Injecting agility into medical technology

Segment customers according to those that require high-touch, close proximity (i.e., for custom products) versus customers purchasing stock-to-order products for whom more self-service and/or automation can be effective.

Develop advanced analytics capabilities to turn existing data (that may be spread throughout various functions) into insights. Then share this information across the organization. One view of the customer, i.e., linking Sales, Supply Chain and Customer Service, can be especially important for customers ordering custom products.

Evaluate which capabilities and roles are core to the business strategy and need to be closest to the end customer versus those that are non-core. Look to external partners who can handle the non-core tasks to drive efficiencies and increase scalability. For example, many med tech companies should move to contract manufacturing so will need to establish an ecosystem of collaborative businesses on whom they can rely.

Med tech companies can benefit from adding more “digital natives” to the company and/or creating an ecosystem with external digital experts. Recognize that that the digital experience is a very personal extension of each person’s work, and tools should allow employees the visibility they need, in real time, across functions.

With an end-to-end view of operations, look to where digitally-enabled tools and self-service can reduce labor and improve the customer experience, the output, and the bottom line.

Manufacturing can also be dramatically shifted to managing by exception with the use of sensors that flag issues in real-time. Additionally, digital creates opportunities for innovation, i.e., using a 3D printer to make an orthopedic joint part as needed.

Executives will need to evaluate their employees’ current skills against those needed to meet customers’ most critical needs. Skill gaps may be filled through hiring and/or collaborating within a broader ecosystem.

Med tech companies should focus on ways to empower the critical “face” of the company, usually Sales. Digital tools and advanced analytics help enable sales teams to be more effective, i.e., when they have real-time information about customers--including visibility into the supply chain status of their orders.

Now that sensors can flag issues, i.e., in manufacturing, in real-time, staff can manage by exception and focus on more value-add tasks. Additionally, with the move to contract manufacturing and expanding ecosystems, staff will need to be able to manage collaborating businesses and vendors, including monitoring dashboards and applying analytics. These are higher-level skill sets and may require training and/or different staffing.

Consider geographical differences. North America has the simplicity of one language, so it’s relatively easy to outsource lower-value and transactional tasks. Europe has greater complexity with multiple languages, as well as greater scrutiny and regulatory controls in some areas. This means companies may have to keep more processes closer to customer. Emerging markets should be viewed country-by-country.

Across geographies, business units and functions, journey management plays an important role in accelerating understanding and engagement.