at the Practice Greenhealth Environmental Excellence Awards Gala in Minneapolis, Minnesota, at the conclusion of the CleanMed Conference & Exhibition. • MEDICAL EQUIPMENT, PARTS & SERVICE

_News and Notes

COLLIMARE YOUR FIRST CHOICE

OLYMPUS EYES IMAGE STREAM MEDICAL INC. Olympus Corporation of the Americas (OCA) has signed a definitive agreement to acquire Image Stream Medical Inc. This acquisition will further enable both companies to improve clinical outcomes, reduce overall costs and enhance quality of life for patients.

Image Stream Medical’s technology and knowhow has made sophisticated visualization and health care environment integration for their customers simple and intuitive. Image Stream Medical’s unique expertise includes a deep knowledge of IP-based image management solutions, the ability to offer superior end-to-end workflow for every clinical specialty, an approach to IT backbone technology which unifies separate clinical areas allowing complete enterprise-wide access to critical data and media, and the proven experience leveraging Information and Communications Technology (ICT) to provide new, value-added services for health care facilities.

“We are very happy to welcome Image Stream Medical to the Olympus family,” said Nacho Abia, OCA President and CEO. “Image Stream Medical is a top tier integration provider that continues to experience consistent market growth on the strength of its products and operational excellence. This relationship provides us with an exciting opportunity to enhance the continuum of care throughout the health care enterprise. We believe the acquisition of Image Stream Medical will accelerate our progress in achieving the universal goals of health care reform and furthers our ability to achieve our mission of contributing to society by making people’s lives healthier, safer and more fulfilling around the world.”

The acquisition will initially benefit the business and customers in the U.S. and it will help Olympus to subsequently create a systems integration platform. Olympus and Image Stream Medical customers will experience no immediate changes in resources, services or contacts. Over time, customers will have the opportunity to enhance their systems integration implementation based on an expanded and enhanced portfolio and expertise. Image Stream Medical will continue to operate as a wholly owned subsidiary under the existing name for the foreseeable future. •

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INDUSTRY UPDATE_News & Notes

TWO MEDICAL EQUIPMENT COMPANIES LAUNCH NEW BUSINESS Beacon International and Express Systems and Parts Network have announced a joint equipment, parts and service company named Phoenix Medical.

Phoenix Medical’s new office has opened in Cairo, Egypt and will service the Middle East and Africa. Phoenix Medical has hired Hamdy Hassan to head operations in Cairo. Hassan is an industry veteran with 30 years of experience and has recently retired from Philips.

“We are excited with this opportunity as it has been in the works for a very long time. Phoenix Medical is a natural progression as our customers have requested parts sales and support for the equipment they have purchased from us. We are now able to provide throughout the Middle East and Africa the equipment sales, parts support and the technical expertise customers have been asking for,” said Jon DeRoost, president of Beacon International.

Akram Abdelaal, President of Express Systems and Parts Network, agreed.

“We finally came up with the formula to work in the Middle East and Africa, having the opportunity to sell parts and service,” Abdelaal said.

“With today’s currency changes and the need for more parts and services than ever before, we have established a company that can meet and surmount these challenges.” •

Staff Reports

CHANGE HEALTHCARE TAPPED ENTERPRISE IMAGING PARTNER Schneck Medical Center in Seymour, Indiana, has selected Change Healthcare as its new partner for enterprise imaging. Change Healthcare, which combines most of McKesson Technology Solutions with substantially all of legacy Change Healthcare, offers capabilities that will deliver wide-ranging financial, operational, and clinical benefits to payers, providers and consumers.

At Schneck Medical Center, McKesson Radiology and vendor-neutral Conserus workflow solutions will replace legacy systems and unify workflow across multiple radiology PACS systems in use by the hospital and its care centers. Together, these solutions will give clinical users a next-generation radiology PACS and workflow tools that will enhance communication and quality across the hospital.

The solutions enable hospitals and clinics to acquire and distribute medical images across the enterprise. McKesson Radiology offers a solution with clinical depth, characterized by disease-specific display protocols and embedded advanced visualization to help improve radiologists’ productivity and efficiency. Conserus Workflow Intelligence will enable Schneck Medical Center to improve communication and collaboration within its radiology department and with its contracted radiology group. This workflow orchestration solution will unify interpretation workflows across multiple PACS to help ensure cases are always sent to the most appropriate radiologist, and will also incorporate quality workflows like Peer Review, Radiology ED Communication and Technologist Review. Additionally, consulting and professional services from Change Healthcare will help ensure a successful rollout. •

MEDISURG ANNOUNCES NEW WEBSITE MEDiSURG – a one-stop shop for tions, handpiece repair form, alumni eye surgical equipment that provides portal, signup of training and access biomed training, full service on phaco to our new customer portal to check and vitrectomy systems, parts for sur- on the status of service requests or gical equipment and a purchaser of handpiece repair.” used equipment and sales of cataract “We are very excited about our and retinal surgical systems – has annew website launch and the ease nounced the launch of its revamped of navigation on desktop or mowebsite (www.medisurg.com). bile (devices) to assist our biomed “This newly redesigned website customers (with) easy access to the offers quick and easy access to estechnical information on the Alcon sential information and features that Centurion, Infiniti, Constellation offers a more comprehensive underand other surgical systems,” said standing of MEDiSURG’s Biomed John Weymouth, owner of MEtraining on Alcon Phaco and Vitret DiSURG. “We believe this new site surgical systems, on-site service and will allow us to expand our training parts sales,” according to a press business and assist our surgical release from the company. “The web- ASC customers get the best value site also has a frequently asked ques- from their cataract surgical assets.”

16 MEDICALDEALER | JULY 2017

MEDiSURG announced that the website will be updated on a regular basis with news of product launches, business activity, corporate milestones, events, and surgical systems available for sale. • Visitors are encouraged to explore the website and sign up for direct emails from MEDiSURG at www.medisurg.com.

MEDICAL EQUIPMENT, PARTS & SERVICE

INDUSTRY UPDATE_News & Notes

Staff Reports

MIDMARK, MASIMO ANNOUNCE PARTNERSHIP Midmark Corporation and Masimo nected point of care ecosystem that have announced a partnership fopromotes well-coordinated patient cused on improving the accuracy and experiences. More information about efficiency of vital signs acquisition in how IQvitals Zone brings the industhe clinical space. try one step closer to a connected With this partnership, Masimo SET ecosystem can be found in the new pulse oximetry technology is now an white paper “Zone Technology: Conavailable option with Midmark’s recent- necting Vitals Acquisition within the ly introduced Midmark IQvitals Zone, Point of Care Ecosystem” in the Midthe industry’s first monitoring device mark content and news library. • to feature Bluetooth low energy technology for auto-connecting during the vitals acquisition process. IQvitals Zone devices equipped with Masimo SET technology provide clinicians with accurate, real-time vital signs information including oxygen saturation (SpO2), pulse rate (PR) and perfusion index (Pi) to facilitate timely clinical decisions.

Midmark IQvitals Zone changes the traditional workflow in vitals acquisition by establishing a direct wireless connection between vital signs measurement and the caregiver’s tablet or laptop. The vital signs monitor automatically connects with the appropriate equipment when the caregiver places a tablet or laptop on the multi-use work surface or near the monitoring device and initiates vitals acquisition. When the equipment is connected, caregivers can take patient vitals, review results and seamlessly import the information to an electronic medical records (EMR) system directly from their laptop or tablet.

The Midmark IQvitals Zone device with Masimo SET pulse oximetry technology is one part of a fully conWWW.MEDICALDEALER.COM

MEDICALDEALER 17 410002 INTERNATIONAL MEDICAL TechNation AD 09102015.indd 9/10/15 1 4:08

INDUSTRY UPDATE_OEM News

Staff Reports

FUJIFILM SYNAPSE MOBILITY ENTERPRISE WEB VIEWER IS GRANTED AUTHORITY TO OPERATE ON DOD NETWORKS FUJIFILM Medical Systems U.S.A. Defense,” said Johann Fernando, Mobility can be configured to meet Inc. has announced that its SynPh.D., Chief Operating Officer, the DoD 8500 series and DISA apse Mobility Enterprise Web FUJIFILM Medical Systems U.S.A. STIG requirements.

Viewer has been granted Authority Inc. “This ATO is a major accomDoD controls are customizable to Operate (ATO) on networks in plishment for Fujifilm and testiand implemented as part of an the U.S. Department of Defense fies to our ongoing commitment organization-wide process that (DoD). The DoD awards an ATO to bringing to market innovative manages information security and according to a risk-based frametechnology that adheres to the privacy risk. The controls address work that analyzes a technology’s most stringent security standards.” a diverse set of security and privasecurity controls within their IT After completing a thorough cy requirements across the federal environment. security assessment, the DoD government and critical infra“We are proud and gratified that determined that Synapse Mobilstructure, derived from legislation, Fujifilm’s Synapse Mobility Enity can be configured to meet its Executive Orders, policies, directerprise Viewer is now authorized controls for Risk Management tives, regulations, standards, and for use at the U.S. Department of Framework. Specifically, Synapse /or mission/ business needs. • CARESTREAM HEALTH RECEIVES CONTRACT FROM VIZIENT INC. Carestream Health has received traditional CT systems, the CBCT an Innovative Technology consystem has a large-area detector tract from Vizient, Inc., for its that can capture a 3D image of the Carestream OnSight 3D Extrempatient in a single rotation, which ity System. Vizient is the largest takes 25 seconds. member-driven health care perfor“This three-year contract will mance improvement company in the allow Vizient members the ability country. The contract was based on to streamline workflow and produca recommendation of Carestream’s tivity by capturing onsite 3D exams, OnSight 3D Extremity System by making a diagnosis and discussing hospital experts with expertise treatment options with patients in this category who serve on one in a single visit,” said Helen Titus, of Vizient’s member-led councils.

Carestream’s Worldwide Marketing Innovative Technology contracts Director for X-ray & Ultrasound are reserved for technologies that Solutions. “This workflow is also demonstrate an ability to enhance more convenient for patients and clinical care or patient safety, and can result in faster diagnosis those that improve an organization’s and treatment.” care delivery and business model.

Vizient, Inc., represents The OnSight 3D Extremity the combined strengths of System performs high-quality, lowthe organizations formerly dose 3D extremity exams using cone known as VHA Inc., Universibeam CT (CBCT) technology. In ty HealthSystem Consortium, addition to being compact and easy Novation and MedAssets’ to install, it captures high-quality Spend and Clinical Resource 3D images including weight-bearing Management. Since 2003, exams of lower extremities under nearly 2,200 new and innovanormal load conditions. Unlike tive products and technologies 18 MEDICALDEALER | JULY 2017

have been submitted through the Innovative Technology Program.

Vizient works with member-led councils and task forces to identify and review potentially innovative products. If it is determined that a product is innovative, a contract may be awarded outside of Vizient’s competitive bid cycle. •

MEDICAL EQUIPMENT, PARTS & SERVICE

INDUSTRY UPDATE_News & Notes

SIEMENS HEALTHINEERS ALIGNS WITH RELAYMED Siemens Healthineers has announced a strategic alliance with Relaymed to bring customers secure, cloud-based connectivity for Siemens DCA Vantage Analyzer and CLINITEK Status point-of-care (POC) instruments. With Relaymed integration, patient test results are automatically and instantly sent from the POC instruments to physician-office electronic health record (EHR) systems, reducing the likelihood of human error by eliminating the manual input step. Through its collaboration with Relaymed, Siemens Healthineers aims to enable health care providers to meet their current challenges and excel in their respective environments.

