Download 2016 Analyst Day - BD Medical Segment

BD Medical Segment
Transforming to deliver higher impact solutions
Tom Polen
EVP and President, BD Medical Segment
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
BD MEDICAL IS TRANSFORMING
TO HIGHER IMPACT
SOLUTIONS AND GROWTH.
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Significant progress executing our Medical
strategy over the last five years
Medical
Five years
ago our
journey
began
Factors
BD response
Global diabetes
challenging
• Accelerate first-to-market
innovation: differentiate
pen needles and enter
insulin infusion
• Continue opportunity sensing
Cancer therapies
expanding rapidly
• Acquire Carmel Pharma
• Accelerate market development
in U.S., Europe and Japan
Chronic disease
proliferating globally
• Focused platform initiative including
autoinjectors and other new products
• Big Pharma partner model
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Key strategic areas
FY 2016
revenues
Leadership
position
FY 2019
Segment
size
Market growth
MPS
•
•
•
•
•
PIVC1
Hypodermic
Flush
Skin antisepsis
IV connectors / sets
$3.4B
#1
$15.5B
3% to 4%
MMS
•
•
•
Infusion
Dispensing
Retail2
$2.2B
#1
$9.0B
3% to 4%
DC
•
•
Core injection
Insulin infusion
$1.0B
#1
$2.5B
4% to 5%
PS
BD Medical is $7.8B in sales and is the
leader in each of four businesses
•
•
•
Prefilled (PFS)
Safety
SAIS3
$1.2B
#1
$2.6B
4% to 5%
1.
2.
3.
PIVC: Peripheral intravenous catheter
Retail market growth rate = ~10%
Self administered injection systems (SAIS ) market growth rate = ~15%
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Healthcare is being actively reshaped
Process
management
Changes
in
payer
models
Driving an
increased
focus on
outcomes
Catalyzing
change
for our
customers
Decentralization
of care
Digital health
and smart devices
Holistic disease
management
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Healthcare is being actively reshaped
“
I need to think
about getting
better processes,
not just better
products.
”
- Nurse
Changes
in
payer
models
Driving
an
Driving an
increased
increased
focuson
on
focus
outcomes
outcomes
Catalyzing
change
for our
customers
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Healthcare is being actively reshaped
“
My outpatient
volumes are
growing 3x more
than inpatient.
”
- Doctor
Changes
in
payer
models
Driving an
increased
focus on
outcomes
Catalyzing
change
for our
customers
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Healthcare is being actively reshaped
“
Managing my
disease can be
easier using digital
technology.
”
- Patient
Changes
in
payer
models
Driving an
increased
focus on
outcomes
Catalyzing
change
for our
customers
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Healthcare is being actively reshaped
“
We’re changing
payment systems
to reimburse
wellness, not just
sickness.
”
- Payer
Changes
in
payer
models
Driving an
increased
focus on
outcomes
Catalyzing
change
for our
customers
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
And BD is transforming the Medical
Segment to deliver solutions for these
opportunities
++ Care continuum
+ Med mgmt
+ Patient safety
Served
markets
Less complex
med devices
• Sales: $4.5B
+ Informatics
• Sales: $7.8B
++ Disease management
++ Digital health
• Solutions provider
• New capability builds
• Refine the portfolio in
areas to win
$14B
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
$30B
Our journey ahead is focused on
four strategic pillars
1
Re-invent the
medication
management
process across
the care
continuum
2
Prevent
infections and
improve safety
for healthcare
workers
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
3
Advance the
treatment of
diabetes and
other chronic
diseases
4
Expand
globally
New product pipeline will continue to
fuel our growth
Med
management
FY 2017
Chronic disease
Infection
prevention and
HWS
BD
Intelliport™
Smart
CUBIE
Pyxis™ Mini
ChloraShield™
catheter dressings
BD Cathena™
FY 2018
Med View
Dashboard
Pharmogistics™
Vmax /
CMax
Next-gen ChloraPrep™
Pyxis™ ES
Enhancements
Hazardous drug
detection
Integrated
BD Cato™
FY 2019*
U.S.
