Quest Diagnostics 2012 Annual Report Download - page 7

Download and view the complete annual report

Please find page 7 of the 2012 Quest Diagnostics annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 126

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126

4
convenient for them while reducing or eliminating their waiting time. We also offer TestMinder,® which sends email reminders
to patients who require frequent testing, and Gazelle,® a secure mobile health platform that allows users to receive and archive
their Quest Diagnostics test results, manage their personal health information, find a Quest Diagnostics location and schedule
appointments directly from their smartphone.
Strong quality and a positive patient experience. We strive to provide the highest quality in all that we do. We build
upon Six Sigma and Lean processes to continuously reduce defects, enhance quality and further increase the efficiency of our
operations. Six Sigma is a management approach that utilizes a thorough understanding of customer needs and requirements,
root cause analysis, process improvements and rigorous tracking and measuring to enhance quality. Lean is a management
approach that seeks to streamline processes and eliminate waste. We also use Six Sigma and Lean principles to help standardize
operations and processes across our Company and identify and adopt best practices. We believe our use of Six Sigma and Lean
results in superior service to our customers and drives customer loyalty. The patient is at the center of everything we do.
Patients have a choice when it comes to selecting a healthcare provider and we strive to give patients reason to put their trust in
us. We have made significant investments in training our employees to provide a positive patient experience. We believe that
this will drive patient and physician loyalty.
BUSINESS OPERATIONS
Our operations are organized in two business groups. Our activities are described below.
Our Diagnostics Information Services business is the leading provider of diagnostic information services, which
includes providing clinical testing services such as routine testing, gene-based and esoteric testing, anatomic pathology
services, and drugs-of-abuse testing, as well as related services and insights. We offer patients, physicians, hospitals, IDNs,
health plans, employers and others the broadest access in the United States to diagnostic information services through our
nationwide network of laboratories and Company-owned patient service centers. We provide interpretive consultation through
the largest medical and scientific staff in the industry, including over 800 M.D.s and Ph.D.s, primarily located in the United
States, many of whom are recognized leaders in their fields.
In our Diagnostic Solutions group, we offer a variety of solutions for insurers and healthcare providers. We are the
leading provider of risk assessment services for the life insurance industry. In addition, we are a leading provider of testing for
clinical trials. Our diagnostics products business manufactures and markets diagnostic test kits. In addition, we offer healthcare
organizations and clinicians robust information technology solutions.
We leverage our diagnostic information capabilities and assets to serve multiple customer bases. Most of our services
are provided in the United States. For the years ended December 31, 2012, 2011 and 2010, we derived approximately 2%, 3%,
and 3%, respectively, of our revenues from continuing operations from foreign operations. For the year ended December 31,
2012, less than 1% of our long-lived assets (excluding the HemoCue assets held for sale) were held outside the United States,
and for the years ended December 31, 2011 and 2010, approximately 6% and 7%, respectively, of our long-lived assets
(including the HemoCue assets held for sale in 2012) were held outside the United States. The following chart shows the
percentage of our 2012 net revenues generated by the activities identified.
Activity
Approximate
Percentage
of 2012 Net
Revenues From
Continuing
Operations
Diagnostic information services 92
Routine clinical testing services 51
Anatomic pathology testing services 12
Gene-based and esoteric testing services 26
Drugs of abuse testing services 3
Diagnostic Solutions: Healthcare information technology, clinical trials testing, life insurer services
and diagnostic products 8