Relaymed’s seamless integration ensures all tests are saved into the EHR, reducing the potential for revenue loss resulting from unbilled tests. Further, the system’s total data capture eliminates errors from manual data-entry transcription and ensures accuracy from in-

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Staff Reports

strument to EHR. Relaymed automatically captures all quality control samples run and provides data analytics for CLIA compliance. Relaymed is HIPAA-compliant and HITRUST-assured, using the latest industry standard security measures, for peace of mind patient data is in safe hands. • For further information on the Siemens Healthineers Point of Care Diagnostics business, please see http://usa.healthcare.siemens.com/point-of-care.

MEDICALDEALER 19

INDUSTRY UPDATE_People on the Move

By Matt Skoufalos

PEOPLE ON THE MOVE

The Latest Personnel Moves in the Medical Equipment Field Brainlab AG of Munich, Germany has announced that CFO Joseph A. Doyle plans to retire after nearly 20 years with the company. Doyle joined Brainlab as VP in 1998, and two years later was promoted to CFO; he was also the company’s COO from 2001 to 2009. After his retirement, Doyle will remain with Brainlab as an advisor.

Cleveland Clinic President and CEO Toby Cosgrove is stepping down after nearly 13 years at the helm. Cosgrove plans to vacate his post by the end of 2017, but has been invited to continue with the organization in an advisory role. Cosgrove helped the Cleveland Clinic grow into the largest employer in Ohio, with nearly $9 billion in annual revenues and a staff of more than 50,000. The search for his replacement is underway, and according to the organization, will result in the hiring of a practicing physician.

Shockwave Medical of Fremont, California named Doug Godshall its president and CEO. Godshall was CEO and director of HeartWare International Inc., which was acquired by Medtronic in August 2016. At Boston Scientific, he was president of vascular surgery, VP of business devel20 MEDICALDEALER | JULY 2017

opment, and a member of its operating committee. Godshall replaces Shockwave Medical co-founder, Daniel Hawkins.

Advanced Instruments LLC has named Byron Selman its CEO, replacing 16-year CEO John Coughlin, who is retiring from that post and continuing as a non-executive member of the board. Selman joins the company from Haemonetics Corporation, where he was president of global markets; his career includes 20 years of executive experience with Pall Corporation.

Titan Spine of Mequon, Wisconsin has added Ed Graubart as its VP of professional development.

Graubart has more than 27 years of experience with companies like NuVasive, DePuy Spine, and EBI; most recently, he was VP of Sales at Ceterix Orthopaedics.

Acertara of Longmont, Colorado added Nicholas Ellens to oversee its acoustic power testing lab. Ellens joins Acertara from the Johns Hopkins University Department of Radiology MR research faculty, where he worked on focused ultrasound and MR-guided high intensity focused ultrasound (HIFU) projects.

SunTech Medical of Morrisville, North Carolina has promoted VP of sales and marketing Rob Sweitzer to CEO. Sweitzer is a past VP and GM for infection prevention disposables manufacturer TIDI Products, and has been Director of Sales for Smiths Medical.

Tru-D Smart UVC has named Ralph Taylor its new Director of Clinical Affairs. Taylor will be tasked with designing and implementing its infection reduction programs. He joins the company from Oak Hill Hospital in Brooksville, Florida, where he was Director of Surgical Services, and has worked as a staff nurse in telemetry, Medical ICU, CVICU, CVOR, general OR, PACU and pre-op.

Seno Medical Instruments of San Antonio, Texas named Ann Waterhouse its VP of Quality Assurance and Regulatory Affairs.

Waterhouse was the Director of Regulatory Affairs at Hill-Rom in Batesville, Indiana and has been a part of the Indiana Medical Device Manufacturers Council (IMDMC).

She is expected to help the company bring its Imagio breast imaging system to market in the United States.

MEDICAL EQUIPMENT, PARTS & SERVICE

TRIM 2.25”

_People On The Move

Richard S. Isaacs has been named executive director and CEO of The Permanente

As a result of its acquisition of the medical imaging business of PerkinElmer Inc. Varex Imaging Corporation has made Brian Giambattista SVP and GM of X-ray detectors for the company’s combined imaging detector business. Giambattista has been president of the PerkinElmer medical imaging business since 2008.

Rick Colbeth, the former Varex GM of X-ray detectors, has been promoted to SVP of Engineering of its X-ray detector business.

Hologic of Marlborough, Massachusetts has added Charles J. Dockendorff to its Board of Directors. Dockendorff is a former EVP and CFO for Covidien, having joined Tyco Healthcare, its Kendall Healthcare Products segment, as a controller in 1989.

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InfuSystem Holdings Inc. Director and President-CEO Eric Steen has left the company and resigned from its board of directors. During the search for his replacement, Board Chairman/ Executive Chairman Gregg Lehman will head up a five-member Office of the President. The group, which will oversee the operation of the Madison Heights, Michigan-based company in the interim, also includes director David Dreyer, EVP and COO Janet Skonieczny, EVP Richard DiIorio, and EVP and Interim CFO Christopher S. Downs.

Find weekly installments of People on the Move at MedicalDealer.com/magazine.

YOUR KEY TO QUALITY MEDICAL IMAGING RESULTS

ED SLOAN & ASSOCIATES

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Medical Group (TPMG) and president-CEO of Mid-Atlantic Permanente Medical Group (MAMPG) of Oakland, California.

Isaacs succeeds Robert Pearl in both roles as well as co-CEO of the National Permanente Executive Committee of The Permanente Federation. He has served as physician in chief for the Kaiser Permanente South Sacramento Medical Center since 2005.

In its acquisition of C.R. Bard Inc., BD (Becton, Dickinson and Company) of Franklin Lakes, New Jersey will create a new business, BD Interventional, to which Bard employees will report. Bard chairman and CEO Tim Ring will join the BD Board of Directors, as will another Bard director as yet unnamed.

BD is also promoting Tom Polen from EVP and president of the BD Medical Segment to president of BD; he will oversee BD’s Medical, Life Sciences, and new Interventional segments.

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MEDICALDEALER 21

INDUSTRY UPDATE_OEM News

Staff Reports

SAMSUNG LAUNCHES VERSATILE ULTRASOUND SYSTEMS Samsung introduced the new that works in conjunction with HS50 and HS60 ultrasound Samsung’s advanced Digital systems in May at the American Signal Processing to provide College of Obstetricians and clear, detailed images that help Gynecologists annual meeting clinicians confidently diagnose in San Diego. and care for their patients.

“With the introduction of the Advanced 3D/4D technologies HS50 and HS60, Samsung is able provide additional diagnostic to bring the exceptional image views to help support clinical quality and penetration that our decision making and treatment high-end customers have come planning, and workflow ento expect and rely on to a wider hancing and time-saving tools audience,” said Phil Sullivan, allow the clinician to focus president and CEO for Samsung more on their patients instead NeuroLogica. “With its smaller of the system. The well-roundfootprint and affordability, it ed capabilities of the HS50 will allow more clinicians to and HS60 make them a great provide their patients the very fit for many different practice best of care.” types, including obstetrics The HS50 and HS60 feature and gynecology, general imaghybrid beamformer technology ing and MSK. •

PHILIPS ANNOUNCES NEW OB/GYN INNOVATIONS Royal Philips has announced the debut of its TrueVue, GlassVue and aRevealA.I. capabilities on Philips EPIQ 7 and 5 and Affiniti 70 and 50 ultrasound systems. The visualization tools work together to enable photorealistic, transparent and 3D visualization in just one touch, delivering more reproducible and lifelike ultrasound images than traditional technologies.

“Philips’ latest technological advancement in OB/ GYN ultrasound is a novel tool allowing clinicians to further explore the anatomic evaluation of the fetus,” said Dr. Michael Ruma, maternal-fetal medicine specialist at Perinatal Associates of New Mexico. “A clinician’s relationship with our patients is at its heart a personal one, especially during pregnancy. The ability to provide high-quality, lifelike images not only helps clinicians improve diagnostic confidence, but also supports the important connection between mother and fetus.”

22 MEDICALDEALER | JULY 2017

With the enhanced clinical and workflow offerings of TrueVue, GlassVue and aRevealA.I., clinicians are able to focus on the patient rather than the ultrasound system and diagnose complex obstetric and gynecological situations earlier and with greater confidence. The new OB/GYN suite of innovations offers greater insight for clinicians so that they may elevate patient care, even for patients that are the most difficult to image technically. • For more information on Philips’ Women’s Health Care offerings, visit http://philips.to/2qpPd7F.

MEDICAL EQUIPMENT, PARTS & SERVICE

_OEM Update

MASIMO ANNOUNCES FDA 510(K) CLEARANCE OF O3 REGIONAL OXIMETRY FOR PEDIATRIC PATIENTS Masimo has announced FDA 510(k) clearance for the pediatric indication for O3 regional oximetry with the O3 pediatric sensor. Regional oximetry, also referred to as tissue or cerebral oximetry, may help clinicians monitor cerebral oxygenation in situations in which peripheral pulse oximetry alone may not be fully indicative of the oxygen in the brain. With the clearance of the O3 pediatric sensor, O3 regional oximetry monitoring, which was already available for adult patients in the United States, is now also available for pediatric patients weighing more than 11 pounds and less than 88 pounds.

O3 regional oximetry uses near-infrared spectroscopy (NIRS) to continuously monitor absolute and trended regional tissue oxygen saturation (rSO2) in the cerebral region.

In addition, Masimo O3 regional oximetry and SedLine brain function monitoring are both available on a single platform, Masimo Root – opening up a path to better understanding of the brain. •

HALYARD HEALTH, SUSTAINABLE SOLUTIONS TO CREATE ENVIRONMENTALLY CONSCIOUS HOSPITAL PRODUCTS FROM RECYCLED STERILIZATION WRAP Halyard Health Inc. has announced a new license and supply agreement with Sustainable Solutions LLC to convert recycled Halyard Wrap into environmentally conscious products for health care facilities.

“This new effort with Sustainable Solutions underscores our collective commitment to developing innovative solutions that enable health care facilities to take concrete steps to reduce their carbon footprint and achieve their overarching sustainability goals,” said Joe Hannibal, Associate Marketing Director, Halyard Health.

“Best of all, it represents a natural extension of our Blue Renew Wrap Recycling Program.”

This first-of-its kind agreement on this scale is designed to offer health care facilities a step-by-step approach for easily and efficiently recycling the company’s used sterilization wrap. Sustainable Solutions will collect and recycle Halyard Wrap waste from customers and convert the material into BlueCON Resin – the company’s proprietary material engineered from clean Halyard Wrap waste. Ultimately, the company will convert BlueCON Resin into sustainable hospital products, including distribution and product totes, garbage cans, bedpans and washbasins. These products are available for direct purchase through Sustainable Solutions. •

KUBTEC GRANTED ADDITIONAL PATENT KUBTEC has announced that the U.S. Patent Office has granted the company an additional patent for its technology used for breast specimen imaging using 3-D tomosynthesis.