Retail
New markets
infection
prevention
Rowa™ Dose
Next-gen
BD PhaSeal™
*
BD Neopak™ BD UltraSafe Plus™
line extensions line extensions
BD Hylok™
BD FlowSmart™
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Smart pen needles
T2 Patch
wearable injector
BD Intevia™
next-gen (AI)
BD Libertas™
wearable injector
Re-inventing medication management
across the care continuum
direct medical costs incurred due to medication errors
$600K in annual waste per hospital
3X growth of outpatient vs inpatient volumes
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Medication Management Solutions
Reinventing medication management across the care continuum
Ranjeet Banerjee
WW President, Medication Management Solutions
Tom Utech
VP, Solution Management and Marketing, Medication Management Solutions
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
OUR STRATEGY TO REINVENT MEDICATION
MANAGEMENT ACROSS THE CONTINUUM
WILL CREATE SUBSTANTIAL VALUE FOR
OUR CUSTOMERS.
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Medication errors are a substantial cause of
death, source of misuse and costly burden
Medical errors are the third leading cause of death
Medication errors represent one-third of all medical errors
Impact on patients
medication
errors each
year
U.S. patient
injuries
annually
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Impact on systems
direct medical
costs in U.S. due
to medication
errors
average annual
waste in large
hospitals
Current medication management trends present a
significant opportunity
“It’s challenging to
balance operational
activities and increasing
clinical needs.”
- Pharmacist
Increasing acuity of patients and
complex medication regimens
“I’m facing tighter
cost, quality and
regulatory pressures.”
- CFO
Tightening healthcare budgets and
focus on decreasing costs and
improving outcomes
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
“I don’t have the
patient information
I need when I need it.”
- Nurse
Broadening continuum of care
and discontinuity in information
BD is #1 in the acute segment and uniquely positioned to
create value across the med management process
Hosted
device data
Pharmacy
Pharmogistics™
BD Cato™
>500 Pharmogistics™ / BD Cato™ sites
Floor
ES Link
Pyxis™
>7,500 Pyxis™ customers globally
HIT connectivity engine
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Patient care
Alaris™
Alaris™ interoperability
1.5M+ Alaris™ channels installed
The hosted environment not only collects end-to-end
data within a facility, but across the enterprise
Device data collected across health systems…
Hosted
device data
…provides foundation for new capabilities
 National benchmarking
3000+ U.S. acute
hospitals
 Process improvements
 Analytics
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Focusing on three strategies to drive growth and
reinvent medication management
Addressable
opportunity
Advance our “best-in-category”
product lead
$2B
Unlock new value through end-toend informatics
Expand across the care
continuum
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
$1B
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Advancing our best-in-category products’ lead
with an increased innovation cadence
Infusion
Dispensing
FY 2017
Enterprise Smart
CUBIE system
Enterprise
Pharmogistics™
Enterprise-wide secure
transportation and
tracking
Enterprise-wide
perpetual inventory
management
FY 2018
Integrated
BD Cato™
End-to-end
interoperability and
integrated workflows
Pyxis MedStation™ Next-gen controlled
enhancement
substance
Software and
hardware
enhancements
Next-gen software
and configurable
storage
Alaris™ clinical
enhancements
BD
Intelliport™
Alaris™ next-gen
connectivity
PCA
interoperability
Next-gen
platform
Improved drug library and
alarm features
Informatics-enabled IV
bolus injections
New informatics
capabilities
Bi-directional patient
controlled analgesia
Leapfrog clinical safety,
informatics and
interoperable platform
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Information integration can eliminate gaps in the
system, creating new value
Waste
Cost
5%–6%
20% of meds stocked in cabinets have
of pharmacy budgets
consumed by inventory waste
not been accessed in 6 months
X
X
Inventory
management
IV
compounding
X
Infusion
pump
Automated
