Manager takes reins at two Mediq units

Mediq has placed an experienced outpatient imaging services executivein charge of its imaging equipment maintenance business. J. ThomasOwings, president of Mediq Diagnostic and Treatment Centers (MDTC),last month became president of Mediq Engineering and MaintenanceServices (MEMS) as well. MEMS is located in Dallas and MDTC isbased at Mediq corporate headquarters in Pennsauken, NJ.

MEMS was one of the independent service organizations thatsettled lawsuits with GE this month (see story, page one), butthe ISO was not embroiled in drawn-out, expensive litigation likeISO competitor R Squared Scan Systems. Instead, MEMS wrote itsown advanced diagnostics software for the maintenance of GE 9800computed tomography scanners, which the firm started using abouta year ago.

"Mediq has not spent a lot of money and time in litigation.We spent our resources instead developing proprietary software,"he said.

The settlement between R Squared and GE will be a boon to allISOs. GE has, in effect, added legitimacy and viability to thethird-party service business, Owings said.

"From my perspective, (GE's settlement) makes it easierto plan for the strategic growth of this business. It eliminatesa lot of uncertainty," he said.

Price cutting of service contracts will continue to be a factorin ISO competition, he predicted, although ISOs with sufficientfinancial and technical resources may be able to compete moreon the service quality.

"(ISOs) that are smaller and less well equipped will probablycontinue to compete largely on the basis of price," he said.

Mediq should also have a competitive advantage in its positionas an imaging services provider as well as an equipment maintenancefirm, Owings said.

"We are able to view the world from both sides of thefence: as a provider of diagnostic services to patients and asan independent service organization. This enables us to betterunderstand the needs of an imaging services provider," hesaid.