Innovation

Pro Ray Medical Equipment, LLC is a small company located in Mentor, Ohio. Terry Stark, President, sat down and discussed his business and the evolutions it as gone through. Pro Ray Medical originally focused on the reselling of refurbished imaging equipment from large U.S hospitals (after an equipment upgrade) to small, independent companies. Pro Ray also offered service contracts on the refurbished equipment as an additional revenue stream. Companies that utilized this refurbished equipment offered a reduced scanning cost to customers willing to go outside the large hospital network.

Recently, regulations came into play that interfered with this competition and required these small companies to upgrade to equipment comparable to the state-of-the-art equipment used by hospitals if they wanted to be reimbursed by insurance companies for their services. These regulations forced a shift in the business model of Pro Ray and opened up new opportunities. Pro Ray Medical began to focus their process on underserved and underdeveloped countries. This new model not only allows Pro Ray to stay in business but has the additional benefit of contributing to the health and economic well-being of these countries.

Countries in Africa, South America, and Asia were in need of medical imaging equipment but could not afford the state-of-the-art equipment. Pro Ray Medical stepped in and provided them with functional equipment at a fraction of the cost of equipment available from most retailers like GE Healthcare, Siemens, and Phillips. By buying old equipment from these small businesses, Pro Ray Medical helped to keep their business profitable during a very challenging time and help them to recoup some of the equipment cost needed to upgrade to newer equipment. Additionally, the old equipment no longer needed to be discarded. Disposal of these imaging systems is extremely expensive and involves heavy metals and radioactivity. Because of this expense, often times it is not disposed of properly and can pollute the environment. By delivering refurbished equipment to places in the world where they can be used, their lifespan is extended, decreasing the negative environmental effects substantially. “We recycle the equipment in a good way, rather than scrapping it.”

Inspiration

The inspiration for the innovation came from identifying the link between the need for imaging capabilities in countries around the world and excess equipment being discarded here in the United States. By re-appropriating the supplies to those in need, there was opportunity to aid in the health and well being of others, sustain economic growth around the world, contribute to innovation and industry, and reduce inequalities.

Overall impact

This innovation has changed the face of Pro Ray Medical Equipment’s business model from the domestic resale of imaging equipment to predominantly international resale of imaging equipment from small businesses here in the United States. The benefits are wide spread both here in the United States by keeping small businesses running, helping them to purchase modern equipment, and providing imaging equipment to underdeveloped countries to boost their health care capabilities and offer their people services that reduce inequalities and improve their health. This model has the additional benefit of the reducing waste and pollution from the environment. Pro Ray Medical Equipment (and its President, Terry Stark) are doing their part to improve the world, one piece of medical equipment at a time.

Business benefit

The benefit to business has been multifaceted. The innovation helped Pro Ray adapt our business model to stay current in the changing times of health care. Additionally, we were able to aid small businesses with the significant hardships they faced during the regulation changes requiring significant equipment changes that could have completely put them out of business. Because Pro Ray was able to buy a good deal of their used equipment, they were able to use the funds to purchase up-to-date equipment and continue to stay in business. Simultaneously, they were able to use the refurbished equipment to improve health care offerings throughout the world.

Social and environmental benefit

By reusing a lot of equipment that would otherwise be scrapped, they are preventing a lot of waste. Much of the equipment contains heavy metals and radioactivity that is difficult and expensive to dispose of properly. Often time, this leads to corners being cut and the environment being polluted. By extending the life of this equipment, we are preventing this pollution. They are also bringing medical equipment to communities that otherwise may not have access to these sorts of imaging facilities. By improving their health care offerings, their well-being is improved.

Interview

Terry Stark, President