dispensing
cabinet
Safety
9%
of preps made using “pull back”
check method contain errors
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
X
Safety
67%
of IVs have one or more errors
Video to be inserted
8253MMSShortEditR3h264p.mov
Integrating BD products and processes to unlock
new value through end-to-end informatics
Hosted device
data
✓
✓
✓
✓
Informatics capabilities
Workflow
interoperability
Optimization
analytics
National
benchmarking
Within a single facility
System-level optimization
Across peer health systems
FY 2017
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
FY 2018
Building on our leadership in acute care, we are
expanding our presence across the care continuum…
Patients are increasingly seeking care
outside of the hospital…
…creating opportunities to serve
these expanding markets
Devices
TECH
FY 2017
FY 2018+
ES enterprise server
ES deployment
enterprise-wide
MMS cloud
Simplifies non-acute
product deployment
Pyxis™ Mini
ROWA™ dose
Ambulatory infusion
Non-acute
medication
management
High-volume
patient dose
packaging
Explore growing
segment
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
…including transforming the retail pharmacy
Today
Inventory
waste
Future
Efficient
inventory
management
Vmax
Patient
purchase
confusion
Improved
patient
experience
Long wait
times
Increased
access
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Vmotion
Vis-a-via
BD is #1 in the retail segment and will expand our
portfolio to pursue new opportunities
ROWA™ Vmax 210
Core market
Our development
plan expands
the addressable
market by 2 times
Higher storage
capacity
ROWA™ Cmax
Geographic
expansion to China
Channel system for
rapid dispensing
2021+
2018
>6,000
EU Vmax / Vmotion
customers installed
Region-specific
transformation and
new market entry
2017
Vis-a-via
2016
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
After-hours
prescription pickup
OUR STRATEGY TO REINVENT MEDICATION
MANAGEMENT ACROSS THE CONTINUUM
WILL CREATE SUBSTANTIAL VALUE FOR
OUR CUSTOMERS.
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
IN ADVANCING SAFETY FOR PATIENTS
AND HEALTHCARE WORKERS THROUGHOUT
THE WORLD.
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Safety and healthcare-associated
infections continue to be substantial
issues
U.S. cost of healthcare-associated infections
1 in 15 patients acquire infection during care
Accidental needlesticks remain a significant issue
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Continuing our global momentum in creating
a safer environment for healthcare workers
Total global conversion to
safety is 34% today
Expanding our hazardous drug
safety portfolio
Safety IV catheter and syringe global penetration
Current segment size
= $200M growing >10%
(16% penetration)
84%
U.S.
54%
E.U.
19%
China
BD PhaSeal™
Leveraging BD DS capabilities
to advance the market into
hazardous drug safety
<11% emerging markets
BD is continuing our drive to conversions,
with focus on E.U. and emerging markets
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Segment
potential
= $1.3B
Hazardous drug
detection (FY18)
Patient safety and infection prevention
has become a core franchise for BD globally
Past
Today
Legacy BD
Legacy CFN
New BD
Primarily
vascular IP
Primarily
surgical IP
Patient safety and
infection prevention leader
Revenue
~$500M
~$450M
~$950M
Served
segments
$800M
$1.0B
$1.8B
Scope
Global
Primarily
U.S.
Global
Clinical area
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Chloraprep video
Attacking a global problem through market
development and expansion
U.S.
E.U.
China
ROW
2%
3.5%
4.7%
5.6%
67%
10%
0%
4%
Sustain
Expand
Develop
Develop
Surgical ChloraPrep™ example
Surgical site
infection rates
ChloraPrep™
penetration
ChloraPrep™
growth strategy
 Innovation and market expansion
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
 Registration and market development
Investing in innovation across the patient
safety and infection prevention landscape
Development plan
ChloraPrep™,
BD PosiFlush™, MaxPlus™,
Integrated catheters
2021+
2017
2016
ChloraShield™
catheter
dressings
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
+ ~1 new
launch / year
Expanding
addressable
market
by 3x by 2021
BD IS ENABLING SAFER AND MORE
CONVENIENT DELIVERY OF BIOLOGICS.
