New research from Siemens’ Financial Services unit (SFS) shows that
finance is playing an increasingly important role in enabling medical
equipment acquisition for healthcare organizations around the globe.
According to the study amongst the global top 40 medical equipment
manufacturers, close to 70% of respondents had seen an increasing demand
for healthcare equipment finance (asset finance) from their customers
over the last two years. During this period, the proportion of global
medical equipment sales financed has grown by an average of 6.9%
annually. Over 60% of respondents believed that finance penetration will
continue to rise over the next two years.
Other underlying trends also emerged from the research. Two thirds of
respondents reported that their healthcare customers are feeling a
squeeze on their capital budgets. 57% reported growing demand for
tailored financing for healthcare organizations to acquire new
equipment. In particular, demand is increasing for tailored monthly
finance payments (grace periods) to help meet expected project cash flow
/ financial return objectives, financing end-to-end clinical or
diagnostic processes .
Gary Amos, Head of Commercial Finance – Region Americas, commented, “In
the US, intensified competition between healthcare providers is driving
the need for greater investment in up-to-date medical equipment in the
battle to win patients. However, budget constraints mean that many
healthcare organizations are limited in their ability to make essential
equipment upgrades and replacements. Using sustainable financing
techniques such as asset finance, healthcare providers can undertake
medical technology investment to improve clinical efficiency and
accuracy despite financial pressures.”
Another common observation from respondents was a change in the approach
to making equipment acquisition decisions amongst all healthcare
institutions across the world (public and private). There appears to be
a gradual shift in investment decisions away from clinicians to finance
professionals (e.g. CFOs), except where technological advances make such
a difference in performance as to offer major performance
(diagnostic/clinical outcomes), productivity or safety increments.
Methodology:
Research was conducted by independent organization MindMetre Research
amongst the global top 40 medical equipment manufacturers in Spring this
year. In each respondent company, multiple interviewees held
responsibility either for a region of the world (e.g. the Americas;
Europe; etc) or had a global remit. Respondents were interviewed on
their views in relation to recent trends in demand for asset finance
from healthcare organizations worldwide, their future projections for
this demand, and the country differences in demand for asset finance and
its main drivers.
This press release and full report is available at:
https://finance.siemens.com/financialservices/us/news_press/press_releases/pages/assetfinance-medicaltechnologyinvesting.aspx
For further information on Siemens Financial Services, please visit: www.usa.siemens.com/finance
Follow us on Twitter at: www.twitter.com/siemens_sfs
Siemens AG (Berlin and Munich) is a global technology powerhouse
that has stood for engineering excellence, innovation, quality,
reliability and internationality for more than 165 years. The company is
active in more than 200 countries, focusing on the areas of
electrification, automation and digitalization. One of the world’s
largest producers of energy-efficient, resource-saving technologies,
Siemens is No. 1 in offshore wind turbine construction, a leading
supplier of combined cycle turbines for power generation, a leading
provider of power transmission solutions and a pioneer in infrastructure
solutions and automation and software solutions for industry. The
company is also a leading supplier of medical imaging equipment – such
as computed tomography and magnetic resonance imaging systems – and a
leader in laboratory diagnostics as well as clinical IT. In fiscal 2013,
which ended on September 30, 2013, revenue from continuing operations
totaled €75.9 billion and income from continuing operations €4.2
billion. At the end of September 2013, Siemens had around 362,000
employees worldwide on the basis of continuing operations. Further
information is available on the Internet at www.siemens.com.
![](http://cts.businesswire.com/ct/CT?id=bwnews&sty=20141119005150r1&sid=ntxv4&distro=nx&lang=en)
Copyright Business Wire 2014