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Competitive advantage through value-based health care: The case of Metso Corporation

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  • Parvinen, Lasse A.
  • Windischhofer, Richard
  • Gustafsson, Magnus

Abstract

Summary We analyze a process of managing occupational health care called value-based health care ([Porter and Teisberg, 2004] and [Porter and Teisberg, 2006]) and consider the financial benefits that this health care has provided to a globally operating industrial company focusing on the measurable advantages in terms of profitability. The analysis shows that the company has similar direct occupational health costs compared to the industrial average but its value-based health care approach had a positive effect on the company's profit and loss statement. The key to these results lie in the management and governance method the company has been using in order to manage occupational health.

Suggested Citation

  • Parvinen, Lasse A. & Windischhofer, Richard & Gustafsson, Magnus, 2010. "Competitive advantage through value-based health care: The case of Metso Corporation," European Management Journal, Elsevier, vol. 28(3), pages 195-207, June.
    • Handle: RePEc:eee:eurman:v:28:y:2010:i:3:p:195-207
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    Cited by:

    1. Sobhani, A. & Wahab, M.I.M. & Jaber, M.Y., 2019. "The effect of working environment aspects on a vendor–buyer inventory model," International Journal of Production Economics, Elsevier, vol. 208(C), pages 171-183.
    2. Iveroth, Einar & Westelius, Alf & Petri, Carl-Johan & Olve, Nils-Göran & Cöster, Mathias & Nilsson, Fredrik, 2013. "How to differentiate by price: Proposal for a five-dimensional model," European Management Journal, Elsevier, vol. 31(2), pages 109-123.

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