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
BD is advancing the treatment of chronic
disease through partnerships with pharma
Portfolio
BD Neopak™
Strengthening
our leading
position
while…
BD Hylok™
BD Sterifill
Advance™
4 out of 5
PFS biologics delivered
using a BD device today
Line extensions
(XSi™, Durashield™) Line extensions
FY17–18
FY17-FY18
BD Physioject™
autoinjector (AI)
…creating
new growth
vectors in
SAIS
BD UltraSafe
Plus™
10% share
$700M segment
>15% growth
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
BD Vystra™
variable dose pen
FY18
FY17–18
BD Intevia™
BD Libertas™
next-gen (AI)
wearable injector
Today
FY16
FY18
FY19
Rheumatoid
arthritis, MS
Diabetes,
fertility,
growth
Highviscosity
drugs
Long-duration
viscous
biologics
And investing to directly improve the lives
of patients with diabetes
direct medical costs from diabetes worldwide
~415M patients with diabetes worldwide in 2015
>60% diabetics using insulin without glycemic control
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Diabetes Care
Simplifying diabetes management
Ken Miller
Worldwide President
BD Medical-Diabetes Care
WE ARE UNIQUELY POSITIONED TO DELIVER
THE DIABETES SOLUTIONS
FOR TOMORROW
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Leveraging our strengths to
deliver transformative innovation and growth
Commitment to
diabetes innovations
and data generation
Expanding served
markets by 2x by 2021
Scale and reach
in over 80 countries
2021+
2017
Build upon leadership
in retail channel
Launch
BD FlowSmart™
2016
Consistent first-in-class
portfolio innovations
Injection
Diabetes is a global epidemic
Today’s impact
2040 impact
A person with diabetes dies every 7 seconds
Deliver solutions of tomorrow
1
Lead in injection
2
Expand drug delivery portfolio
3
Deliver transformative solutions
1924 to today
Patients served
Lead in injection
History of firsts has revolutionized drug delivery
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
We will continue our commitment to
innovating in injection
By delivering patient-centered solutions through a cadence of innovation
comfort
safety
simplicity
affordability
New product launch every year for next five years
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Satisfying significant unmet needs with
BD FlowSmart™ technology
Expand drug delivery portfolio
• Developed in partnership
with JDRF and The Helmsley
Charitable Trust
• Commercializing in
partnership with
Medtronic
• Limited launch underway
77%
decrease in
flow interruptions
Full-scale global launch begins Q2 FY 17
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Our leadership position enables delivery of
transformative innovations
We touch
million patients
… by building upon
Our commitment
Our scale and reach
Our innovations
Patient Video
The
burden
is REAL
TRANSFORMING
DIABETES CARE
From drug delivery devices to
leadership in interconnected
diabetes management solutions
BD uniquely positioned to deliver
transformative solutions
To serve
… addressing unmet needs
Embarrassment
Complexity
Confusion
million patients
>60%
Patients are
not in
glucose
control
An elegant solution to simplify the lives of
type 2 patients
Deliver transformative solutions
Intuitive design
Adjustable basal and bolus
Affordable pricing
Emerging
billion-dollar product category
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Anelegant
elegantsolution
solutionto
tosimplify
simplifythe
thelives
livesof
of
An
Type22patients
patients
type
Deliver transformative solutions
Intuitive design
Emerging
54
billion-dollar product category
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Anelegant
elegantsolution
solutionto
tosimplify
simplifythe
thelives
livesof
of
An
Type22patients
patients
type
Deliver transformative solutions
Intuitive design
Adjustable basal and bolus
Emerging
billion-dollar product category
Anelegant
elegantsolution
solutionto
tosimplify
simplifythe
thelives
livesof
of
An
Type22patients
patients
type
Deliver transformative solutions
Intuitive design
Adjustable basal and bolus
Affordable pricing
Emerging
56
billion-dollar product category
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
An elegant solution to simplify the lives of
type 2 patients
Deliver transformative solutions
Intuitive design
Adjustable basal and bolus
Affordable pricing
Emerging
billion-dollar product category
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
