If you read our news yesterday, you know that BC Technical purchased
C&G Technologies. This acquisition registered with me on many levels.
C&G and its president, Greg Kramer, have been around for a long time. C&G Technologies is a company that you can turn to when you need a GE CT scanner part. When I think about Greg Kramer, a guy younger than I am, selling his company, it makes me pause.
It also reminds me of my prediction
at the beginning of the year (forgive me for patting myself on the back) that there would be a lot of acquisitions in 2013.
It also reminds me about AllParts Medical having been purchased by Philips, ReMedPar having been purchased by Aramark, and Platinum Medical Imaging having been purchased by Oxford. Philips, Aramark and Oxford are big players and certainly different from the privately owned AllParts, ReMedPar and Platinum. (I recognize that ReMedPar had been owned by a VC operation but in my opinion, those people were just looking for a place to park their money temporarily).
Now, BC Technical and their activities is another example of how the industry is changing.
Yesterday, I was traveling through Chicago O'Hare airport when I ran into someone I know from our industry who works for a public company that for now shall remain unnamed. We talked about how the industry is changing and how there are some very, very large corporations in play that most people are not even aware of. I expect to see several significant announcements between now and RSNA.
I ask myself, what does all this mean to health care providers and independent entrepreneurs like myself?
In my experience, when public companies sell a unit, it takes time for the new management team to settle into a routine. This is a good time for entrepreneurs who already have a relationship with a given provider.
Some providers work with independents because they have a relationship with that independent or because they feel the independent can give better service. Forgive me for using another Phil Jacobus automobile example, but I use a mechanic by the name of Max Scroggs in Chapel Hill, North Carolina to service my antique Mercedes Benz automobiles because I think he is better suited than Mercedes Benz of Manhattan.
At the same time, I take my brand new Lexus to the dealership because they are better equipped to service it.
The same is true in health care; there is a place for everybody, both OEM and independent.
It will be interesting to see how BC Technical, AllParts, ReMedPar, Oxford and other companies like them will grow.
I predict the real winners will be the providers. I predict that more and more providers will go in house. The smart people will catch that wave and look for ways to support in-house service.
This month, the cover of our magazine has images of three separate doors offering service from the OEM, in-house and ISO. Read it you will enjoy it.
Tell me what you predict.
Phil is a member of AHRA, HFMA, AAMI and the Cryogenic Society of America. He has contributed to a number of magazines and journals and has addressed trade groups.
Phil's proudest achievement is that he has been happily married to his wife Barbara since 1989, who helped him found DOTmed in 1998.