Getinge to get competitive

Company announces a comprehensive transformation programme focused on growth, efficiency and a new organisational structure

At Getinge’s capital markets day, President and CEO Alex Myers presented a comprehensive transformation programme aimed at increasing the company’s competitiveness and leading to a higher degree of customer focus.

‘The transformation programme will ensure that we have a customer-focused structure,’ said Myers, ‘resulting in improved profitability and increased growth.’

The transformation programme comprises three components:

  • Creating growth by aligning the product portfolio and putting a sales structure in place that offers Getinge’s complete product portfolio and is clearly tailored to the needs and value chain requirements of the healthcare sector; the focus is on delivering increased clinical and financial value to the customer, thereby responding to the challenges and changes facing the healthcare industry.
  • Improving profit by leveraging the group’s economies of scale to a greater degree, and moving from three independent business areas to a joint organisational structure.
  • Establishing a new organisational structure, effective 1 January 2016, which will enable a timely and smooth implementation of the programme.

Overall, the programme is expected to achieve an EBITA improvement of SEK2.5–3bn by 2019. The current organisational structure, comprising three independent business areas, will be replaced with a new structure, said entail better opportunities to focus on the needs of each individual customer, process harmonisation and more efficient management.

The new organisation will consist of a group-wide supply chain function to deliver better customer service and drive cost synergies. Three business category units will be established – surgical workflows, acute care therapies, and patient and post-acute care – providing more focused customer offerings.

‘To strengthen our market position and better reflect customer needs and requirements, a new sales organisation will also be established to promote the joint product range,’ added Myers. The Maquet, ArjoHuntleigh and Getinge product brands will be retained.

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