Ring the bell, the new era is coming for one of Australia’s most important businesses, Ramsay Health Care. The CEO switch says it all.
New Ramsay Health Care boss Natalie Davis joins from Woolworths, where she runs its Australian supermarkets. So, we should expect change and fresh thinking. Thodey says this recognises just how much private health is changing in Australia and offshore, and builds on transformation work started in the McNally era. McNally spent 36 years at Ramsay, including the past seven as CEO.Ramsay Health Care CEO Craig McNally is stepping down at the end of September, only one year after Michael Siddle stood down as chairman. Both men spent decades at Ramsay.
It will not allow its own strategic manoeuvring to leave patients, doctors, governments and other stakeholders in the lurch. Nor should it, and shareholders understand that.“This is a distinct shift from Ramsay’s global expansion program of the last decade, where the asset base has expanded significantly,” says Blackwattle Investment Partners portfolio manager Ray David, an investor who has called on Ramsay to change its approach for the past couple of years.
You can argue that private hospitals and supermarkets have their similarities – concentrated and political industries, have big staff bases, rely heavily on site-based management to run tight ships – but they are fundamentally different. Woolworths’ customers shop there at least once a week; Ramsay’s patients would happily go there only once in their lifetime.Like most parts of the economy, both sectors are also trying to use technological change to do more business, and do it more efficiently.
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