Philips and Bon Secours Charity Health System announce $180 million, long-term strategic partnership to support transformation of patient care and build healthier communities

Andover, Mass. and Suffern, NY – Royal Philips (NYSE: PHG, AEX: PHIA) and Bon Secours Charity Health System (BSCHS), a member of the Westchester Medical Center Health Network (WMCHealth), today announced a multi-year, strategic partnership agreement with a potential  value of $180 million.  The agreement will make Philips solutions available to BSCHS in support of their goal to transform the delivery of healthcare to the residents of New York’s Hudson Valley, including population health programs that can improve care and help build healthier communities.

The partnership, which is based on an enterprise managed services model, will provide BSCHS with advanced medical technologies such as imaging systems, patient monitoring, telehealth and clinical informatics solutions and a comprehensive range of clinical and business consulting services.

Additionally, the collaboration will help BSCHS deliver on its mission of being a leading provider of community health services in the Hudson Valley, with a focus on redefining how quality care is delivered in areas such as radiology, cardiology, neurology and pediatrics. Hospitals and health systems with similar long-term strategic partnerships are seeing a significant reduction in technology and service spending, while enhancing productivity, optimizing performance and improving clinical quality.

“As part of a regional health system, we want to increase standardization, connectivity and optimization of our technology resources, while still having the flexibility to invest in the innovations we need to support healthier communities,” said Mary Leahy, MD,  CEO of Bon Secours Charity Health System.   “By collaborating with partners like Philips, we can go beyond providing diagnosis and treatment and work on proactive health management such as healthy living and prevention, building health in our communities.   Together, we can transform healthcare, creating integrated solutions and patient care models, while providing exceptional, compassionate care for all those we serve.” 

The partnership between Philips and BSCHS builds on the existing 15-year, $500 million relationship between Philips and WMCHealth which started in 2015. Through the agreement, BSCHS will work with Philips to optimize standardization, workflow, and medical technology deployment.  With early and ongoing access to the latest Philips innovations in healthcare technology and established best practices, BSCHS should be able to further optimize its operational effectiveness.

BSCHS consists of Good Samaritan Hospital in Suffern, New York; Bon Secours Community Hospital in Port Jervis, New York and St. Anthony Community Hospital in Warwick, New York, along with long-term care facilities and other services.

In September of 2016, WMCHealth and BSCHS announced an investment of $40+ million in
Bon Secours Community Hospital and the Port Jervis area that is expected to transform healthcare delivery in the region, with an expanded emergency room, upgraded imaging center and the conversion of 36 medical/surgical rooms from semi-private to private for increased patient comfort and privacy.  Additionally, working with local partners, Bon Secours Community Hospital will become the centerpiece of a “medical village” that will bring together services key in nurturing a healthier community. Through this agreement, Philips is expected to play a key role in the redevelopment and renovation of Bon Secours Community Hospital.

BSCHS joins other North American organizations such as Augusta University Health (15-year term), Mackenzie Health (18-year term), Marin General Hospital (15-year term) Medical University of South Carolina (8-year term) and Banner Health (15-year term), as well established global partners including Royal Belfast and Ashford St. Peters, and the New Karolinska Solna (NKS) hospital in Sweden. These partnerships underscore Philips’ commitment to provide new solutions for hospitals and health systems, and highlight a growing trend in both U.S. and global healthcare towards strategic partnerships for creating long-term patient value. 

“In order to improve people’s lives, we need to work closely with forward thinking organizations like BSCHS, to break the cycle of reactive care and focus on proactive population health management, with innovative technologies and care delivery solutions that empower people to be actively engaged in their personal health,” said Brent Shafer, CEO of Philips North America.  “It is no longer good enough to treat people within the clinical setting when they are ill; health systems need a dedicated partner that can bring not just technology, but also deep healthcare and consumer expertise, resources and solutions that will help accelerate the transformation of their organization and ecosystem. Our partnership with BSCHS reinforces our leadership in long-term, strategic collaborations, while allowing them to expand access to quality care, manage costs and share risk. Ultimately, this will allow them to focus on their primary mission: delivering quality care and building health for the people in their communities.”

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