Financial

Value based propositions starts with value focused contracts

Healthcare market is expected to grow not just in terms of numbers but also in terms of value propositions. This was thought, on foundation of which many reforms were structured and passed. However industry move on the same front became evident only recently, when there was an uptick in deals amid Medtech behemoths and Hospital centres, all revolving around value based contracts.

Value based healthcare contracting strategies saw an increased materialization in last few months. One common feature that was noticed in these partnerships was a relation that extended far beyond device sales, and stretched into an un-explored territory of streamlining running cost via various service packages.

One of the companies that were part of value based contract strategies was GE, which recently inked deal with Philadelphia’s Temple University Health System. Deal was in alignment with Jeff Immelt’s future plans for GE, and included upgrade of TUHS radiology centre, along with software support that health-centre could leverage to cut operational costs.

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