The patent, Specimen Radiography with Tomosynthesis in a Cabinet (Patent Number 9,642,581 B2) was issued on May 9, 2017 and refers to technology currently embodied in the KUBTEC Mozart System, the only intraoperative specimen imaging system to use 3-D Tomosynthesis to give breast surgeons a superior view of their surgical margins.

A recent study has demonstrated that the use of this technology enables significant reductions in surgical re-excision rates when compared to the more traditional 2-D planar imaging.

“This patent is recognition that our continued investment in new technology specifically for breast cancer specimen imaging is resulting in new products that really make a difference to people’s live,” KUBTEC CEO Vikram Butani said. “As the health care market shifts its focus to reimbursement based on quality of care and patient satisfaction, we are positioned to provide solutions that impact these metrics by improving surgical accuracy and reducing avoidable re-hospitalizations for breast cancer patients.” • WWW.MEDICALDEALER.COM

MEDICALDEALER 23

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24 MEDICALDEALER | JULY 2017

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PRODUCT FOCUS_Probes_Market Analysis

Staff Reports

TRANSDUCER SEGMENT

OF ULTRASOUND MARKET ON THE MOVE

D

iagnostic ultrasound, also called sonography or diagnostic medical sonography, is a noninvasive imaging method that utilizes high-frequency sound waves to produce images of structures within the human body. The images can provide valuable information for diagnosing and treating a variety of diseases and conditions, as explained by PR Newswire.

Ultrasound is sound that is defined as frequency above 20,000 Hertz (Hz). The frequencies that medical ultrasound transducers produce and use in diagnostic radiology range from 2 MHz to approximately 15 MHz, depending on their application. Medical ultrasound transducers often contain more than one operating frequency.

For example, a 2.5 MHz frequency is used for deep abdomen, obstetric and gynecological imaging whereas a frequency of 15.0 MHz is used for superficial structures and musculoskeletal imaging.

The global market for medical ultrasound devices is expected to reach $9.9 billion by 2021 from $7.3 billion in 2016, rising at a compound annual growth rate (CAGR) of 6.4 percent from 2016 through 2021, according to a BCC Research report.

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The Asia-Pacific market is the largest regional market for medical ultrasound devices. The market is expected to grow from $2.4 billion in 2016 to $3.7 million in 2021 at a CAGR of 9.5 percent for the period 2016-2021. The Latin American market for medical ultrasound devices is expected to grow from $576 million in 2016 to $847 million in 2021 at a CAGR of 8.0 percent for the period 2016-2021.

“ In terms of technology, ultrasound is constantly moving towards greater mobility. Diagnostics as an industry is moving towards using nonionizing technologies for imaging such as MRI and capsule endoscopy.”

Another report also predicts continued growth.

The report “Global Diagnostic Ultrasound Devices Market Assessment & Forecast: 2015-2019”

by Spearhead Acuity Business Research & Consulting Group

reveals that global diagnostic ultrasound devices market was valued at $5.4 billion in 2014 and expected to grow to $7.5 billion by 2019 at a CAGR of 6.8 percent from 2015 to 2019.

“In terms of technology, ultrasound is constantly moving towards greater mobility. Diagnostics as an industry is moving towards using non-ionizing technologies for imaging such as MRI and capsule endoscopy,” according to Spearhead Acuity Business Research & Consulting Group. “There are an increasing number of companies such as Rivanna Medical and Signostics that are introducing hand-held and portable ultrasound. Due to the relative safety, and the non-invasive nature, ultrasonic imaging has become one of the most rapidly advancing technologies.

Along with this, companies are now introducing wireless transducers such as Acuson Freestyle that are able to send images of internal organs such as kidneys, heart and lungs without worrying about troublesome cables or moving bulky machines around in a patient’s room.”

This growth will also power the ultrasound probe and transducer market segment, especially as new technological advancements are made.

MEDICALDEALER 27

PRODUCT FOCUS_Probes_Product Showroom

Staff Reports

JULY PRODUCTS: This month, Medical Dealer explores Probes

PHILIPS

X8-2t Live 3D TEE transducer

P

hilips X8-2t Live 3D TEE transducer, the next generation of Live 3D TEE, features a new acoustic design with higher frequencies and bandwidth to provide increased resolution and tissue filling, allowing clinicians to diagnose cardiac pathology in real time. Using Philips’ highest volume rates yet with true one-beat volumes in Live 3D imaging, in both gray scale and color Doppler, the X8-2t transducer produces high-quality imaging without relying on an EKG. This especially benefits the arrhythmic patients, as true one-beat volumes reduce the need for multiple acquisitions, to improve exam efficiencies. •

28 MEDICALDEALER | JULY 2017

MEDICAL EQUIPMENT, PARTS & SERVICE

Probes_Product Showroom

TOSHIBA MEDICAL

Aplio i-series Ultrasound

E

nabling health care providers to utilize a cost-effective, less invasive and safe solution for a wide range of exams, Toshiba Medical’s premium Aplio i-series ultrasound platform delivers quick imaging for efficient diagnoses and faster triage with an ultra-high frequency transducer. The Aplio i-series’ 24 MHz transducer enables clinicians to see more with superior detail and definition. The platform is a highly advanced and scalable ultrasound solution including the Aplio i700, Aplio i800 and Aplio i900. The systems feature iPerformance technologies that deliver extreme processing power and the iSense design provides intuitive ergonomics to boost productivity. •

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MEDICALDEALER 29

PRODUCT FOCUS_Probes_Product Showroom

Staff Reports

SIEMENS HEALTHINEERS

ACUSON SC2000 Z6M True Volume 3D TEE Probe

T

he ACUSON SC2000 Z6M True Volume 3D TEE Probe is engineered to arm you with a complete, anatomically precise picture of your patient’s heart for informed clinical decisions without missing a beat. It features sophisticated imaging tools, such as true real-time volume color Doppler (90 x 90) and rapid, automated valve modeling to deliver the reliable, actionable knowledge you need in the moments when it matters most. •

30 MEDICALDEALER | JULY 2017

MEDICAL EQUIPMENT, PARTS & SERVICE

PRODUCT FOCUS_Summit Imaging Q&A

CEO Larry Nguyen

SUMMIT IMAGING

QUESTION & ANSWER

M

edical Dealer magazine recently quizzed Summit Imaging CEO Larry Nguyen about ultrasound probes and what HTM professionals needs to know about these devices.

Q: What are the most important things to look for in a reputable third-party ultrasound probe provider?

Nguyen: The most important credential to look for in a third-party ultrasound probe provider is whether their Quality Management System (“QMS”) is certified to ISO 13485 standards. This assures repairs are performed in house and quality is controlled.

Quality of product and service are critical as it directly impacts patient safety and equipment downtime. The higher the quality of the supplier the lower the total cost of ownership for health care facilities.

Q: Is it possible to keep up with ultrasound probe technology without buying brand new?

Nguyen: It is possible to keep up with ultrasound probe technology without buying brand new. Equipment is generally available, but the critical factor is if the ultrasound system being used has the capabilities to run the newest transducers. If it is not, an option must be purchased through the OEM. If it is available, the transducer will become a plug and play application for the user.

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Q: Can you describe your ultrasound probe refurbishment process.

Nguyen: Our ISO 13485:2003 certified QMS governs our ultrasound probe refurbishment process and begins and ends with thorough evaluation and image quality testing on live ultrasound systems. Live ultrasound systems are needed to capture intermittent image quality issues to properly diagnose the problem. After diagnosis, the transducer is disassembled to access the location of the problem and the proper repairs are performed by an IPC certified technician.

The transducer is reassembled and thoroughly tested again to confirm the repairs resolved the issues originally found during diagnosis.

Q: What kind of custom options do you offer?

Nguyen: Summit Imaging offers many custom options that are generally driven by the type of customer.

Some options include: full transducer repair coverage for hospital networks, on-site care and maintenance training to prevent unnecessary damage, and forensic reporting and analysis of incoming transducer damages. We are always open to special requests from customers who have specific needs.

Q: Many believe the OEM is the safest option for ultrasound probe service, but service contracts are expensive. How would you convince them that a third-party provider can provide the same level of service as the OEM?

Larry Nguyen, CEO Summit Imaging

Nguyen: A certified ISO 13485 QMS should be required by health care facilities for their suppliers to provide probe repair and replacement services to them as this certification considers patient safety as an important issue of product and service quality. In addition to the certification, a total cost of ownership analysis comparing an OEM service contract to a transducer repair model will likely inform health care facilities that transducer repair services significantly lower their total cost of ownership.

Q: What are the most important things to look for when seeking service for ultrasound probes?

Nguyen: Verify that your supplier’s QMS has an ISO 13485 certification with a scope encompassing ultrasound transducer repair. This is critical to ensure the proper systems are in place to protect patients’ safety.

MEDICALDEALER 31

PRODUCT FOCUS_Preferred Vendors

Staff Reports

PREFERRED VENDORS

ULTRASOUND PROBES Advanced Ultrasound Electronics 9522 East 47th Place Tulsa, OK 74145 SEE OUR Toll-Free: 866-620-2831 AD ON PAGE 55 Phone: 918-628-2831 Fax: 918-628-2833 Email: Sales@auetulsa.com Website: www.auetulsa.com AUE is a leader in refurbishing ultrasound parts, systems equipment, peripherals and service by using cutting edge technology to repair parts down to component level. It is our goal to provide high quality workmanship and customer service on every part and system that we offer.

Bayer Multi Vendor Service SEE OUR AD ON 625 Alpha Drive PAGE 57 Pittsburgh, PA 15238 Phone: 844-MVS-5100 Email: mvscustomercare@bayer.com Website: www.mvs.bayer.com Bayer Multi Vendor Service is your trusted provider for MRI coil, ultrasound transducer, CR reader and dry film printer repair. With exceptional repair capabilities, quality solutions and dedicated customer care, we provide excellent value in third-party service.

32 MEDICALDEALER | JULY 2017

Exclusive Medical Solutions 455 E. State Pkwy, Suite 101 Schaumburg, IL 60713 Toll-Free:1 866-676-3671 Fax: 847-278-1155 Email: info@emedicalsol.com Website: www.emedicalsol.com

SEE OUR AD ON PAGE 68

Exclusive Medical Solutions is dedicated to providing the highest quality medical imaging equipment, services and parts at the best price possible. Established from a group of factory-trained engineers with over five decades of combined medical imaging equipment experience, Exclusive Medical Solutions provides services, parts, and equipment to hospitals, imaging centers, orthopedic clinics and independent practitioners throughout the United States. The company has the capability of setting up a turnkey ready imaging clinic with all the equipment needed. Contact Exclusive Medical Solutions today to find out how to save on high-quality medical imaging equipment, services and parts at up to 75 percent off OEM prices. Bilingual support available.

