plm conference v3

CONFIDENTIAL

Guido Pardo Roques

General Manager, Philips Medical Systems Technologies

Sr Director Global Research and Advanced Development, Computed Tomography

Chairman of the Association of Electronics Industries’ Medical Equipment Forum

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הטווח שבין ניהול חיי מוצר

להיענות לצרכי לקוח

PLMהועידה למחזור חיי המוצר ואיכותו

24/05/2011

השינוי מתחיל מבפנים

CONFIDENTIAL

PLM – Definition and benefits

• PLM is the process of managing the

entire lifecycle of a product from its

conception, through design and

manufacture, to service and disposal.

PLM integrates people, data,

processes and business systems and

provides a product information

backbone for companies and their

extended enterprise.

• Reduced time to market

• Improved product quality

• Reduced prototyping costs

• More accurate and timely Request

For Quote generation

• Ability to quickly identify potential

sales opportunities and revenue

contributions

• Savings through the re-use of original

data

• A framework for product optimization

• Reduced waste

• Savings through the complete

integration of engineering workflows

• Compliance

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Philips Healthcare, 2011


34,000+People employed worldwide in 100

countries

450+Products and

services offered in over 100 countries

9%of sales

invested in R&D in 2009

€7.8Billion in sales

in 2009

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Depth and reach of Philips Healthcare 2009

International

Philips Healthcare

Businesses Sales & services geographies

Imaging

Systems

Home

Healthcare

Solutions

Patient Care

and Clinical

Informatics

Services North America Emerging

Markets

40% 15% 20% 25% 47% 34% 19%


Philips and PLM

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Philips and PLM

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CONFIDENTIAL 7

• Reduced time to market

• Improved product quality

• Reduced prototyping costs

• More accurate and timely Request For

Quote generation

• Ability to quickly identify potential sales

opportunities and revenue contributions

• Savings through the re-use of original

data

• A framework for product optimization

• Reduced waste

• Savings through the complete

integration of engineering workflows

• Compliance

CONFIDENTIAL 8

Based on your

experience with this

product, how likely are

you to recommend our

product to a friend,

relative or colleague?’

Based on your

experience with this

brand, how likely are you

to recommend our brand

to a friend, relative or

colleague?’

CONFIDENTIAL 9

10Trian the trainer manual CLS071217-PN2-DAP Train the trainer manual V5 CLS surveys

What is NPS?The NPS is founded on one simple question: ‘Based on your experience with this product,

how likely are you to recommend Philips to a friend.

Detractors are unhappy customers who can damage your brand and impede growth through negative word-of-mouth

Passives are satisfied but unenthusiasticcustomers who are vulnerable to competitive offerings

Promoters are loyal enthusiasts who will keep buying and refer others, fueling growth

Example:(100 customers)

20% rated 9 & 1020% rated 7 & 860% rated 0 to 6

_________________

NPS = - 40%


__________________

NPS = - 10%


__________________

NPS = 0%Courtesy of

11Trian the trainer manual CLS071217-PN2-DAP Train the trainer manual V5 CLS surveys

Why NPS?

High relative NPS drives market share gains

CONFIDENTIAL 12

CONFIDENTIAL

Good Profit

• Amazon.com: The company channels investments into free shipping, lower prices, and

service enhancements. CEO Jeff Bezos has said, "If you do build a great experience,

customers tell each other about that."

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CONFIDENTIAL

Conventional accounting can’t distinguish a dollar of good profits – the kind that lead

to growth – from a dollar of bad profits, which undermine it. The Net Promoter

Score fills this gap.

• Mobile Phone Operators: Most mobile-phone operators have created pricing plans that

cleverly trap customers into wasting prepaid minutes or incurring outrageous overages.

One mobile-phone operator calculates that proactively putting customers in the plan that

was best for them would cut profits by 40%.

• Airlines: Most airlines change their prices hundreds of times a day, so no one knows

what the "real" fare is. Numerous airlines have repeatedly used their market power to

raise prices, sometimes to levels that can only be described as price gouging. Most

airlines impose a $100 fee to change a ticket and many charge to check baggage.

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Bad Profit

CONFIDENTIAL

Life Cycle Management

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100 Hospitals / year

$2.5 million ASP

TAM = $250 million / year

GM/year:170 M$

950 Hospitals / year

$1.5 million ASP

TAM = $1,425 million / year

GM/year: 850 M$

Y7 – Y12

Consensus

Adopters

Y1 – Y3

InnovatorsTop Academic Hospitals

Y4 – Y6

Early Adopters

2200 Hospitals worldwide / year

$0.850 million ASP

TAM = $1,870 mil USD / year

GM/year: 850 M$

100 % satisfied

customers

60% satisfied

customers

0% satisfied

customers

CONFIDENTIAL

Why this is relevant to our discussion

• What are we optimizing?

– Product Life Cycle

– Customer Life Cycle

– Brand Life Cycle (Good to Great)

• Are we thinking short term or long term?

• Can we build and grow a large industry in Israel?

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Thank you

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plm conference v3

Education