Philips signs two long-term strategic partnership agreements in Germany

Amsterdam, the Netherlands, Cologne and Munich, Germany — July 12, 2018 — Royal Philips (NYSE: PHG, AEX: PHIA), a global leader in health technology, today announced it has signed two long-term strategic partnership agreements with hospital groups in Germany. The Kliniken der Stadt Köln(Clinics of Cologne) and Philips signed a 15-year partnership contract, under the terms of which Philips will be responsible for the delivery, upgrade, replacement and maintenance services of advanced medical imaging solutions to support precision diagnosis and therapy. Philips will also help to improve the hospital’s radiology workflows to further enhance the quality and efficiency of its care, as well as patient and staff satisfaction. Philips recently also signed an 8-year strategic innovation partnership agreement for medical imaging solutions, including healthcare consultancy services, with the Städtische Klinikum München (Munich Municipal Hospital) one of the largest municipal hospital groups in Germany.

Phased technology introduction for maximum added value in Munich

Under the terms of the agreement with the Städtische Klinikum München, valued at approximately 50 million euro, Philips will provide the hospital with state-of-the-art imaging systems and clinical informatics. In total, over 200 imaging systems throughout the hospital group will be renewed, making this the largest medical technology project for a single clinic in Europe. Philips will also provide its strategic consultancy services. Strategies will be developed and implemented to support the hospital in digitizing its operations and enabling seamless connected care across locations and medical disciplines. In addition, department designs and care pathways will be analyzed with the aim of optimizing planning, technology utilization, clinical processes, treatment outcomes and patient and staff experiences.

"The goal of the partnership with Philips is to jointly increase the quality and efficiency of care with a focus on enhancing the patient and staff experiences." 

Dr. Axel Fischer - Chairman of the Board of Management at the Städtische Klinikum München

"The goal of the partnership with Philips is to jointly increase the quality and efficiency of care with a focus on enhancing the patient and staff experiences,” explained Dr. Axel Fischer, Chairman of the Board of Management at the Städtische Klinikum München. “By combining innovative technology concepts that address the evolving needs of our patient population with continuous improvement of our processes, we aim to ensure cost-effective care for patients in the Munich region over the long-term.”

The eight-year innovation partnership will be based on a needs-based concept that will integrate new state-of-the-art technologies intelligently, via a timely phased approach, into the hospital’s processes. It will help the Städtische Klinikum München drive optimum clinical and economic value from its technology investments. 

Improving infrastructure and radiology workflows in Cologne

Under the terms of the agreement with the Kliniken der Stadt Köln, valued at approximately 90 million euro, Philips will be responsible for the procurement of new and replacement medical imaging solutions, together with their maintenance and service. The agreement covers all three of the clinic’s locations: Holweide, Merheim and the Children’s Hospital Amsterdamer Strasse. Philips will also provide strategy and operational consultancy services to identify cost savings and improve the quality and efficiency of care. In addition to providing innovative health technology solutions and services, Philips will support the Kliniken der Stadt Köln with the planning of a new radiology-unit, including a new building construction in Merheim, and with optimization of the clinic’s operating procedures in radiology for children and adults.

"Through these innovative partnership models we will support the Städtische Klinikum München and the Kliniken der Stadt Köln to continuously improve delivery of care for their patient populations,” said Peter Vullinghs, Market Leader Philips DACH. “These partnerships underline Philips’ transition to becoming an integrated solutions provider that takes a holistic approach to meeting its customers’ needs.”

As part of both agreements, Philips will install its IQon Spectral CT solutions in both hospitals. With its enhanced tissue characterization and visualization capabilities, IQon Spectral CT allows for more effective imaging and fewer repeat scans, improving clinical confidence and helping clinicians to make the right diagnosis during the first scan. Philips’ latest healthcare informatics solutions will enable the integration of patient information across both hospital group’s locations to improve care team collaboration, clinical decision making, and patient outcomes. 

About Royal Philips

Royal Philips (NYSE: PHG, AEX: PHIA) is a leading health technology company focused on improving people's health and enabling better outcomes across the health continuum from healthy living and prevention, to diagnosis, treatment and home care. Philips leverages advanced technology and deep clinical and consumer insights to deliver integrated solutions. Headquartered in the Netherlands, the company is a leader in diagnostic imaging, image-guided therapy, patient monitoring and health informatics, as well as in consumer health and home care. Philips generated 2017 sales of EUR 17.8 billion and employs approximately 74,000 employees with sales and services in more than 100 countries. News about Philips can be found at www.philips.com/newscenter.