WEBVTT 00:00:00.041 --> 00:00:00.959 John, welcome. 00:00:01.376 --> 00:00:04.921 Just tell me what factors are driving M&A activity at the moment? 00:00:05.005 --> 00:00:07.549 Yeah, there's a couple factors that are really influencing the 00:00:07.549 --> 00:00:09.718 M&A landscape and really shaping the competitive 00:00:09.718 --> 00:00:10.427 environment there. 00:00:10.427 --> 00:00:11.928 And they're kind of moving in conflict. 00:00:12.345 --> 00:00:15.807 The first is really refocusing on the core and companies trying 00:00:15.807 --> 00:00:18.893 to get their competitive advantage harmonized and really 00:00:18.893 --> 00:00:22.313 focus their investments in core areas that can deliver returns 00:00:22.313 --> 00:00:23.732 where they have advantage. 00:00:24.107 --> 00:00:27.861 The counterpoint to that is access to customers remains a 00:00:27.861 --> 00:00:31.364 big factor and smaller companies are looking for those 00:00:31.364 --> 00:00:35.535 partnerships to really get that access at the customer level and 00:00:35.535 --> 00:00:39.372 the executive level at the providers to help them drive the 00:00:39.372 --> 00:00:41.124 adoption of their products. 00:00:41.124 --> 00:00:43.752 So you have them kind of moving in conflict between 00:00:43.752 --> 00:00:46.254 simplification as well as driving scale as well. 00:00:46.629 --> 00:00:51.176 What roles does M&A have to play in driving innovation in healthcare? 00:00:51.176 --> 00:00:54.179 Yeah, it is a big factor for innovation. 00:00:54.179 --> 00:00:57.265 As we look at the changing regulatory landscape, the 00:00:57.265 --> 00:01:00.769 challenges around innovation, the lengthening timelines to 00:01:00.769 --> 00:01:04.439 innovate, companies like Baxter and others in the space really 00:01:04.439 --> 00:01:07.150 need to look for external partnerships, be it 00:01:07.150 --> 00:01:10.445 acquisitions, licensing or distribution partnerships to 00:01:10.445 --> 00:01:13.615 really fuel that innovation pipeline and continue the 00:01:13.615 --> 00:01:17.035 cadence of new product launches and continually bring new 00:01:17.035 --> 00:01:20.872 products to markets to help our customers solve their challenges 00:01:20.872 --> 00:01:22.332 in delivering healthcare. 00:01:22.749 --> 00:01:27.045 How is your organization fostering an environment or innovation? 00:01:27.045 --> 00:01:29.255 What practices are working best for you? 00:01:29.464 --> 00:01:29.839 Yeah. 00:01:29.923 --> 00:01:33.426 One of the things that we've done and I think it's a fairly 00:01:33.426 --> 00:01:36.930 common practice is really having dedicated funding where we 00:01:36.930 --> 00:01:40.225 really kind of create an environment to compete for new 00:01:40.225 --> 00:01:43.436 products that are more early stage ideation and really 00:01:43.436 --> 00:01:46.523 separate that funding from the day-to-day running the business 00:01:46.523 --> 00:01:50.151 innovation to create that environment of new ideas, 00:01:50.151 --> 00:01:53.613 innovation and a culture of trying new things and being OK 00:01:53.613 --> 00:01:56.991 with failure because not everything we invest in is going 00:01:56.991 --> 00:01:57.992 to be successful. 00:01:58.701 --> 00:01:59.619 Thank you so much. 00:01:59.661 --> 00:02:00.036 Thank you.