Global Medical Imaging 222 Rampart St. Charlotte, NC 28203 Toll-Free: 800-958-9986 Phone: 704-940-7755 Fax: 704-940-7756 Email: info@gmi3.com Website: www.gmi3.com

Government Liquidation SEE OUR AD ON PAGE 71 15051 N Kierland Blvd #300 Scottsdale, AZ 85254 Phone: 480-367-1300 Email: info@govliquidation.com Website: www.govliquidation.com Government Liquidation (GL) provides buyers with access to an unparalleled variety and volume of surplus assets from organizations and the Department of Defense. We’re committed to delivering world-class buyer experiences through intuitive search functionality and accurate, detailed lot listings. GL invites you to purchase assets in over 500 different commodity categories including Medical, Dental, Test & Laboratory Equipment via internet auction.

InterMed Group 13351 Progress Blvd.

SEE OUR AD ON Alachua, FL 32615 PAGE 11 Phone: 386-462-5220 Email: Sales@intermed1.com Website: www.intermed1.com SEE OUR AD ON PAGES 48-53

GMI sells, services and supports ultrasound systems and nuclear cameras across the USA. At GMI, we focus on one thing. Transparency. The truth is that we serve our customers with confidence knowing that we can provide the best experience in the industry.

From sales to service and world class support, we have the products and services you need to support your business today and grow tomorrow. Call us today to learn how we can help your business.

The InterMed Group is a premier provider of integrated technology management services. We are focused on enhancing the overall quality, cost, and confidence in your equipment asset management.

Our biomedical, diagnostic imaging specialists and unique “Jump Teams” are empowered to deliver unmatched customer service and the industry’s best technology at competitive rates. We invite you to discover how our innovative technology, operational excellence, and deeply experienced and passionate professionals have earned us a blemish-free track record and reputation for consistently exceeding our clients’ expectations. We always bring the best.

MEDICAL EQUIPMENT, PARTS & SERVICE

_Preferred Vendors

J2S Medical

SEE OUR AD ON PAGE 67

1002 Ford Circle Suite D Milford, OH 45150 Phone: 844-DIAL-J2S Email: j2smedical@j2smedical.com Website: www.j2smedical.com

J2S Medical provides cost-effective solutions for medical products, replacement parts and service options for hospitals and alternate site health care organizations in the U.S., Canada and Latin America.

Soma Technology, Inc. 166 Highland Park Dr. SEE OUR Bloomfield, CT 06002 AD ON PAGE 41 Toll-Free: 800-GET-SOMA Phone: 860-218-2575 Fax: 860-218-2565 Email: soma@somatechnology.com Website: www.somatechnology.com Soma Technology provides high quality demo, new, and refurbished capital OR equipment; including surgical suite equipment, ventilators, infusion pumps, imaging / c-arms and much more.

SEE OUR AD ON PAGE 26

MW Imaging Corp.

920 Hemsath Rd., Ste. 102 SEE OUR AD ON St. Charles, MO 63303 PAGE 12 Phone: 877-889-8223 Fax: 636-925-0070 Email: info@mwimaging.com Website: www.mwimaging.com

With more than 25 years of service and experience, MW Imaging offers worldclass ultrasound service, OEM ultrasound parts, free 24x7 tech support for any ultrasound system, free loaners including TEE with your ultrasound transducer repair, and hero kits.

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Summit Imaging, Inc. 15000 Woodinville-Redmond Road NE Building B, Suite 800 Woodinville, WA 98072 Phone: 866-586-3744 Fax: 866-586-3740 Email: Info@mysummitimaging.com Website: www.mysummitimaging.com Summit Imaging is an Ultrasound Parts and Transducer Repair company that can quickly address specific technical needs based on a foundation of outstanding rapid customer service. Our philosophy is simple; make our customers heroes.

Tenacore Holdings, Inc. 1525 E. Edinger Ave. SEE OUR AD ON Santa Ana, CA 92705 PAGE 47 Phone: 800-297-2241 Fax: 866-776-3101 Email: customerservice@tenacore.com Website: www.tenacore.com Tenacore has expertise in driving the cost out of owning capital equipment. Our multi-vendor repair lab houses factory trained technicians that specialize in infusion pumps, vital signs monitors, ventilators, ESUs, telemetry, wall suctions, cables and more.

Our trained technicians put patients first with every piece of equipment they touch, including refurbished equipment for sale. IDNs have adopted Tenacore’s techniques which compliments biomed departments by lowering cost, increases training and consolidates vendors.

Trisonics, Inc. 3535 Walnut St. SEE OUR AD ON Harrisburg, PA 17109 PAGE 62 Toll-free: 877-876-6427 Phone: 717-939-6860 Fax: 717-939-6864 Website: www.trisonics.com Trisonics, Inc. is your ultrasound imaging partner specializing in ultrasound service, support, systems, transducers and parts. Our goal is to provide cost effective solutions with an emphasis on personalized service.

MEDICALDEALER 33

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MEDICALDEALER 35

NEED TO REPLACE A DAMAGED HAND CONTROL CABLE?

PN: 101063 Used on GE/OEC Hand Control assembly P/N 901627-02 and 5448522.

New round molded cable (USA) with OEM core connector parts. Cable extends to 20 foot.

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PRODUCT FOCUS_Single Use Medical Devices_Market Analysis

Staff Reports

SUD MARKET

CONTINUES TO GROW

T

he single-use medical device market continues to grow and the reprocessing of these devices is one reason for the growth.

Single-use medical device reprocessing is the disinfection of a used medical device in order to return it to service. All reprocessed medical devices originally labeled for single use in the United States are subject to U.S. Food and Drug Administration (FDA) manufacturing requirements and must meet strict cleaning, functionality, and sterility specifications prior to use, according to the FDA. The reprocessing of medical devices, particularly those that are labeled “Single Use Device” (SUDs), is believed to have started in the United States but is now common around the globe.

Currently, approximately 2 percent of all SUDs on the U.S. market were eligible for reprocessing by a qualified third-party vendor in 2008, according to a Wall Street Journal article. Even more SUDs are now eligible for reprocessing.

Brian White, president of Stryker Sustainability Solutions, was interviewed for an article last year and explained that the market continues to take shape as it grows and attracts more customers, including those from home health care.

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White went on to forecast that the purchase of reprocessed single-use devices will continue to be a useful tool for hospitals as health care systems prepare cost-effective and environmentally responsible avenues to meet their needs.

“ The increasing generation of medical waste coupled with the lack of centralized support for waste disposal in the health care industry is expected to drive the demand for reprocessed medical devices market.”

He added that companies are looking for more and more ways to improve medical device design to allow for effective reprocessing of OEM products to assist health care users as they plan equipment purchases that can include single-use devices ready to be used, reprocessed and used again.

Medical device purchasers tell us they want to reprocess more expensive devices in the future, White said.

“Hospitals are going to do more business with original manufacturers that support their overall goals and less business with those that do not,” he said. “This means we will likely see an emergence of new devices that are engineered with reprocessing in mind.

I believe it could become a real competitive advantage for original manufacturers that embrace this reality.”

The global reprocessed medical devices market is expected to reach $5 billion by 2022, according to a study by Grand View Research Inc. The increasing generation of medical waste coupled with the lack of centralized support for waste disposal in the health care industry is expected to drive the demand for reprocessed medical devices market. Additionally, the long-term cost-efficiency associated with these devices as compared to that of the original device is driving the industry.

According to the Association of Medical Device Reprocessors (AMDR), hospitals witness up to 50 percent cost savings on every purchase of the reprocessed medical device.

Reprocessing has also fueled a reduction in device cost by OEMs as they compete with third-party reprocessors. This competition has had an impact on industry growth.

MEDICALDEALER 37

PRODUCT FOCUS_Single Use Medical Devices_Product Showroom

Staff Reports

3M

Bair Hugger Multi-position upper body warming blanket

3

M Bair Hugger Multi-position upper body warming blanket transforms the way clinicians warm because it’s designed to maximize patient coverage with one easy-to-use warming solution. Its unique bendability enables clinicians to adapt the blanket to multiple surgical positions and procedures, while providing uniform temperatures to help maintain patient normothermia. Made from a soft, comfortable, lightweight and radiolucent material, the blanket has two releasable hose ports for flexibility in positioning, and its integrated tie strips and continuous adhesive strip secure the blanket once placed. •

38 MEDICALDEALER | JULY 2017

MEDICAL EQUIPMENT, PARTS & SERVICE

Single Use Medical Devices_Product Showroom

PACMED CABLES

NiBP, SpO2, ECG, and Temp accessories

E

nsuring positive patient outcomes is at the core of any medical organization’s objective. The rising rate of Hospital Acquired Infections (HAIs) is making achieving that goal more difficult every day. Busy departments such as ERs are even more at risk, and as clinicians report, having incoming patients with more immediate care needs can result in oversite during the sterilization of surfaces that patients come in contact with. Often, these overlooked surfaces include NiBP cuffs, ECG lead wires, temperature probes, and SpO2 sensors. PacMed Cables offers high quality disposable NiBP, SpO2, ECG, and Temp accessories that help combat HAIs and many of the other complex challenges of providing high quality health care while reducing cost to their customers worldwide. Visit PacMedCables.com for more information. •

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MEDICALDEALER 39

PRODUCT FOCUS_Single Use Medical Devices_Product Showroom

Staff Reports

HALYARD HEALTH

Homepump C-Series

H

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MEDICALDEALER 41

C

onsolidation and expansion remains one of the dominant narratives of the U.S. health care industry. Efforts to drive greater economies of scale, cutting costs instead of jobs, have reverberated throughout the market, as deeper affiliations are brokered at every level of business. In adapting to the dynamics of an ever-fluid and now increasingly vertical industry, getting bigger helps diversify risk, but it also complicates things for everyone involved.

Olivier Martin is the executive vice president of sales and marketing at ARx-

IUM, a pharmacy automation business headquartered in Winnipeg, Manitoba.

Since 1989, the Canadian health care system has undergone federally ordered regionalization of independent hospitals in each of its provinces, reorganizing them into an integrated network. The process is akin to the merger-and-acquisition atmosphere of the U.S. health care market, in which the combined businesses aren’t always evenly joined, and the market leader doesn’t always come out on top in a consolidated network.

By Matt Skoufalos

In adapting to the dynamics of an ever-fluid and now increasingly vertical industry, getting bigger helps diversify risk, but it also complicates things for everyone involved.

Olivier Martin Executive Vice President of Sales and Marketing at ARxIUM

Martin said the costs of assimilation are also borne by vendors. Some caught in the middle of consolidation plans are invited to take on more work than they may capably assume; others may be asked to renegotiate their fees at rates they can’t meet profitably.

“There is a point where you can’t afford, as a vendor, that little bit of pressure,” Martin said. “There is a limit to what you can do. Some of the vendors out there, it’s probably a signal that you have to be less dependent on a key few customers. You decide who you want to be.”

Anticipating that trend, some smaller medical equipment providers are focusing on designing technology that works better in a consolidated network, he said.

But Martin warns that there is also a cost to standardization, including clinical retraining, practice changes, and retiring existing inventory.

“What do you get by standardizing?”

Martin said. “[On the hospital side], you get contract pricing; you get better volume. But you have to buy new equipment, lease new equipment, train thousands of nurses on the equipment, and these [things] cost hundreds of thou-

sands of dollars.”

