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Medical device manufacturers

Implications Of COVID-19 On Pharmaceutical and Medical Device Companies in Germany

Pharmaceutical and medical device companies in Germany have shifted into overdrive to help combat the coronavirus outbreak. While the pandemic continues to wreak havoc across the country, large and small corporations alike are engaged in developing strategic solutions to curb the spread of the virus. One of the key concerns that remain to be addressed is will COVID-19 exacerbate the existing drug shortage in Germany? In Germany, the supply chain for drugs is highly vulnerable. The situation has been such even before the breakout of the pandemic. Apart from this, Germany’s pharma and medical device industry are also battling with other major roadblocks including delays in clinical trials, barriers to accelerated digital transformation, and lengthy procedures for market access.  

 In this article, industry experts at Infiniti Research address a number of key issues that could specifically impact the pharmaceutical and medical device companies in Germany.

 Delay in clinical trials

Ongoing clinical trials and studies in Germany are undergoing considerable delays due to the coronavirus outbreak. This could eventually result in deviations from the existing study plan. The German Federal Institute for Drugs and Medical Devices is expected to soon publish harmonized recommendations pan EU. According to the initial guidance on the management of clinical trials during the COVID-19 pandemic that was published during mid-March by the European Medicines Agency (EMA) and European Commission and the Heads of Medicines Agencies (HMA), sponsors must critically evaluate their need to start a new clinical study or include new study participants in an ongoing study. In the case of ongoing clinical studies, sponsors are expected to consider the extent to which they can temporarily suspend the study in certain facilities and/or extend the intended overall duration of the study. Pharmaceutical companies must analyze the probable impact of the pandemic on their upcoming or on-going clinical trials and notify BfArM or EMA at an early stage to submit amendments or clarify uncertainties.

Barriers to accelerated digital transformation

Pharmaceutical and medical device companies in Germany are being expected to expedite their digital transformation process. This comes in the wake of the increasing need to enable remote consultations for medical professionals and also to enable sales and advertising outside healthcare premises. However, the digital approach raises several concerns, especially related to data protection. As pharmaceutical and medical device companies in Germany adopt new digital approaches that relate to cooperation with healthcare professionals, they must also be checked for compliance with existing applicable drug advertising, social, and professional laws and regulations.

Lengthy market entry regulations for PPE

Personal protective equipment (PPE) includes medical equipment such as protective goggles, masks, gloves, and protective clothing. Products that qualify in this category often require lengthy conformity assessment before their medical device market entry. In an attempt to adapt the supply of these products to the rising market demand, the EU has now sought to simplify the market entry process for PPE to a considerable extent. They have also requested market surveillance authorities and notified bodies to take all available measures to provide immediate access to PPE and medical devices for healthcare professionals during the prevailing healthcare crisis. As such, medical device companies in Germany must carefully evaluate and coordinate with the competent supervisory authorities and notified bodies to determine whether their products are eligible for healthcare market access facilitation in line with the commission’s recommendation.

Gain more insights on how our market intelligence solutions can help pharmaceutical and medical device companies in Germany can measure the impact of coronavirus on their business and strategize to meet the changing market needs.

Medical device outsourcing

Weighing the Challenges and Benefits of Medical Device Outsourcing

Owing to constant cost pressures coupled with rising expectations to reduce time to market, medical device manufacturers are increasingly engaging in outsourcing their device manufacturing and assembly in full or partially. This creates room for medical device companies to focus more on their core competencies and also capitalize on opportunities for cost reduction and speed to market. But are these the only factors that companies must consider before committing to a medical device outsourcing partner? Experts at Infiniti Research believe that there is much more to evaluate and measure when it comes to medical device outsourcing, especially in terms of adhering to the required quality standards. From the common pitfalls to assessing an outsourcing partners’ vertical integration capabilities, this article encapsulates the core benefits and the many factors to consider before engaging in medical device outsourcing.

Not sure if your business is ready for manufacturing outsourcing? Let us help you evaluate and make sound investments to rise in agility and adaptability.

Medical device outsourcingBenefits of medical device outsourcing

Capitalize on resources

Medical device outsourcing facilitates OEMs to take advantage of the third-party resources without having to source and store them locally or train personnel. This will ultimately result in more cost-effective production. Countries including Taiwan, China, and Korea are top medical device manufacturers. Therefore, it is more viable for a US medical device company to outsource production operation entirely overseas rather than bringing in equipment to manufacture medical devices, both in terms of cost and maintaining quality standards.  

