From the August 2014 issue of HealthCare Business News magazine


With cost containment a hot button topic for health care professionals, stretching the profitable life of equipment assets is highly desired. Taking care of the equipment, keeping up with preventative maintenance schedules and even just being sure to keep it clean goes a long way to helping the machine go a long way. “We try to manage the equipment with the idea that it should be maintained in as close-to-factory-new condition as possible,” says McMurtrie. But it’s sometimes easier said than done, especially when parts get scarce or service support dries up.

In instances where the OEM has discontinued support or the cost to upkeep through OEM services become prohibitive in comparison to the revenue a machine is generating, then McMurtrie will explore aftermarket parts options or other options for service. In general though, his hospital system relies heavily on OEM service and materials. “I would say the percentage breakdown would be 85 percent OEM and 15 percent aftermarket,” he says.


It’s a balancing act when considering the revenue a piece of equipment can generate and the cost it takes to maintain the machine. If outside service companies are used (whether OEM or ISO) a carefully designed contract can help a hospital more accurately determine when it’s time to retire a machine. However, if the last few years have been any indication of things to come, return on investment will require very careful planning and considerations like service and parts will have to figure in significantly to the overall plan. “Most parts we pay for have gone up,” says McMurtrie. “In some cases, doubling or tripling in cost over a year or two,” he says.

While McMurtrie’s hospital system does belong to a GPO and prefers going through it for services, they do have flexibility to look outside those boundaries when a situation warrants it.

Uptime equals patient satisfaction

Donal Teahan, director of practice development for the department of radiology at NYU Langone Medical Center, is a strong voice in the parts and service discussion. Teahan washes his hands of the notion of taking services in-house and welcomes continued service by the OEMs.

“I rely on Siemens to service much of our equipment because I believe that in our environment with the uptime I’m required to have, that I have much more control and get a much better response than I would from an in-house engineering department that’s fixing beds one day and MRs the next,” Teahan says.

August 2014 Magazine

Read more stories from the August 2014 issue

More Industry Headlines