Marin General Hospital has formed in a 15-year, $90 million strategic partnership with a Netherlands-based health care technology company to transform and advance care in Marin County.
This is said to be the first large scale partnership of its kind for an independent community hospital and the third for Royal Philips in North America in the last six months. The deal also comes as the hospital is planning to start a major expansion and modernization project.
Through the partnership, Philips will provide the hospital with a comprehensive range of advanced medical technologies including imaging systems, patient monitoring, telehealth and clinical informatics solutions as well as clinical education, consulting and design services.
“We want to help keep residents of Marin healthy, and that means providing quality care close to home, including a new building, state-of-the-art health care technologies and services that will allow us to deliver on our goal of treating the whole patient — mind, body and spirit,” said Mark Zielazinski, hospital chief information and technology integration officer. “As an independent community hospital, we have made a conscious decision to partner with Philips, an industry leader, [which] can support us in taking a long-term view and quickly adopting the latest digital health technologies, while creating an exceptional experience for our patients.”
This latest partnership signals a growing trend within hospitals and health systems to better manage the cost and complexity of their technology investments, while expanding quality access to advanced medical care to improve patient outcomes. In June, Philips partnered with Westchester Medical Center Health Network in New York’s Hudson Valley, in a multiyear, $500 million deal. The company entered into a similar deal with a health care system in Canada in November.
The accelerating shift in U.S. health care management is driving organizations towards strategic partnerships for creating long-term patient value while managing costs, complexity and risk. In the initial phase of a similar long-term partnership with Philips, a hospital reported a 35 percent reduction in technology spending, while improving clinical quality, according to the company.
“Forward-thinking organizations such as Marin General Hospital understand that for community hospitals to differentiate themselves and to comply with new value based models, they need to focus on the patient experience and team up with a technology partner that has a deep understanding of how a hospital operates,” said Frans van Houten, CEO of Royal Philips. “By partnering with Philips, Marin General Hospital not only has access to over a century of experience in leading health care technology, solutions and services, they have a partner with the right resources and skill set to help them deliver an excellent patient experience, high-quality health care and manage costs. This allows them to focus on ... delivering better care.”
Marin General also this year plans to break ground on a hospital-replacement project and open a state-of-the-art breast health center.