Healthymagination at GE Healthcare Systems Essays

2400 Words Oct 22nd, 2013 10 Pages
Case Analysis
Healthymagination at GE Healthcare Systems

Table of Contents

1. Executive Summary

The key issue facing GEHS today is that despite high potential growth in both the developed and developing markets traditional B2B marketing lines are slow; the buyers control the power and the end consumer (patients) sees GEHS and its competitors as “faceless” corporations and their countries health care services as lacking. End users want cheaper, better quality, and more accessible healthcare and GEHS wants to grow market share and improve reputation.
While GEHS is the current market leader there is tumultuous change happening in the market with the aging
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Looking at Porter’s five forces in appendix 3 it is clear that without the barriers set by the purchasers GEHS would be able to be more responsive to the end user as indicated in appendix 4. As such, they are now using the healthymagination strategy to layer shared value into the new product introduction (NPI) process. This starts during product conceptualization where a target market and value created are defined before proceeding into product development. By doing this GEHS sets a requirement for all new offering to reduce costs to customers by 15%, improve quality for customers by 15%, and increase access to care for individuals by 15%. See appendix 5 for a process overview with the healthymagination strategy as well as the NPI evaluation chart.
Product
Application
Value proposition: cost, quality, or access
Market size
Total investment
Cost
HepEcho
Diagnose liver cancer, more effective identification of lesions
Quality
$400MM
$36MM
$120,000
TEEmax
Closely examine heart when considering a mitral valve
Quality but not a 15% improvement solution.
Growing into a billion-dollar segment
$20MM
Not specified UltraLipo
Cosmetic procedures
None

$1B $10MM
$1500-7500
Omega
Use to identify risks during pregnancy and so any problems can be identified and solved early
Access
59,800 midwives
$6MM