European Healthcare IT Professional Services Market -- Prediction and Awareness

European European Healthcare Healthcare IT Professional Services IT Professional Services Market Market –– Prediction and Prediction and AwarenessAwareness

Somsainathan C.K, Research Analyst

Healthcare Healthcare

24 May 2012

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Today’s Presenter

Functional Expertise

� More than three years of experience in research and consulting with healthcare. Expertise in market analysis and reasoning, gained by working with various clients and doing exploratory research on different topics.

� Particular expertise in:

- Market Analysis on various healthcare IT services and patient monitoring devices

- Generating research services, including Market Sizing, Competition Analysis, Product benchmarking and Geographic Analysis

- Consulting for clients on market entry strategies and market mapping methodology

- Best Practices and Research on Awards.

Industry Expertise

� Experience in covering a broad range of product segments in the patient monitoring domain, leveraging long-standing working relationships market participants and exploring disruptive market trends and features.

- Patient Monitoring

Telehealth, Telecare, Telemedicine, Assisted Living

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- Telehealth, Telecare, Telemedicine, Assisted Living

- Data Management Systems

What I bring to the Team

� Efficient delivery of business solutions and market analysis

� Experience in competition and product analytics

� Pragmatic management of information

� Management of relationships with market participants

Career Highlights

� Started professional career with Frost & Sullivan in 2007.

� 2 years of experience in e-marketing and market analysis for various industry segments prior to moving into mainstream research for Healthcare.

Education

� Bachelors of Commerce, University of Madras, Chennai – India

� Postgraduate Diploma in Business Administration (PGDBA) Symbiosis, Pune – India

Somsainathan.C.KResearch Analyst

Frost & SullivanChennaiIndia

Focus Points

Scope and Definition

Market Overview

Market Dynamics

Regional Trends

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Market share

Three Big Predictions

Awareness

Conclusions and Implications

Scope and Definition

• Germany

Regions Covered

Description of Market – Healthcare

Information Technology (IT)

professional services refers to the

services offered to support the IT

systems used in an healthcare unit.

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• Germany

• France

• The United Kingdom (U.K.)

• Italy

• Spain

• Scandinavia

(Norway, Sweden, Finland and

Denmark)

• Benelux (Belgium, The Netherlands

and Luxembourg)

**Such services exclude the licensed

software and hardware.

Market Segments –

Consulting, Training, Integration &

Implementation, Support &

maintenance.

Market Overview

Market Stage

Mature

Market Revenues

$1.58 B

Consult

ing, 7.4Trainin

g, 6.2

IntegraSuppor

2011 Percent Sales Breakdown

60%

80%

100%

France

Italy

Spain

Scandi

Benelux

2011 Sales Breakdown by Region

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$1.58 B

(2011)

Base Year

Growth Rate

Base Year Market Growth Rate

3.1 %

Integra

tion &

Imple

mentat

ion

Service

s, 28.4

Suppor

t and

Mainte

nance,

58.0

0%

20%

40%

60%

2011

UK

Germany

Major Challenges (Current and Future)

• Complexity due to size and diversity

• Looming privacy and security concerns

• Outdated infrastructure

• Insufficient technical expertise in the healthcare sector to

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• Insufficient technical expertise in the healthcare sector to

navigate through complex IT solutions

• Presence of strong domestic players

Market Dynamics

Dependence on IT

Demand for communication

Up gradation to existing technology

Market Drivers

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Need to achieve better return on investment

Limited added value

Healthcare budget deficits

Drivers

Market Restraints

Regional Trends

Germany is now focused on spending a considerable

Majority of the growth is expected to come from

the fast growing healthcare market of

Sweden

More than 85% of the hospitals under the NHS

trust have access to advance IT systems, making

UK an attractive market

There is a high level of localization expected in

order to be successful in the Benelux region.

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spending a considerable amount for the development of IT solutions and support

activities for healthcare.

Italy’s decentralization model for healthcare is

helping the healthcare IT services adoption

Spain’s regional communities all

demonstrate a relatively high level of healthcare IT

adoption.

Higher adoption of Electronic Medical Records

(EMR) and the need to integrate is helping the IT

services market.

Market Scenario / Competitive Scenario

BT183.712%

CSC30.42% Tieto

58.14%Others

2011 Percent of SalesTotal Healthcare IT Professional Services Market: Europe, 2011

Key Takeaway: Expect mergers in 2012 as companies attempt to increase local expertise by taking over smaller regional companies

Key Takeaway: Expect mergers in 2012 as companies attempt to increase local expertise by taking over smaller regional companies

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12% 4%

Accenture214.213%

Others*24%

Atos356.422%

Others487.031%

Note: All figures are rounded. Source: Frost & Sullivan analysis.

Three Big Predictions

Newer architecture and delivery models

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Consolidation is inevitable

Cost optimization should remain on top of the agenda for service providers

Preparedness

Right product mix and focus Competitive Strategies

Know your geographic advantage

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Showcase USP (Unique Selling Point)

Ready to collaborate

Conclusions and Implications

Opportunities galore but challenges prevail

Innovation is

important more

than ever before

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Understanding the underlying challenges is inevitable

for readiness and determines the survival

Increasing demand for

customization plays a vital role

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For Additional InformationFor Additional Information

Janique Morvan

Corporate Communications

Healthcare

+ 33 (0) 679 22 4142

[email protected]

Noel Anderson

European Vice President

New Business Development

+44 (0) 207 343 8389

[email protected]

Somsainathan C.K

Research Analyst

Healthcare

91 (0)44 6680 4327 [email protected]

Siddharth Saha

Director of Research

Healthcare

0044 (0) 207 343 8374

[email protected]

European Healthcare IT Professional Services Market -- Prediction and Awareness

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