Medtech industry survey highlights globalisation challenges

iGATE , a company providing business outcomes-based solutions, and strategic advisory firm Axendia, Inc revealed the results of a medical technology industry survey which highlighted benefits and risks resulting from the rapid growth of the medical technology industry globally.

The survey polled 125 medical technology industry executives from 89 companies across 16 countries. The report is titled: “Walking the Global Tightrope: Balancing the Risks and Rewards of Med-Tech Globalization.”

Survey respondents reporte d that they must navigate three primary industry trends:

  • Managing sustainable growth;
  • Complying with tightening global regulatory environments;
  • And, supporting changing healthcare delivery models globally

Survey respondents anticipate strong growth in the medical technology industry in the next few years, with 88 per cent expecting increased sales in emerging markets and 69 per cent expecting increased sales in developed markets. The chief drivers for globalisation are improving the rate of innovation and the need to support emerging markets with locally produced products.

Executives reported that their biggest concerns related to globalisation and outsourcing are the quality of products, raw materials and services provided. Nearly 60 per cent of executives who took the survey reported that the ability to maintain consistent quality and standards across internal and external sites keeps them up at night.

Additionally, 90 per cent of respondents indicated they would like access to real-time and on-demand data from critical suppliers and contract manufacturers.

“The increasing rate of globalisation has created significant opportunities as well as challenges for the medical technology industry. In order to reap the benefits of globalization, executives will need to proactively mitigate risk, improve collaboration, and increase their visibility into the medical technology ecosystem,” said Satish Joshi, EVP and head of product engineering services, iGATE.

“Nine out of 10 Med-Tech Executives expect very strong growth in the next three years. In this context, Emerging economies represent burgeoning marketplaces, with increased sales rates over those in Developed markets,” said Daniel R Matlis, President of Axendia. “While Med-Tech companies are poised to capitalise on these opportunities, global expansion has industry executives on alert. Nearly seven out of ten executives reported moderate to high risk based on their level of visibility into critical suppliers,” he added.

EH News Bureau

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