An interconnected solution for a population
of type 2 patients
Deliver transformative solutions
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
An interconnected solution for a population
of type 2 patients
Deliver transformative solutions
•
Irrefutable dose data enabled by
wireless connectivity
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
An interconnected solution for a population
of type 2 patients
Deliver transformative solutions
•
Irrefutable dose data enabled by
wireless connectivity
•
Dose data seamlessly combined
with glucose, diet and activity data
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
An interconnected solution for a population
of type 2 patients
Deliver transformative solutions
•
Irrefutable dose data enabled by
wireless connectivity
•
Dose data seamlessly combined
with glucose, diet and activity data
•
Generation of insights to improve
care
•
Benefits for patients, caregivers,
HCPs, payers
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Despite
advances
interconnected diabetes
management
remains
out of reach for many
Making IDM accessible for all diabetes injectors
with BD smart pen needle technology
Deliver transformative solutions
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Making IDM accessible for all diabetes injectors
with BD smart pen needle technology
Deliver transformative solutions
•
Designed to capture
irrefutable dose data
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Making IDM accessible for all diabetes injectors
with BD smart pen needle technology
Deliver transformative solutions
•
Designed to capture
irrefutable dose data
•
Wireless communication
of dose data to integrate with
other data
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Making IDM accessible for all diabetes injectors
with BD smart pen needle technology
Deliver transformative solutions
•
Designed to capture
irrefutable dose data
•
Wireless communication
of dose data to integrate with
other data
•
Universal fit with all disposable
insulin pens
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Making IDM accessible for all diabetes injectors
with BD smart pen needle technology
Deliver transformative solutions
•
Designed to capture
irrefutable dose data
•
Wireless communication
of dose data to integrate with
other data
•
Universal fit with all disposable
insulin pens
•
Affordable pricing
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Leverage BD scale, reach and capabilities
to bring benefits of IDM to the world
TODAY
WITH BD
TRANSFORMATIVE SOLUTIONS
We are uniquely positioned to deliver the
solutions of tomorrow
Products  solutions
1
Lead in injection
2021+
2018
2
2017
Expand drug delivery portfolio
2016
3
Deliver transformative solutions
Launch
BD
FlowSmart™
Injection
Launch patch
pump and
smart pen
needle
Expanding
served markets
by
2x
WE ARE UNIQUELY POSITIONED TO DELIVER
THE DIABETES SOLUTIONS
FOR TOMORROW
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Increased relevance of informatics to focus
on customer outcomes and connectivity
Current portfolio
Building new capabilities
Technology solutions
Pharmogistics™
MedMined™
• Interoperability
• Smart devices
• Digital health offerings
BD Cato™
Interoperability
$200M+ in revenue
Future portfolio
Core
BU
New digital
health BU
>450 employees in technology solutions
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
Revenue synergies will bring combined BD
Medical + CFN towards 5% top line growth
Register and customize
Register existing
products internationally
Target ~200
Local customization
Examples:
Rowa™
Cmax
142*
Develop markets
Drive market development
and adoption
• Near-term: Focus on adoption
• Mid- / long-term: Drive market
development
IV sets
Existing products to
new markets through
Q3 2017
*Registered or in process through Q42016
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
And BD is transforming the Medical
Segment to deliver solutions for these
opportunities
++ Care continuum
+ Med mgmt
+ Patient safety
Served
markets
Less complex
med devices
• Sales: $4.5B
+ Informatics
• Sales: $7.8B
++ Disease management
++ Digital health
• Solutions provider
• New capability builds
• Refine the portfolio in
areas to win
$14B
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.
$30B
BD MEDICAL IS TRANSFORMING
TO HIGHER IMPACT
SOLUTIONS AND GROWTH.
© 2016 BD. BD, the BD Logo and all other trademarks are property of Becton, Dickinson and Company.