Philips-Visicu Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

Would the arrival of global payment versions and ACOs create sufficient need for a telemedicine offering covering the care continuum, from hospitals to the residence? This was the choice facing Royal Philips Electronics (Philips), the Netherlands-based manufacturer of lighting, consumer electronics, and healthcare goods, in 2012. Philips already offered numerous remote tracking systems for hospitals, for example, eICU, which it obtained through the 1998 acquisition of Visicu. In the eICU version, patients in hospital ICUs were tracked using bedside apparatus, which transmitted patient info to a remote station from which clinicians tracked and directed care as needed.

The model planned to boost care quality by enabling early interventions and reducing adverse events, and to cut prices by allowing clinicians to take care of a huge number of patients. Structuring on this and various other offerings in its portfolio, together with numerous home care apparatus, Philips could expand this model to produce an integrated remote observation offering managed through a centered clinician. In the process, it might gain a heavy and early foothold with ACOs and place itself as a leader in telemedicine -enabled care. Nonetheless, U.S. telemedicine adoption to date was slow, in part due to inadequate cost-effectiveness evidence, and ACOs-the likely goal customer-stayed underdeveloped. Philips would also contend with numerous operational challenges and a complex selling procedure. Was it too pre-mature to endow? And, if not, who were the ultimate ACO beta sites?

Philips-Visicu case study solution

PUBLICATION DATE: September 24, 2012 PRODUCT #: 313015-HCB-ENG

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