30 Minute Interview

‘Our Global Revenue is Around $ 4 Billion’

3M Health Care is a leading worldwide provider of oral care products, drug delivery and health information systems. 3M products are sold in almost 200 countries across globe. On the launch of their latest product LAVA crowns and bridges, Gautam Khanna, Vice President, Health Care Business, 3M India Limited, the company's subsidiary in India spoke to Priti Pathak about the company's overall offerings and expansion plans for India and worldwide. Excerpts:

Gautam Khanna Vice President, Health Care Business, 3M Healthcare

Please share the growth path of '3M Health Care' in terms of its expansion as well as company's domain expertise in healthcare?

We have global revenues of around $ 4 billion making us one of the prime leaders in healthcare segment. Our first product 'steri-drape' was launched in 1948 which is a clear, adhesive surgical drape that provides a sterile surface all the way to the wound edge. Subsequent innovations have helped us further grow the partnership with our customers. A couple of our recently launched products are 'Ketac N100 Nanoionomer' a nanotechnology based dental material that combines glass ionomer and nanotechnology to offer unique benefits to both the dentist and the patients alike. 3M soft cloth dressing with pad is all-in-one sterile dressing that features a breathable soft cloth tape backing, hypoallergenic adhesive and a central absorptive pad. 'Adper SE Plus and Adper Easy One' is an adhesive that incorporate nanotechnology thus offering convenience to the dentist and comfort to the patient.

We are focused on knowledge transfer and have initiated various activities like speaker programmes, seminars, counseling, educational training programmes which have helped the healthcare community to incorporate better standards in patient care.

Since how long have you entered in this market? How unique are your products for the Indian healthcare market?

3M Health Care in India grew in line with the industry in 2007, driven by focus on knowledge transfer with healthcare professionals, geographical expansion and increased penetration through new product launches. We had revenues of approximately Rs 81 crore in 2007 and approximately Rs 62 crore in first half of 2008. The company has a strong technical and professional services organisation that helps to understand customer needs and help develop products suitable for the markets.

In oral health some of our unique product offerings are 'clarity self ligating', 'aesthetic brackets' and 'z350 universal restoratives' with nanotechnology for proven strength and beautiful aesthetics. 3M also offers many more products like steristrips, scotchcast synthetic casting tapes, littmann stethoscopes, lava crowns, impressioning materials and restorative materials which are preferred by Indian customers.

What are the strengths and weaknesses of the Indian healthcare market?

India is one of the top emerging healthcare markets. The healthcare industry's size was estimated to be at $33 billion in 2005 and has the potential to increase to $62 - $ 70 billion by 2012. The Confederation of Indian Industry expects it to grow at 13 per cent annually.

The initiatives by Government with increased budget allocations, tax incentives and focus on National Rural Health Mission (NRHM) and National Accredition Board for Hospitals (NABH) are expected to spur quality growth. Increase in urbanisation is expected to increase the need for healthcare in the metro cities.

The key strength of the Indian market is that the practitioners in India are technology savvy, have world class skills and are open to evaluating newer technologies for better patient outcomes. Their main focus is on providing the best care in a cost effective manner and this leads to many innovations in the market.

The healthcare industry can benefit from reduction of duty on healthcare products and by implementation of uniform standards of healthcare across various segments throughout the country. We are particularly bullish on the Indian market given the levels of current medical and dental excellence, growing market opportunity and interest is in the discipline.

How is the market dynamics changing in healthcare in terms of its demands? What measures do you take to meet its timely demands?

Healthcare is a dynamic market driven by newer technology and customer demands.

The practitioners now seek cost effective solutions, with prime objective of improving patient lives by having better outcomes and higher efficiency. They are also seeking more knowledge and skills and like to learn from the international practices.

We have a team of healthcare professionals comprising of doctors, dentists, microbiologists, nurses who evaluate customer needs and facilitate in new product developments. They are in touch with the practitioners and help us meet their requirements in a timely manner. 3M has helped the healthcare community in knowledge transfer by means of seminars, international speaker programmes, educational courses and working on developing guidelines / protocols with industry bodies. We are the leading company which has conducted more than 4000 training programmes in 2007 for doctors, nurses, dentists, technicians and other healthcare practitioners.

We have an excellent and committed distribution and sales team which is geared to meet demands of healthcare professionals across the country.

Please elaborate on your latest product 'Lava crowns and bridges'

Combining digital dentistry with material science, Lava offers state-of-the-art crown and bridge solutions. Lava crowns and bridges, replicate the look and feel of a natural tooth. Built of zirconium, a high strength material, the Lava crown and bridge solution is one of the most durable, high quality tooth restorative technology available in the market today. Using the latest dental developments in CAD/CAM technology and computerised production systems Lava ensures a perfectly reproduced dental solution. This provides for a flawlessly fitted crown or bridge, critical to the prevention of long term failure. Lava crowns and bridges are available as a direct service through 10 laboratories in all metros in India with easy access to dentists and come with a five year warranty from 3M.

What are your future expansion plans?

3M's business philosophy has been to grow through improving and expanding its technology base by creating products that fulfill specific customer needs, with a promise of delivering innovative quality products and services that make customer's life easier and better. Our new product launches will be focusing in areas of infection prevention, personal protection products and chemicals. New restorative solutions and brackets will be launched by our dental and orthodontic divisions in the near future. We intend to strengthen our bond with customers by continuing to focus on enhancing partnership through sharing knowledge and providing solutions based on customer needs and offering high technology products.

priti.pathak@expressindia.com