Read the Conversation
Meeting highlights:
- Challenges and Priorities: Rising healthcare costs, quality outcomes, access issues, centralized procurement, and payback mechanisms.
- Spin-Off Impact: Increased agility and faster decision-making, positively impacting operations and customer perceptions.
- Precision Medicine: Focus on connecting technologies for comprehensive care, especially in cardiology, oncology, and neurology.
- Talent Management: Emphasis on people development, strong organizational culture, inclusivity, and supportive work environment.
- Collaboration and Innovation: Extensive collaborations with public and private sectors to drive healthcare innovation using AI and digital technologies.
EF: What are the top priorities on your agenda right now, and what challenges and opportunities do you see in the Italian market this year?
AS: The Italian market faces challenges that are largely aligned with global trends; key among these is the rising cost for healthcare providers, driven by an aging population that leads to more patients requiring treatment and the high cost of innovation in healthcare, which, while essential, is expensive.
The second challenge is related to the quality of outcomes. As with other parts of the world, there is a strong desire to improve the quality of care delivered. However, the level of development within a country's healthcare system influences how this goal is pursued.
Thirdly, access to healthcare is a significant issue. While access challenges in underdeveloped countries differ from those in Italy, the country is grappling with extensive waiting lists for treatments, which vary by region but are a nationwide concern. In response, the government recently issued a decree to address these waiting list issues.
Resource scarcity is another global challenge that is strongly felt in Italy. Additionally, there is a marked disparity in healthcare access and quality between the North and South of the country. This has led to what is known as "healthcare tourism," where patients travel to other regions for better care, thereby increasing costs for the healthcare system.
The Italian government has implemented specific measures to address these challenges, such as centralized procurement for public healthcare and a payback mechanism for pharmaceutical products and medical devices, requiring companies to return funds if expenditures exceed set limits. While these measures are intended to control costs, they have posed limitations on industry growth, prompting strong opposition from industry associations. These laws reflect the challenges Italy faces, which are similar to global issues, and they have a significant impact on us, particularly with the centralization of purchases, payback mechanisms, and cost-containment measures within the public healthcare system.
However, it is important to recognize that Italy is the 4th largest European economy and a member of the G7, making our market extremely important for global healthcare companies. My priorities as an executive align closely with the global strategic direction of GE HealthCare, which we define as a "130-year-old startup." This phrase captures the essence of our company. While we are a newly independent company, we carry forward a legacy of 130 years, which continues to shape our innovative approach and our role in the global market.
Our primary focus is on maintaining our leadership in the industry, particularly through innovation and our commitment to precision medicine. While we did not invent precision medicine, we are at the forefront of putting it at the center of our solutions and product development. This approach is where we are dedicating most of our efforts, especially in the field, where our commercial and service operations connect all the dots of our diverse and broad portfolio.
In areas like cardiology, oncology, and neurology, we are working to create a seamless continuum from early diagnosis to treatment and monitoring, all linked to precision care. This focus on precision medicine and the integration of our technologies within this framework are our top priorities as we move forward.
EF: Could you elaborate on the spin-off process? How does this global decision translate to Italy?
AS: January 4, 2024 marks GE HealthCare’s one-year anniversary as an independent company, following the spin-off from GE. Our new company is transforming into a leading global medical technology, pharmaceutical diagnostics, and digital solutions company that is uniquely positioned at the forefront of the industry’s digital transformation.
We serve patients and providers to help tackle the biggest challenges facing the healthcare industry today, including enabling better outcomes and improving productivity for customers. As one of the world’s most trusted brands, we believe these qualities foster trust, loyalty, and partnership with our global customer base. We serve more than 1B patients annually around the world, with a 4M+ unit installed base.
A year and a half after the spin-off, I can genuinely say we have gained real agility, speed, and quicker capital allocation, especially when it comes to mergers, acquisitions, and collaborations. Faster decision-making has a noticeable impact across all geographies, including Italy.
