GE HealthCare (Nasdaq:GEHC) announced today that it entered into a 10-year agreement with Advantus Health Partners with $760 million.
The agreement provides GE HealthCare’s healthcare technology management (HTM) services to Advantus’ clients. Together the companies aim to offer a holistic program beyond the traditional break-fix approach to medical device maintenance. Advantus plans to use the partnership to support quality care and sustainable cost reductions for its clients, too.
“Advantus was founded following our team’s success designing a better supply chain model for a large health system with 48 hospitals,” said Dan Hurry, president of Advantus Health Partners. “We understand the growing challenges that health care providers—large and small—face in today’s environment. We are constantly working to bring next-generation supply chain management models to our customers, and this relationship with GE HealthCare underscores our commitment to delivering benefits to health systems, suppliers and the overall healthcare supply chain.”
About the GE HealthCare partnership with Advantus Health Partners
The comprehensive HTM program provides complete management of medical equipment in a healthcare facility. This includes ongoing maintenance, monitoring for and addressing recalls, disinfection and distribution and more.
GE HealthCare said the program standardizes the processes to manage equipment across systems and proactively monitor data safety. This can help reduce costs and improve productivity.
Additionally, clients can access GE HealthCare’s Encompass real-time location system. Encompass tracks and locates a provider’s equipment so caregivers can spend less time searching for equipment. Other services include asset management and an advanced scopes program. That features a proactive service strategy for endoscopes.
“We are excited to build a healthier future by managing the comprehensive service needs of healthcare providers and helping ensure they have the latest technology available to provide quality care to their patients,” said Mohamed El-Demerdash, GE HealthCare U.S. and Canada Services president. “Together with Advantus Health Partners, we will support healthcare organizations as they continue to evolve and adapt to meet their ever-changing needs and those of the communities they serve.”