Services to the Medical Devices sector
The medical device industry carries an interesting mixture of issues bearing similarity to those faced in both pharmaceuticals and technology. It carries the velocity and cost dynamics of the technology sector, while the innovation, regulatory and distribution dimensions bear many parallels with the pharmaceutical sector. Mergers and acquisitions in the sector are frequent. Outsourcing and offshoring of operations to lower cost economies is a potent issue is several of the sub-sectors. There is also a significant trade between companies in the sector operating at differing supply tiers, with consequent long supply chains, and the resultant difficulties deriving from not having end to end visibility.
While medical devices carries significant diversity of production processes across sub sectors such as catheters/stents, electronic implants/pacemakers/ICDs, orthopaedic implants/joints, breast implants, diagnostic kits and reagents, hospital products, surgical instruments and hearing aids, etc. if one reviews the cross sectoral trends, common themes emerge:
- the need for supply chain velocity,
- the need for lean operations,
- the need to harvest value from ERP deployments,
- the need to exploit advanced planning architectures and capabilities,
- the need to enhance trading relationships across the supply chain, distribution centres and customers,
- the need to "see" along and across supply chains.
- the need to enhance sourcing arrangements, to mention but a few.
In this environment, companies need to enhance their ability to innovate and compete along all dimensions of the business. Orbsen Consulting can help medical device and other healthcare companies face this challenge. Selected examples are as follows:
- The multi-stage supply chains that exist in the sector are very amenable to structured velocity and inventory analysis and Velocity Improvement and Inventory Reduction techniques. Orbsen's breakthrough service offering in this area can makes a significant difference to asset investment in working capital.
- For those interested in strategic cost reduction in operations, Orbsen offers a breakthrough approach in the analysis of conversion costs, and the linkage of cost drivers in operations to those conversion cost elements. The purpose is to enable a strategic programme aimed at moving the change levers that are going to favourably impact costs and margin.
- Sales and Operations Planning approaches for the 1-12 month horizon and 1-3 year horizon are particularly relevant to allowing management in large operations retain strategic and operational control of the business dynamics associated with the supply of major product families. This is a prudent and necessary process because of the corporate revenue impact of such products. Learn more about the 1-12 month S&OP process and the strategic S&OP process.
- In the case of Enterprise Resource Planning, Orbsen offers services aimed at harvesting the value of already implement ERP systems. For those companies seeking to implement or upgrade ERP systems, Orbsen can offer programmatic support for such projects.
- The Medical Device and instrument sectors are encumbered by the adverse cost and complexity impact of legacy products. Having a structured methodology for Portfolio Management and Complexity Reduction is key, if one is to avoid the risks of throwing the baby out with the bath water.
- Orbsen offers expertise in the application of Overall Equipment Effectiveness techniques. This fact based approach is key for Operations Managers who are pursuing operational excellence within their business.
- The Planning and Scheduling of Quality Operations is a black art. When customers are screaming for product, it is important to be assured that there is not a bottleneck in the release cycle. The Orbsen approach for Operations Management of Quality Function can make difference.
Orbsen has deep competencies in several functional areas and business sectors. Orbsen offers structured services aimed at creating value for client organizations by addressing a broad range of client needs.
- In the area of Supply Chain Management, featured services include strategic inventory reduction, sales and operations planning, planning architecture development, harvesting value from Enterprise Resource Planning, procurement, demand management and customer service.
- In the area of Operations Management, featured services address best practices in operations, strategic cost of goods management and improvement of overall equipment effectiveness. In pharmaceutical operations in particular, the operations management of the quality assurance and laboratory functions can bear equal importance to operations management of production.
- In the area of Strategy, offerings include strategic analysis, strategy development, portfolio management, measurement of business value and benchmarking. Programme management services are also offered in a variety of areas.
- In the area of Information Technology Management, services are offered in the areas of enterprise platform selection in both Tier 1 and Tier 2 contexts, deployment support, executive information systems selection and deployment, and overall IT strategy development.
- Orbsen also offers a la carte General Consultancy, exploiting broad based competencies and methodologies.