Initially, customers were pretty neutral about the change, but now they are beginning to notice and appreciate our operations' increased agility and speed.
EF: How do you evaluate the government's long-term technology planning and proactive measures, and what steps is GE HealthCare taking to ensure that the healthcare system is progressing in a sustainable direction?
AS: The modernization and digitization of the health system are two of the main objectives of mission 6 (health) of the Italian National Plan for Recovery and Resilience, and the funds made available represent a great opportunity for investment in health technology in our country. I consider it a real “Marshall Plan”: in Italy, over 3,100 large pieces of equipment have been and will be replaced by the beginning of 2026. This plan will allow the country to have the same number of existing equipment but with much higher performance. However, a question remains: Will this plan be sustainable in the long term?
On our side, we participate in industry associations, and through our government affairs team, we share ideas and common-sense proposals at the political level based on our history of innovation and our knowledge of the healthcare sector.
EF: What strategies is GE HealthCare implementing in Italy to attract and retain the country's best talent?
AS: This is probably the question I enjoy the most because I see myself primarily as a people leader with business management skills. I emphasize this because my approach to business is really about developing people.
This philosophy extends to the company as well. We firmly believe our most important asset is our people, especially in Italy.
We base our corporate culture on some operating principles and pillars that define our organizational behaviours: everyone in the company is encouraged to embrace and live by daily. These principles include a lean mindset, inclusion, teamwork, fostering an entrepreneurial spirit and practising servant leadership. They guide how we want our people to interact with each other and with customers to contribute to the attractiveness of our work environment and our competitiveness in the market.
I stress this importance because, as Peter Drucker famously said, "Culture eats strategy for breakfast." A company's strategy can be easily copied, as can its products, but an organisation's culture is unique. It is something that cannot be replicated; it has to be lived and embodied by everyone in the company. It takes generations to change a company's culture, so talent development is crucial.
Keywords like accessibility, honesty, transparency, and trust are central to this framework, and they help create a positive and engaging workplace. Of course, there is also a strong emphasis on developing skills—both technical and soft skills. Additionally, we prioritize welfare, and in Italy, we strive to stay ahead of legal requirements, ensuring that our employees feel supported and valued.
For example, the law currently grants fathers ten days of paternity leave. A few years ago, in 2022, we decided to offer an additional 15 days of paid paternity leave. This example illustrates our commitment to going above and beyond, like providing strong support for families, including kindergarten assistance.
Another example is the so-called “smart-working”: even before COVID, all our employees had the possibility of working remotely 1 day per week. Of course, now the flexibility is much higher.
Beyond that, we also emphasize well-being through initiatives like gym access and other benefits. But it is not just about the perks; it is about living our values. We focus on training, inclusiveness, and diversity, covering areas such as LGBTQ+ rights.
EF: When you reflect on the past, what are the biggest achievements that stand out to you or the milestones you are most proud to celebrate?
AS: Firstly, I am incredibly grateful for the opportunities I have had in this company. GE has allowed me to shape my own journey, and for that, I am thankful. While I have worked hard to build my future and contribute to my success, the company and my people leaders have played a significant role in supporting me.
When I think about my achievements, two words come to mind: learning and career. One standout experience for me was what I call the "triple jump." Coming from a service background, where I led a large team of field engineers—50 engineers across all our areas of technology—I had no real commercial background. Then, one day, I received a call asking if I would be interested in transitioning to the pharmaceutical business. It caught me by surprise, but they made it clear they were not looking for a pharmaceutical expert. They needed a people leader, someone who could lead and develop a team.
Despite having no experience in pharmaceuticals, I was given the opportunity to become a general manager in that sector, and I succeeded. This kind of trust and willingness to take risks on employees is what makes this company unique. I am not an exception; there are many similar stories within GE HealthCare.
The shift toward digitalization has been another crucial aspect of my journey over the last 25 years. The adoption of digital ways of doing business has been a significant part of my experience, both personally and within the company’s organizational structure.