“Are you going to change practice equipment, patient-facing equipment, clinical equipment every time you do an M&A?” he said. “Are you going to postpone best clinical practice because you have to wait for corporate contracts?”

Depending upon the size of the entities at work in the deal, larger companies might only want to negotiate with equally large partners in pursuit of economies of scale. In cases such as these, Martin believes smaller vendors will survive only if they offer unique value propositions that can’t be scaled up.

“Not everybody has the best product in every category,” he said. “There’s decades of evidence that there’s always bigger happening, but there are niche players that come up because they’re able to respond to a specialty offering that the big ones cannot. There is still a market for niche if you understand who you

“ If you’re small, you’re not going to win by your size, but by the necessity of your equipment.”

Olivier Martin

are in the game. If you’re small, you’re not going to win by your size, but by the necessity of your equipment.”

Sometimes, however, when the larger deals are realized, long-term technology or service partners may be systematically phased out as part of a broader enterprise

Doug Golwas Senior Vice President of Corporate Sales for Medline Industries

shift. Even during that transitional period, there is an opportunity for vendors to pivot, Martin said.

“It is one thing to have this rosy picture about reducing the number of vendors, but the path to get there may be prohibitive sometimes,” he said.

Doug Golwas, senior vice president of corporate sales for Medline Industries of Northfield, Illinois, points out that health care consolidation doesn’t necessarily have to take the form of a full takeover in order to achieve the same effects. Despite the higher-profile nature of such deals, providers, manufacturers, payers, and even GPOs may make other arrangements to derive greater leverage and market share, including forming channel partnerships and pushing into non-hospital business.

“Population health is moving outside the walls of the hospital,” he said. “The guys we deal with from a supply-chain standpoint now have responsibility across all these classes of trade.”

As the buying power of any health system improves, its partnership needs become more sophisticated, which Golwas said raises internal questions about the “market relevance” of its contracts

within the size and scope of those expanded lines of business. These agreements can lead to changes along lines of geography or class of trade, and their value is ultimately related to the ability to align resources and drive scalability. Vendors looking to earn that business need to provide solutions across a continuum of care, which Golwas said leads to an expanded focus on custom solutions – an approach that’s particularly useful as corporate culture shakes itself out in the merger process.

“Even with all this activity, we don’t do anything off the shelf,” he said.

“Everything’s customized. Some people want bigger technology. Some people want a local relationship with the people they’ve dealt with for many years. Organizations come together either formally or informally. As long as they’re aligned with what their strategy is, it allows us as vendors to align our resources with what they want.”

“I always say if you’ve seen one health care system, you’ve seen one health care system,” Golwas said. “Our philosophy has always been, let’s go have a direct, honest conversation and figure out what the goals and objectives are of the new, combined organization and how to best have them get what they want. Create a solution that works in the short term, and adjust that as these things either scale or there’s changes for the continuum of care.”

There’s precedent for stopping large, concentrated mergers that create monopolies for patient services, but the Department of Justice (DOJ) and Federal Trade Commission (FTC) don’t pay much attention to the increasingly more common vertical integrations, said Thomas Greaney, a visiting professor at the California Hastings College of Law and a senior fellow at the UC Hastings/UCSF Consortium on Health Science, Law & Policy. Greaney, who studies the legal impact of mergers in the health care space, said the FTC hasn’t yet challenged a vertical merger.

Thomas Greaney Professor at the California Hastings College of Law

“The issue has been usually the DOJ or FTC doesn’t get notified of these mergers,” Greaney said. “Health care is among the most important priorities for antitrust enforcement, and that is something that will continue.”

Mergers are profitable for health care systems because they lead to increased revenues, but increased market concentration inevitably leads to higher prices, which generally get passed along to consumers in the form of higher insurance premiums,

“The requirement as a matter of law is to show that those cost savings are merger-specific, and can’t be achieved otherwise, not just by the fact that you’re going to bargain harder,” Greaney said. “The breaking point on the consolidation side maybe has been reached in many markets, at least horizontally. The question is how much they can save vertically.”

But because the United States relies on a market-based approach to the business of health care, it’s built on a competitive delivery system with natural limits, Greaney said.

“If you’ve locked up all the business, there’s nowhere else to go,” he said. “It has a foreclosure effect. If it’s too much, you lose the benefits because of market power.”

Some consolidation is also reactive to competition, as institutions snap up other pieces just to keep pace with their rivals.

“If you see a rival buying up practices, you have to explain to your board why you’re not buying up practices,” Greaney said. “You’re going to do it just out of self-preservation rather than proven documentable savings.”

At some point, Greaney believes, however, that “You have areas where you really think you’ve hit a saturation point, where there are no mergers left except to absolute monopoly, but on the other

“ As the buying power of any health system improves, its partnership needs become more sophisticated” Doug Golwas as insurers lack the leverage to play one against another. Although insurance providers may claim, in order to satisfy an FTC investigation, that the deal will produce cost savings, those savings must be specifically derived from the merger itself.

hand, there is a strong impulse, at least on the vertical level, to consolidate,” he said.

“I think that impulse is going to be around for a while,” he added.

Jordan Health Products President and COO Steve Inacker agrees. In an environment where reimbursement continues

Steve Inacker Jordan Health Products President and Chief Operating Officer

to decline precipitously, scale is often tapped as the solution to revenue shortfalls. A consequence of that activity is that capital budgets get ratcheted down, which can save jobs, but drives further supply-side consolidation. As companies like Medtronic and BD “gobble up a bunch of people and spit some pieces out,” they’re working to both diversify their holdings and insulate themselves from the impact of future cuts, Inacker said.

Ultimately, he believes the strategy “is going to get figured out” by the rest of the market.

“Part of it is survival of the fittest; part of it is the scale play,” Inacker said.

“When you’re acquiring other companies, you’re buying yourself time. There’s a bad day coming for most of the large, publicly traded, high-end capital equipment companies that are living on lofty margins. The provider is going to get squeezed. You have to do more with less.”

As the financial pressures of reduced reimbursements heighten, doctors are ever driven to affiliate with hospital networks. Greaney described pressure to be part of a bigger system as being “as strong as it’s ever been” at the physician level. And while ever-evolving payment

mechanisms offer stronger incentives for independent practitioners to consolidate, the culture of general practice also changes dramatically when doctors move from being independent operators to being employees. In general, he believes it has weakened their position.

“Doctors have had a very strong voice; while they were independent, they had enough voice to have some say in it,” Greaney said. “Once they’re employees, that changes quite a bit.”

Inacker, too, believes that provider-side culture clash “doesn’t seem to be as much of an issue today” specifically because “people understand the market dynamics at play today, and they want a secure job.”

“ They’ve played fairly nice so far, but you will see competitors moving into other markets.”

Steve Inacker

That outlook on the premium value of a secure job only strengthens the positions of companies who specialize in managing human capital. Businesses like Sodexo, Crothall, Aramark, and TriMedX will continue to benefit from increased consolidation, as will third-party providers who offer better margins on services that are not directly related to provision of care. The same kinds of outsourcing that is helping administrators cut costs on food services, IT, laundry, and groundskeeping

will continue to drive additional bargain-hunting and pursuit of longer-term deals that contain additional cost protections. Those independent service organizations (ISOs) that offer a competitive advantage or unique business opportunity will come out on top, Inacker said – as long as they are cautious to not overstep their capabilities.

“I’m bullish on the opportunity for highly qualified, reliable, and trustworthy ISOs to gain a bigger share of the service market in a constrained environment,” he said. “In almost all cases, the ISOs are a low-cost alternative to the OEMs. If the provider believes and understands that the service is better, that bodes very well for the ISOs. The refurbished market is going to see a better return.”

Inacker believes ISOs operating in 300-bed hospitals and smaller facilities will be “the sweet spot” for service provision in an increasingly consolidated health care space. And although the bigger systems will only get bigger, he doesn’t foresee them squeezing out entities focused on the smaller markets into an untenable position – until, inevitably, they start to expand beyond their traditional footprint.

“If you see these mega-systems outside of their natural geography, that starts changing the dynamic,” Inacker said.

“They’ve played fairly nice so far, but you will see competitors moving into other markets. There are less and less unaffiliated entities every year.”

CORPORATE PROFILE

Corporate Profile Avante Health Solutions

A

vante Health Solutions (formerly Jordan Health Products) is an integrated solutions provider for healthcare facilities seeking to maximize capital equipment performance.

Avante is focused on the complete lifecycle of medical, surgical, patient monitoring, diagnostic imaging, cath/angio, and radiation oncology equipment, including sales, install, service, repair, sourcing and refurbishing. Through organic growth and targeted acquisitions, Avante provides a breadth of service and product offerings to a variety of customers located throughout North America and abroad.

Avante is making it easier and more affordable for every hospital, clinic and medical practice to have the very best equipment, supplies and service, therefore doing its part to help providers improve the practice of medicine.

By bringing together DRE Medical Group, Integrated Rental Services, Global Medical Imaging, Oncology Services International, Pacific Medical Group and Transtate Equipment Company, you can now find everything you need from one integrated solutions partner.

48 MEDICALDEALER | JULY 2017

It’s a better total solution and a better way forward. In today’s healthcare environment you have to stretch you dollar even further and that is exactly what Avante’s unique design is able to provide – from unbiased sales of new and refurbished high-quality equipment, to service, parts and repair that is second to none. You can now get

“DRE is a worldwide supplier of new and refurbished medical equipment with more than 30 years of experience,” DRE’s President Mike Spencer explains. “Our

Advantages of the Avante Health Solutions Sales Offering

Service Offering

Brand agnostic

Industry leading response times

New and refurbished

Remote Diagnostic Capabilities

Comprehensive selection

National tech support

ISO 13485 Certified

24-hour availability

Single point of contact

Field Service & Depot Repairs

everything from one place, and within today’s budget constraints.

For a more complete view and a deeper understanding of Avante Health Solutions, we look at each company.

extensive client base includes hospitals, surgery centers, universities, research facilities, veterinary hospitals, and equipment distributors. Products include anesthesia machines, surgery lights, patient MEDICAL EQUIPMENT, PARTS & SERVICE

SPECIAL ADVERTISING SECTION

GMI

DRE MEDICAL

vital signs monitors, defibrillators, electrosurgical units, ventilators and surgery tables.”

DRE provides clinically equivalent equipment from its select private label lines and quality refurbished and recertified equipment from the most popular brands in the marketplace. It helps providers fully utilize their budget in the most efficient manner possible for equipment that improves their facility and patient outcomes.

“We now have a fully developed private line of medical tables,” Spencer says. “In addition to lines of exam, procedure, and operating room tables DRE is expanding it’s offering with an upcoming bariatric capable surgical table and a high-quality floating top fluoroscopy table for C-arm imaging.

It will make up one of broadest offerings of patient platforms in the industry.”

“With the support of Avante and our sister companies, DRE will continue the steady growth we have maintained for over a decade.

With additional service and support networks and a broader platform in terms of visibility we are already seeing an expanded presence with larger organizations and facilities,” he adds. “We envision this to accelerate in the future.”

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GMI was founded in 2002 to be a “Brand Indifferent” ultrasound solutions provider. In the beginning it primarily focused on the private practice market, but as the company grew it broadened its focus to encompass the hospital market.

