Sramana: In that initial 9- to 12-month period when you were able to leverage the other sales forces, how many customers were you able to obtain? Bruce Johnson: My recollection is that during the first 12 months we signed up 50 IDNs, or integrated delivery networks. Sramana: Those were the buyers, right? Bruce Johnson: Yes.
Sramana: You mentioned earlier that your goal is to remove $5 billion from healthcare overrun costs and that you have already delivered on $3 billion. Can you elaborate on that? How do you quantify on that, and how does GHX make money? Bruce Johnson: We are setup with a subscription fee model. When we were
Sramana: You said the initial group of twelve employees were loaned to GHX by the founding companies. What does that mean? What were your incentive structures? Did you get any stock in the new entity? Bruce Johnson: For the sake of speed, there were a number of us who were put on loan. What we
Sramana: What types of companies are part of your supplier ecosystem? Bruce Johnson: It includes manufacturers as well as wholesalers or distributors. Manufacturers will sell some of their products direct and others will go through distributors. We can automate that process in either case. Sramana: I imagine that since this is coming out of GE,
If you haven’t already, please study our Bootstrapping Course and Investor Introductions page. Bruce Johnson is the CEO and president of GHX, the world’s largest electronic trading exchange for healthcare. Prior to being named CEO in 2007, Johnson served as the company’s chief operating officer, with previous responsibilities at GHX including the leadership of business development, professional services, sales,
Sramana: You have a strong company with roots in the Netherlands. If you started looking for companies to acquire, would you find anything of interest in the Netherlands? Derek Roos: Possibly. We are not in a mode to do acquisitions, but there is a lot of talent and some very creative companies in Amsterdam. I
Sramana: What other strategic decisions were made in the process of penetrating the US market? Derek Roos: One of my priorities after moving to the States was to build out a senior, experienced, management team. Before we made the move it was me and my founding partners. We were young, first time executives and we
Sramana: What was your pricing model prior to the shift into SaaS? How did you adjust that model when you moved into SaaS? Derek Roos: Prior to our SaaS model, we sold perpetual licenses for the use of our platform. The price would depend on the number of applications that would be deployed on the