Lean is how we execute our strategy, align our priorities, and run our business: simplifying the complex, eliminating waste, and solving problems with agility and speed. “Lead with a lean mindset” is one of our cultural operating principles.
EF: How does GE HealthCare sift through the vast amount of emerging technologies to identify and adopt the most effective ones for providing better services to your patients?
AS: AI is increasingly integrated into nearly every aspect of our technology today. While it may not be entirely pervasive yet, it is clear that AI will soon be embedded in all our systems. Currently, AI technologies, like machine learning and neural networks, are already enhancing larger equipment such as CT, MRI, PET, and ultrasound scanners. These embedded AI tools improve system speed, reduce radiation dose, and maintain or even enhance image quality. Unlike standalone software, this AI operates behind the scenes, delivering better outcomes such as improved image quality, reduced radiation, and shorter scan times, which directly contribute to a better patient experience.
AI is also playing a significant role in applications that perform specific tasks, like identifying lesions, doing measurements and so on. This area is rapidly growing, and our company has been recognized as a leader for the second consecutive year in terms of FDA-registered applications.
Beyond these applications, AI is being used to optimize departmental workflows and is even being applied in more advanced areas, such as our command centers, where it can predict changes in a patient’s disease state or anticipate risks like sepsis. AI’s presence is expanding across all facets of our technology, and many of our latest investments reflect this trend, as you may have seen in recent news.
The most recent development is our agreement with Amazon Web Services (AWS) to focus on the generative aspects of AI, which introduces new complexities. Additionally, we have completed the acquisition of MIM Software, and we have entered into a partnership with a U.S.-based company specializing in clinical intelligent ultrasound (Caption Health) These moves highlight the various levels of AI applications we are exploring, all of which align with our broader goals: advancing personalized care and leveraging AI to enhance operations and improve patient outcomes.
EF: Could you provide some insights into how GE is collaborating with local and regional associations and organizations to expand access to hospitals?
AS: The Italian healthcare system, particularly the public sector, is highly fragmented, often described as 21 different healthcare systems. Engaging with the public sector presents challenges, especially when it comes to establishing research or co-development agreements. This complexity arises because public entities must adhere to strict competition laws, ensuring that any procurement, sourcing, or development is open to all competitors. This typically requires a competitive dialogue, selection process, or even a formal tender, adding layers of bureaucracy.
However, there are mechanisms within the procurement code that allow for public-private partnerships initiated by industry players.
Our collaborations with private institutions, especially the IRCCS (research and clinical institutes) like Policlinico Universitario Gemelli and Gruppo San Donato, are more straightforward. We have ongoing collaborations with these and other institutions, such as Monzino Cardiology Centre in Milan and Stella Maris in Pisa.
These partnerships span various levels, including clinical collaborations to implement new techniques, research-focused initiatives aimed at publishing papers, and the development of new technologies like detectors or sequences. For example, Italy hosts one of the few worldwide 7 Tesla MR systems (in Pisa – Stella Maris), the only one in our country that is among the best globally for research output.
With IRCCS Gemelli, we also collaborate to validate software and work on broader projects, such as enhancing oncology care pathways. Overall, our research and development collaborations in Italy are multifaceted and involve numerous partnerships across both public and private sectors.
EF: What is your final message to our readers?
AS: My final message is that we are deeply committed to supporting and advancing healthcare in this country by addressing the three key priorities and challenges we discussed earlier; with a strong focus on precision medicine, we aim to be the preferred partner for private and public institutions, working collaboratively to achieve these aims.
As we move forward, I want to emphasize a few key points: keeping patients at the centre of everything we do, considering the needs of all healthcare professionals—doctors, nurses, and others involved in patient care—and developing the best team possible. All this, upholding the highest standards of compliance, ethics, and operational excellence. Our ultimate aim is for our customers to truly recognize the value we bring through these efforts.