“GMI’s commitment to our customers led us to grow our service and support staff along with adding a large parts inventory to meet our customers growing demands,” Dennis Streppa, President of GMI, says. “To accomplish this we added nationwide field service engineers, an outside sales support team, dedicated customer service teams and technical support engineers. In an effort to provide our customers with more cost-effective repair solutions, we invested wholly into adding a transducer repair facility to our portfolio. GMI also expanded its service offerings in 2010 to include nuclear medicine imaging equipment.”

Ultrasound sales, service and support are the foundation upon which GMI was built.

“We excel at providing superior new and refurbished ultrasound

GMI

equipment and providing support and service for the life cycle of those products,” Dennis Streppa adds. “Our sales team takes a consultative approach to recommending the best product at the right price point. After the sale, our service and support team provide customized options that best suit our customers needs whether it’s full service contracts, time and material service, parts support, technical support, transducer repair or training.”

“In February, GMI announced a strategic relationship with Samsung Healthcare to distribute their advanced imaging technology ultrasound systems,” he adds. “The Samsung portfolio is designed to meet a broad set of imaging needs, ranging from compact, portable systems, to full featured, multi-disciplinary systems.”

“GMI is the only third-party ultrasound company that provides sales, service and support for the life cycle of your ultrasound equipment,” Streppa explains. “Our ability to provide customized solutions to our customers through capital equipment purchase, service contracts, transducer repair, parts, probes, technical support, training and accessories sets us apart. We provide all these services to our customer without going outside of our organization. This coupled with being part of the Avante MEDICALDEALER 49

CORPORATE PROFILE

OSI

family of companies will allow GMI to provide a breadth of products and services unmatched in the industry.”

Integrated Rental Services provides medical equipment rentals to hospitals, clinics, surgery centers, doctor’s offices and other medical facilities. The company’s services include quality patient-ready equipment, equipment service, long- or short-term rental of medical and hospital equipment and nationwide delivery with contract. All of Integrated Rental’s equipment meets or exceeds JCAHO requirements.

Integrated Rental Services adds the critical rental component to the Avante service offering.

OSI was founded in 1985, and has become the leading alternative to OEM service for linear accelerators and CT simulators used in radiation therapy. In addition, OSI offers refurbished linear accelerators, CT simulators, and associated parts.

“OSI has established a significant customer base despite OEM claims to superior technical knowl50 MEDICALDEALER | JULY 2017

edge,” says OSI President Rick J. Hall. “Customers initially looking for cost-effective options to OEM service contracts have become loyal long-term customers given our superior customer service.”

“OEM dominance in the linear accelerator market – only two manufacturers compete in the U.S. – has created a myth that only the OEM can service that equipment. OSI has shattered the myth with sustained training, and a commitment to customer service,” Hall adds.

OSI’s culture has created a commitment to service, supported by superior customer satisfaction scores that “outperform the OEM.” “Too often the OEM takes its service contracts for granted, and fails to deliver the service the radiation therapy facilities deserve,” Hall says.

“That has provided an opening for a service centric culture committed to customers and patients, cost-effectively and being part of Avante only furthers this commitment.”

Pacific Medical started over a decade ago with one person, Andy Bonin. Today, the company is a trusted name in the healthcare industry.

Pacific Medical’s success is based off providing outstanding customer service while meeting industry needs which equates to satisfied clients.

This approach fueled accelerated growth both internally and externally as more and more healthcare providers depend on Pacific Medical for their equipment needs.

Pacific Medical holds dual ISO certifications (9001; 13485) demonstrating that Pacific Medical products and services meet customers’ expectations. In addition, it boasts the largest patient monitoring inventory in the industry allowing for extremely fast turnaround times.

Pacific Medical’s core competencies include the repair and sale of patient monitors, patient modules, telemetry transmitters, fetal monitors, transducers, infusion pumps, syringe pumps and more.

The company also offers all related patient accessories including SpO2, ECG, NIBP, IBP, and Temp Cables for all of the equipment its sells and services. Pacific Medical also offers on-site networking and integration installation, troubleshooting and service agreements. As healthcare becomes even more reliant on sharing information digitally between departments and facilities, Pacific Medical can assist with making network additions, adjustments, MEDICAL EQUIPMENT, PARTS & SERVICE

SPECIAL ADVERTISING SECTION

OSI

or complete scratch installations possible on any budget.

Pacific Medical recently launched PacMedCables.com, a one-stop shop for patient monitoring accessories, and will launch PacMedParts.com this fall. Along the lines of the cable site, PacMedParts.com will make it easy to find parts to complete a bench repair. As part of Avante, Pacific Medical will continue to expand its product/ service offering as well as capitalize on those of its sister companies.

“Avante is the perfect partner to help us go after new customers in new markets, as well as expand our product and service offering to our existing customers,” says Andy Bonin, President of Pacific Medical.

TRANSTATE For nearly 20 years Transtate has provided a range of high-quality cath lab solutions. Its hyper-focus on achieving excellence in the cath/ angio modality and a continuing commitment to a true partnership with customers has fueled company growth and popularity.

Transtate committed resources to establishing staging bays for cath/angio systems representWWW.MEDICALDEALER.COM

ing the major manufacturers that allowed the company to build out a parts testing and repair process to support its partners’ needs. This in turn has allowed the company to understand and apply cath/angio equipment technology solutions “better than any service organization in the country.” Transtate empowers its partners by providing parts, education, remote diagnostic technology and immediate tech support to provide efficient equipment failure solutions as soon as they occur. In addition, Transtate recently expanding into providing refurbished CT systems, service, and repair capabilities.

“Transtate has committed to being the premier partner in cath /angio and CT parts and service.

We refer to our customers as partners because the partnership we form with our customers is what will improve patient care and the healthcare delivery system,” says Transtate President Dan Wheeler.

“By assembling an extraordinary and unmatched collection of experienced engineering specialists with extensive knowledge about equipment problems and solutions, we are able to empower our partners with service, education, technical support, and parts allowing them to be more efficient and effective at solving these problems.”

PACIFIC MEDICAL

“Transtate has developed a wide variety of service offerings that are representative of the cornerstones of our business and further echoed throughout the Avante sister companies: Service, Technical support, Education, and Parts (S.T.E.P.),” Wheeler adds.

“We have developed a scalable solution centered around these cornerstones called S.T.E.P. This program provides our partners with the opportunity for them to S.T.E.P. towards achieving their operational goals by choosing the offerings within this program that best fits their needs.”

By working together, the Avante family of companies and their respective management teams offer customers a broader range of products and services on a national basis while maintaining control at the local level. Avante’s belief is that in today’s environment, doing more with less requires a progressive approach and new way of thinking. That better healthcare starts with seeing a better way forward. A better budget alternative, a better total solution, and a better partner. Uniting the Avante family of companies will bring together the best-of-the-best in the industry and allow the group to deliver total quality care to its customers.

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TRIM 4.5”

• Repairs & Technical Assistance • Installs & Deinstalls • Inspections • In-House Parts • Periodic System Maintenance • Service Contracts • Upgrades • Sales

SLICE OF LIFE_Bobinski

By Dan Bobinski

BALANCING THE 4 BASIC ‘FOOD GROUPS’ OF MEETINGS L

ast month in part one of this two-part series about meetings, I compared meetings to food, because as food is to humans, meetings are necessary for organizations to survive and thrive. I also pointed out that in the same way that too much food makes people slow and lethargic, too many meetings can cause organizations to become similarly sluggish. Another parallel I pointed out was that too few meetings can cause information starvation, which reduces an organization’s capability of operating effectively.

Staying with the food analogy, this month I want to talk about maintaining organizational health by balancing the type of meetings your organization has. That’s because you may have an appropriate number of meetings (i.e., an appropriate number of meals during the day), but if you’re having too many of one type of meeting, it’s like eating too many carbs and skipping the fats and proteins.

After all, if we’re striving toward being a healthy organization, shouldn’t we answer the question, “What is a healthy balance of meetings?”

It’s possible to take all the different types of meetings that occur in the workplace and categorize them into four basic groups. I’m not the only one to do this. In his book, “Death by 54 MEDICALDEALER | JULY 2017

Meeting,” best-selling author Patrick Lencioni also identifies four types of meetings, and his book is very insightful as to why meetings work well and why they don’t.

But staying with our food analogy, let’s suggest that a balanced diet of meetings includes something from each of the following four groups.

INFORMATIONAL MEETINGS

Status meetings fall into this category.

So do presentations that explain what a company does or how a particular product or service will benefit you. Although usually led by one person, they can be interactive.

Another type of informational meeting is what Lencioni calls the “daily check-in.” This is a short, 5-10 minute daily meeting that lets team members know what other team members are doing. To ensure it stays short, Lencioni recommends that nobody sits down during the meeting!

This type of update meeting is common in some restaurants, sometimes referred to as an alley rally. At such meetings, managers meet with servers before a shift starts to review that night’s specials, what wines would pair well with them, plus any other information to keep the restaurant operating at peak efficiency.

Like snacks in between main meals, informational meetings are short, with just enough tidbits of information to

keep the organization energized.

That said, in today’s workplace, faceto-face meetings aren’t always possible.

Many teams today work remotely, so they’ve had to find alternative methods to “meet.” Programs like Skype or GoToMeeting are viable options for the modern workforce, even with teams working on multiple continents.

PROBLEM-SOLVING MEETINGS

This type of meeting is more structured, and can be used for resolving disputes or a crisis, or identifying and removing obstacles that are slowing things down.

Lencioni’s “weekly tactical” meeting falls into this category. Problem-solving meetings address issues to help teams reach their strategic goals.

An agenda is often used at such meetings, although Lencioni’s approach is not to create the agenda until after everyone in attendance gives a two-minute overview of their projects and what problems they’re facing. Using our food analogy, you can adjust the recipe as best suits your team.

Typically such meetings last one or two hours, but if the agenda is accomplished in less time, there’s no reason to stay in the meeting. A great example of this comes from an acquaintance of mine, Jerry, who heads up a small consulting firm in Southern California. On his way out the door to attend a meeting called by a client to solve a production problem, Jerry told his assistant to MEDICAL EQUIPMENT, PARTS & SERVICE

_Bobinski

expect him back in “two or three hours.”

When Jerry walked back in 40 minutes later, his secretary asked if the meeting was cancelled. “No,” said Jerry, “We simply resolved the problem right away. There was no reason to sit around and talk after we accomplished the purpose of the meeting.”

PLANNING MEETINGS

The purpose of planning meetings is making higher-level decisions. Such meetings often include plenty of constructive debate, analysis, and investigation into the issues.

Planning meetings are most effective when they answer the question, “What should we be doing and why should we be doing it?” Lencioni’s “monthly strategic” meeting falls into this group. Whereas problem-solving meetings address the issues of how to reach a team’s strategic goals, planning meetings are for creating those goals. A key to success in these meetings is to have a variety of voices looking at issues from multiple perspectives.

RETREATS/TEAMBUILDING MEETINGS

These meetings allow teams to step back from the action and refocus. For that reason, it’s good if these meetings take place off site, away from email and ringing phones. Questions to ask at such meetings include: What has worked well? What hasn’t worked? Are people in the right place? Are we headed in the right direction? How are we working together as a team?

Lencioni’s “quarterly off-site review” falls into this category. He recommends such meetings have light schedules, limited social activities, and keep their focus primarily on what’s going on at work. In all cases, the purpose of these meetings is to analyze things from a bird’s eye view.

By the way, for meetings that are offsite and one or two days long, it’s a good idea to have at least part of the meeting facilitated by someone from outside the company. People outside the political loop can speak to issues without fear of reprisal.

Done right, retreats and teambuilding meetings help team members to get to know each other. This pays off on the job in the form of better communication, team cohesiveness, and a stronger commitment to team goals and objectives.

The bottom line in all this? Take a look at the types of meetings you hold and the frequency of each. A few adjustments may give you a healthier organization.

Daniel Bobinski, M.Ed., is the CEO of Workplace-Excellence. com, helping teams and individuals learn how to use Emotional Intelligence. He’s also a best-selling author and a popular speaker at conferences and retreats. Reach him at info@mdpublishing.com or editor@mdpublishing.com.

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MEDICALDEALER 55

THE OTHER SIDE_Fidele

By Jim Fidele

NEW WORKAROUND FOR OEMS TO MAKE MORE MONEY W

e have a policy in place that requires a service manual with all new equipment purchases to ensure that we have everything we need to be able to service the equipment properly. We make sure the manual has preventative maintenance (PM) procedures and frequencies listed so we can include them in our computerized maintenance software. The instance I am going to share with you is about how we thought we had everything in place only to be blindsided by the OEM two years later with a $2,500 charge for a PM procedures not included in the manual.

This story starts with an email from a salesman trying to sell me a service contract on an insufflator/smoke evacuator combo unit. The unit is not overly complex. It uses fancy and expensive disposables, but not anything we haven’t handled before. I cordially declined the offer and went about my day. The salesman again requested that we purchase a service contract and he gave me a list of 56 MEDICALDEALER | JULY 2017

reasons, one of which was a recommended two-year PM to restore the equipment to like new condition.

Again, I declined the service stating that we had the manual and could complete anything we needed on our own.

I felt like this salesman was rather insistent about the PM procedures, I asked my technician to look over the PM procedures and talk to the customer about any problems they might be experiencing. My technician went through the PM procedures to ensure the unit would pass all the tests, afterward she spoke to the customer and they told her they weren’t experiencing any issues. At this point, I considered the issue resolved.

A few months later, the salesman stops in my office to once again lobby for the service contract. He proceeded to explain that the unit was not working as it should and said the doctor is unhappy. I told him that we had not received any complaints about the unit. I also told him that we were following all the procedures in the manual and that the machine was functioning perfectly when we checked it two months ago. At this

“ We followed the manufacturer’s recommendations to do the PM, and the device passed all the PM tests.

However, the unit was not functioning optimally. ” point, I was becoming quite irritated.

I told him I would have my technician work with the physician to figure out what the problem was and how to rectify it.

My technician checked the unit again, she showed me the steps listed in the manual to do the PM and the unit passed all of them. She spoke to the physician who said the unit was working fine but not quite as good as it used to, at times there was a little smoke build up in the abdomen. My tech called the company and started working with tech support to solve the problem. I was shocked when my technician came to me and told me that the unit needed to be sent MEDICAL EQUIPMENT, PARTS & SERVICE

_Fidele

in. She found out that they recommend sending the unit in every two years for a “refresh” or full PM. They told my technician that the equipment needed to calibrate the unit was not available in the field and that the unit would have to be sent to Germany to be serviced.

They told her this recommendation is listed in the manual. After carefully combing through the manual we found one line at the bottom of a page, which stated they recommend sending the unit in to the factory every two years. Apparently, they don’t think we have qualified people in the U.S. who can service this type of equipment.

In the end, we did not purchase the three-year $22,000 service contract. We opted to send the unit in and pay the $2,400 for the two-year PM. This situation angers me on many levels, but misrepresenting the PM procedures is the highest. I feel like it is somewhat of a safety issue as well, in good faith, we followed the manufacturer’s recommendations to do the PM, and the device passed all the PM tests. However, the unit was not functioning optimally. From a financial standpoint the unit cost of this device is rather low (less than $10,000). A lot of the money is made on disposables, and now we have to pay $2,400 every two years. I am

hopeful that the clinical outcome is worth it.

I know that when you consider a maintenance and repair budget of a few million dollars saving $2,400 is barely noticeable. But, I feel like this trend of creating equipment that does not have field serviceable PM tasks could be the demise of our careers.

JIM FEDELE, CBET, has been with Medical Dealer magazine for more than 12 years. He is currently the director of clinical engineering for Susquehanna Health Systems in Williamsport, Pa. He can be reached for questions and/or comments by email at editor@mdpublishing.com.

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SLICE OF LIFE_Pay It Forward

By Matt Skoufalos

WICHITA MEDICAL LOAN CLOSET I

n the 1940s and 1950s, polio was at its peak in the United States. Lloyd Hanna remembers it well because, as a young man, he had a bout with the disease. And like many Americans, he might not have been able to beat it on his own.

“If the March of Dimes hadn’t helped my folks, I wouldn’t have ended up as good as I did,” Hanna remembers.

Gratitude for the efforts of an organization dedicated to population health helped shape Hanna’s relationship with both volunteerism and the health care space.

After his retirement, Hanna had more time to dedicate to his community. In 2011, he caught an ABC News story by Diane Sawyer that profiled the Medical Loan Closet of Henderson County, North Carolina, an organization dedicated to giving impoverished community members access to loaner medical equipment. After making contact with the organizers of the program, an Episcopal Church group in Hendersonville, North Carolina, Hanna was off and running with a template for his own version of the medical loan closet, which he established in Wichita, Kansas.

“In Suffolk County, there’s 55,000 people who have no insurance,” 60 MEDICALDEALER | JULY 2017

Lloyd Hanna Founder, Executive Director of Wichita Medical Loan Closet

Hanna said. “Kansas has 180,000. All we’re trying to do is connect people up. If you bring it down and say, ‘Donate it,’ we’re going to give it to people who need it.”

The organization is staffed fully by volunteers, and its inventory comes from community donations.

Customers need only walk through the door to be served. There is very little money exchanged – a nominal $5 to $20 is collected to help sustain the operation – no insurance necessary, nor any prescriptions or vouchers needed in order to browse

the inventory. Goods are available for short- or long-term loans, and borrowers agree to maintain them in good condition without damaging or defacing them. Simply put, Hanna said, “If you need it, you can have it.”

“I have become the polite, casual reference for all the people in town [who need medical equipment],” he said.

The Wichita Medical Loan Closet started out in Hanna’s garage about four years ago. His truck was the warehouse, and its cab, the office.

After the garage became overfull with donations, he found a satellite location in an old school building that was his to use for the price of cleaning it out. When that property was eventually condemned, Hanna stumbled onto a former putt-putt course that had been shuttered for being in the flight path of a local Air Force base. Today, 20-someodd program volunteers organize an inventory of medical equipment that supplies needy patients from throughout the region.

The diversity of equipment on hand in the warehouse ranges from durable gear, like medical beds, wheelchairs, and lifts, all the way to a collection of soft goods that Hanna said rivals that of the nearby Walmart. Ostomy supplies, CPAP machines, knee and elbow braces; MEDICAL EQUIPMENT, PARTS & SERVICE

_Pay It Forward

all donated, all recirculated in the community.

“We bring it in, clean it up, fix it up, get what parts we need,” Hanna said.

His technicians are also volunteers. Retired Subway manager Ed Morra handles the electric beds.

Another two men, one a former uranium miner, the other a horse trainer, oversee repairs on the electric wheelchairs, putting in extra time on top of the six-day-a-week, 10 a.m. to 1 p.m. hours of operation at the Medical Loan Closet.

“It’s a low-level recruitment,” Hanna said. “If we had more people, we’d be open more hours. [Our volunteers] all say, without reservation, that they all feel better when they leave because they’ve helped somebody.”

Having grown the Wichita Medical Loan Closet to its current size, Hanna is now focused on supporting other spinoffs under the spirit of the original charter. Much like the Medical Loan Closet of Henderson County set him on his current course, he has helped like-minded volunteers establish similar operations in the cities of Winfield, Pratt, Dodge City, Garden City, and Hutchinson. Using WWW.MEDICALDEALER.COM

a draft of the lending contract he created for the Wichita Medical Loan Closet and a surplus of equipment from its warehouse, Hanna said he was able to help provide the barest essentials for satellite groups to follow the same lead he did.

“It’s been very word of mouth,” Hanna said. “We have created a model where I could send you a list of who you should talk to. I could drop into a town, and before the day’s over, I could at least have the framework.”

Hanna’s even collected so much surplus medical equipment that he’s been able to fill three shipping containers with supplies for organizations that conduct medical missions. The donations come from all kinds of sources, including family members who’ve lost loved ones whose health care devices remain in good working order. Most are glad that the technology will continue to serve another person who needs it; others have found the act of donating the equipment is a way of creating a connection that sustains the legacy of their late relative.”

“If your parents pass and you have all this stuff, you find a place for it,” Hanna said. “We had a lady bring in some really specialized children’s stuff last week. She wants us to call her when whoever gets this so she can come tell them her story.”

Stories like that are part of Hanna’s role with the Medical Loan Closet; so much so that his title has evolved from “Founder” to “Executive Director” to “Ambassador and Storyteller.” He recollected one of his favorites, a tale about a senior citizen whose walker was so outdated that it wasn’t designed with wheels to ease her stride.

“She came in, ‘clunk, clunk, clunk,’ ” Hanna said. “We got her a walker with wheels, and I put slides on the back. She stood there and rolled that back and forth.

No noise.”

“When you can see a lady smile who’s 90 years old, that’s why we do this,” he said.

MEDICALDEALER 61

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CATEGORICAL INDEX

Anesthesia Multi Diagnostic Imaging Solutions…………BC Soma Technology, Inc. ………………………………… 41 Asset management Asset Management Associates, LLC………… 63 Shared Imaging……………………………………………… 70 Auction/Liquidation Government Liquidation …………………………… 71 Biomedical Ampronix …………………………………………………………7 BETA Biomedical Services, Inc. ………………… 59 Global Medical Imaging ………………………… 48-52 InterMed Group…………………………………………… 11 Maull Biomedical Training, LLC ………………… 58 Multi Diagnostic Imaging Solutions…………BC Retrieve Medical Equipment……………………… 59 Southwestern Biomedical Electronics, Inc.…8 USOC Medical …………………………………………………2 C-Arm Technical Prospects……………………………………… 19

Contrast Media Injectors Injector Support and Service……………………… 24 Diagnostic Imaging ENMET…………………………………………………………… 64 Injector Support and Service……………………… 24 Shared Imaging……………………………………………… 70 Summit Imaging …………………………………… 4,26,31 Endoscopy J2S Medical, LLC…………………………………………… 67 Gas/Air Monitors ENMET…………………………………………………………… 64 General ALCO Sales & Service Co.………………………… 41,71 Government Liquidation …………………………… 71 Multi Diagnostic Imaging Solutions…………BC TTI Travel………………………………………………………… 64 Imaging Cool Pair Plus………………………………………………… 53 Injector Support and Service……………………… 24 InterMed Group…………………………………………… 11

Cardiology International X-ray Brokers………………………… 59 Multi Diagnostic Imaging Solutions…………BC

Imaging Parts Diagnostic Solutions …………………………………… 65

Centrifuge Ozark……………………………………………………………… 24

Infusion Pumps J2S Medical, LLC…………………………………………… 67

Computed Tomography Dedicated Imaging Solutions………………………6 East Coast Medical Systems ……………………… 63 Ed Sloan & Associates ………………………………… 21 Exclusive Medical Solutions……………………… 68 International Medical Equipment & Service ………………………………………………………… 17 KEI Medical Imaging Services …………………… 53 Metropolis International …………………………… 65 MIT/Medical Imaging Technologies ………… 63 MTC/Medical Technologies Co. ………………… 62 Multi Diagnostic Imaging Solutions…………BC Retrieve Medical Equipment……………………… 59 RSTI Exchange……………………………………………… 74 Technical Prospects……………………………………… 19 Tri-Imaging Solutions…………………………………… 34

Infusion Therapy

72 MEDICALDEALER | JULY 2017

Laboratory MIT/Medical Imaging Technologies ………… 63 MTC/Medical Technologies Co. ………………… 62 Ozark……………………………………………………………… 24 Laser Multi Diagnostic Imaging Solutions…………BC Mammography Summit Imaging …………………………………… 4,26,31 Monitors/CRTs Advanced Ultrasound Elec./AUE………………… 55 Ampronix …………………………………………………………7 Bio-Medical Equipment Service Co. ………… 67 Multi Diagnostic Imaging Solutions…………BC Soma Technology, Inc. ………………………………… 41 Tenacore Holdings, Inc.………………………………… 47

MRI Bayer Healthcare Services ………………………… 57 Carolina Medical Parts ………………………………… 25 Cool Pair Plus………………………………………………… 53 Dedicated Imaging Solutions………………………6 East Coast Medical Systems ……………………… 63 Ed Sloan & Associates ………………………………… 21 ENMET…………………………………………………………… 64 Exclusive Medical Solutions……………………… 68 International Medical Equipment & Service ………………………………………………………… 17 International X-ray Brokers………………………… 59 KEI Medical Imaging Services …………………… 53 MIT/Medical Imaging Technologies ………… 63 MTC/Medical Technologies Co. ………………… 62 Multi Diagnostic Imaging Solutions…………BC Retrieve Medical Equipment……………………… 59 Nuclear Medicine E.L. Parts, LLC………………………………………………… 53 Global Medical Imaging ………………………… 48-52 InterMed Group…………………………………………… 11 International X-ray Brokers………………………… 59 Online Resources MedWrench …………………………………………………… 35 Patient Monitoring BETA Biomedical Services, Inc. ………………… 59 Bio-Medical Equipment Service Co. ………… 67 J2S Medical, LLC…………………………………………… 67 Multi Diagnostic Imaging Solutions…………BC Pacific Medical …………………………………………………5 Southwestern Biomedical Electronics, Inc.…8 Tenacore Holdings, Inc.………………………………… 47 USOC Medical …………………………………………………2 Power System Components Interpower…………………………………………………………3 Probe Repair Global Medical Imaging ………………………… 48-52 Radiology Ampronix …………………………………………………………7 Asset Management Associates, LLC………… 63 Collimare, LLC………………………………………………… 15 Engineering Services…………………………………… 36 ENMET…………………………………………………………… 64 InterMed Group…………………………………………… 11 International X-ray Brokers………………………… 59

MEDICAL EQUIPMENT, PARTS & SERVICE

CATEGORICAL INDEX

Maull Biomedical Training, LLC ………………… 58 Metropolis International …………………………… 65 Multi Diagnostic Imaging Solutions…………BC Radon Medical ……………………………………………… 62 Rayence Inc.…………………………………………………… 35 RSTI Exchange……………………………………………… 74 Technical Prospects……………………………………… 19 Recruiting Adel Lawrence Associations, Inc.……………… 71 Repair/Refurbish Advanced Ultrasound Elec./AUE………………… 55 ALCO Sales & Service Co.………………………… 41,71 Carolina Medical Parts ………………………………… 25 Cool Pair Plus………………………………………………… 53 Dedicated Imaging Solutions………………………6 Ed Sloan & Associates ………………………………… 21 Global Medical Imaging ………………………… 48-52 Government Liquidation …………………………… 71 Injector Support and Service……………………… 24 KEI Medical Imaging Services …………………… 53 MIT/Medical Imaging Technologies ………… 63 MTC/Medical Technologies Co. ………………… 62 MW Imaging…………………………………………………… 12 Pacific Medical …………………………………………………5 Radon Medical ……………………………………………… 62 Shared Imaging……………………………………………… 70 Summit Imaging …………………………………… 4,26,31 Repair/Services Ampronix …………………………………………………………7 Bayer Healthcare Services ………………………… 57 Bio-Medical Equipment Service Co. ………… 67 Exclusive Medical Solutions……………………… 68 Multi Diagnostic Imaging Solutions…………BC RSTI Exchange……………………………………………… 74 Southwestern Biomedical Electronics, Inc.…8 Trisonics ………………………………………………………… 62 USOC Medical …………………………………………………2 Replacement Parts BETA Biomedical Services, Inc. ………………… 59 Carolina Medical Parts ………………………………… 25 Dedicated Imaging Solutions………………………6 Diagnostic Solutions …………………………………… 65 E.L. Parts, LLC………………………………………………… 53 Ed Sloan & Associates ………………………………… 21 Engineering Services…………………………………… 36 Global Medical Imaging ………………………… 48-52 Government Liquidation …………………………… 71

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International Medical Equipment & Service ………………………………………………………… 17 KEI Medical Imaging Services …………………… 53 Multi Diagnostic Imaging Solutions…………BC Ozark……………………………………………………………… 24 Radon Medical ……………………………………………… 62 RSTI Exchange……………………………………………… 74 Soma Technology, Inc. ………………………………… 41 Southwestern Biomedical Electronics, Inc.…8 Technical Prospects……………………………………… 19 Trisonics ………………………………………………………… 62

Exclusive Medical Solutions……………………… 68 InterMed Group…………………………………………… 11 MW Imaging…………………………………………………… 12 Retrieve Medical Equipment……………………… 59 Summit Imaging …………………………………… 4,26,31 Trisonics ………………………………………………………… 62

Respiratory ENMET…………………………………………………………… 64

J2S Medical, LLC…………………………………………… 67

Replacement Parts Classic Diagnostic………………………………………… 58 Sterilizers ENMET…………………………………………………………… 64 InterMed Group…………………………………………… 11 Surgical Ampronix …………………………………………………………7 Surplus Medical Government Liquidation …………………………… 71 Telemetry J2S Medical, LLC…………………………………………… 67 Southwestern Biomedical Electronics, Inc.…8 Tenacore Holdings, Inc.………………………………… 47 Trade Shows TTI Travel………………………………………………………… 64 Training Maull Biomedical Training, LLC ………………… 58 Summit Imaging …………………………………… 4,26,31 Travel Services…………………………………………………

TTI Travel………………………………………………………… 64

Ultrasound Parts Advanced Ultrasound Elec./AUE………………… 55 Global Medical Imaging ………………………… 48-52 Ultrasound System Support

VCR Repair/Services Advanced Ultrasound Elec./AUE………………… 55 Wheelchair ALCO Sales & Service Co.………………………… 41,71 X-Ray Asset Management Associates, LLC………… 63 Bayer Healthcare Services ………………………… 57 Classic Diagnostic………………………………………… 58 Collimare, LLC………………………………………………… 15 Diagnostic Solutions …………………………………… 65 Engineering Services…………………………………… 36 Exclusive Medical Solutions……………………… 68 International X-ray Brokers………………………… 59 MIT/Medical Imaging Technologies ………… 63 MTC/Medical Technologies Co. ………………… 62 Ray-Pac………………………………………………………… IBC Rayence Inc.…………………………………………………… 35 Retrieve Medical Equipment……………………… 59 RSTI Exchange……………………………………………… 74 Technical Prospects……………………………………… 19 Tri-Imaging Solutions…………………………………… 34 X-Ray Tubes Ray-Pac………………………………………………………… IBC

Tubes/Bulbs International Medical Equipment & Service ………………………………………………………… 17 Technical Prospects……………………………………… 19 Tri-Imaging Solutions…………………………………… 34 Ultrasound Advanced Ultrasound Elec./AUE………………… 55 Bayer Healthcare Services ………………………… 57 Diagnostic Solutions …………………………………… 65

MEDICALDEALER 73

ALPHABETICAL INDEX

Adel Lawrence Associations, Inc.……… 71

ENMET…………………………………………………… 64

Ozark……………………………………………………… 24

Advanced Ultrasound Elec./AUE………… 55

Exclusive Medical Solutions……………… 68

Pacific Medical …………………………………………5

ALCO Sales & Service Co.………………… 41,71

Global Medical Imaging ………………… 48-52

Radon Medical ……………………………………… 62

Ampronix ………………………………………………… 7

Government Liquidation …………………… 71

Ray-Pac………………………………………………… IBC

Asset Management Associates, LLC…… 63

Injector Support and Service……………… 24

Rayence Inc.…………………………………………… 35

Avante Health Solutions……………… 48-52

InterMed Group…………………………………… 11

Retrieve Medical Equipment……………… 59

Bayer Healthcare Services ………………… 57

International Medical

RSTI Exchange……………………………………… 74

BETA Biomedical Services, Inc. ………… 59

Equipment & Service …………………………… 17

Shared Imaging……………………………………… 70

Bio-Medical Equipment Service Co. ��67

International X-ray Brokers………………… 59

Soma Technology, Inc. ………………………… 41

Carolina Medical Parts ………………………… 25

Interpower…………………………………………………3

Southwestern Biomedical

Classic Diagnostic………………………………… 58

J2S Medical, LLC…………………………………… 67

Electronics, Inc.…………………………………………8

Collimare, LLC………………………………………… 15

KEI Medical Imaging Services …………… 53

Summit Imaging …………………………… 4,26,31

Cool Pair Plus………………………………………… 53

Maull Biomedical Training, LLC ………… 58

Technical Prospects……………………………… 19

Dedicated Imaging Solutions………………6

MedWrench …………………………………………… 35

Tenacore Holdings, Inc.………………………… 47

Diagnostic Solutions …………………………… 65

Metropolis International …………………… 65

Tri-Imaging Solutions…………………………… 34

E.L. Parts, LLC………………………………………… 53

MIT/Medical Imaging Technologies ��63

Trisonics ………………………………………………… 62

East Coast Medical Systems ……………… 63

MTC/Medical Technologies Co. ………… 62

TTI Travel………………………………………………… 64

Ed Sloan & Associates ………………………… 21

Multi Diagnostic Imaging Solutions BC

USOC Medical …………………………………………2

Engineering Services…………………………… 36

MW Imaging…………………………………………… 12

74 MEDICALDEALER | JULY 2017

MEDICAL EQUIPMENT, PARTS & SERVICE

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