Focus on core activities

Relying on medical device outsourcing companies gives the opportunity to give more attention to other core activities such as R&D of new medical devices and marketing and promotion of existing products. By doing so, medical device companies can also eliminate challenges relating to recruiting and training new employees in the manufacturing process.

Better cost savings and service delivery

Improved cost savings and service delivery are the key features that have fueled the growth of the medical device outsourcing market over the last couple of years. By outsourcing to manufacturers who are solely focused on production, MedTech companies can ensure that their delivery schedules are met without having to worry about resource (human and materials) related issues.

This is just one side of the coin of medical device outsourcing. Let’s delve into some of the key challenges that companies face in the process of outsourcing.

Challenges of Medical device outsourcing

Data and information security

One of the most pressing challenges in outsourcing medical device manufacturing is the threat of loss of private information. In the medical device outsourcing process, it is vital to share technical proprietary information with the manufacturer, increasing the chances of losing private information. This adversity of such risks is more in the case of information being shared with manufacturers in international locations.

Choosing the right outsourcing partner could be challenging, unless you have a strong market intelligence partner to guide your outsourcing decisions. Connect with us to learn why we are the trusted market intelligence partner for 70+ Fortune 500 companies.

Reimbursement policies

The incessant pressure on medical device companies to reduce the product pricing coupled with cost reduction measures taken several market players are hampering the medical device market. Although there is a protuberant increase in healthcare expenditure, many healthcare providers are still reluctant to reimburse medical devices. If this situation prevails, it could affect the medical device outsourcing market at large.

Delay in contractual obligations 

Another major challenge faced by MedTech companies while outsourcing is the delay by manufacturers in meeting contractual obligations. As in most cases, medical device outsourcing is done with manufacturers overseas, there may be several communications gaps and challenges to getting work done faster within the expected time frame. Also, quality check in case of materials used and production process becomes difficult to monitor.

Gain more insights on how we can help tackle your unique business challenges

Medical devices market

Transforming Marketing and Sales Capabilities in the Medical Device Sector

Medical device sectorThe recent trends and transformations are creating an inflection point for the global medical device sector. Medical device manufacturers are now gradually moving away from being aggressively product -focused to gauging opportunities and impact in device-adjacent value pools. Amidst major changes in the sector, experts at Infiniti Research posit that medical device companies that are experiencing declining growth or narrowing margins may have to rethink their commercial models. A commercial transformation can decisively move the competitive balance of power in the medical device industry. So, what does it take for companies in the medical device sector to seize the benefits of a commercial transformation? We have listed out are four core requirements for success.

Leading a commercial transformation requires true leadership and comprehensive knowledge about market changes. Request a free proposal to know how our medical device sector experts are helping companies across the globe to successfully drive change and commercial transformation.

Organize for the change

To enable transformation and to demonstrate investment and commitment it is essential for companies in the medical device sector to create a well-designed transformation team structure, clarify roles and responsibilities, and inject fresh talent into the system. These changes must be aimed at creating new and better growth opportunities for the best talent. This also encourages people to develop by working across functions in the organization.

Create a refined culture

Top performing organizations in the medical device sector that demonstrate strong commercial capabilities often provide increased customer focus and have a collaborative problem-solving mindset. Change leaders in the organization must be identified through network analysis to lead implementation teams in their respective areas of expertise. Leaders must act as role models to encourage team members to embrace change.

Successfully executing and scaling solutions will be challenging with rapid changes in the medical device sector. Get in touch with us to know how we can help your business strategize for change.

Acknowledge success

Companies in the medical device sector must ensure that their employees are aware in case of any breakthroughs and help them understand what exceptional commercial capabilities can produce when correctly applied. Medical device sector companies can establish a communication strategy to communicate success and galvanize change leaders in the organization to demonstrate commitment to the tasks that have been assigned.

Measure impact

Measuring the leading and lagging indicators are vital, given the longer lead time in delivering the marketing and sales impact. Leading indicators such as sales-pipeline health have the ability to provide an early window into a strategy’s effectiveness. Lagging indicators that include profit shares and revenue are the ultimate test of a transformation’s success for medical device companies.

Learn more about Infiniti’s solutions for the medical device sector

medical device market

Gaining Ground in China’s Medical Device Market

The developments in China’s medical device market is taking place at a breakneck speed. This makes the Chinese medical device sector a highly lucrative market that top medical device companies cannot afford to ignore. The medical device market in the region consists of several tiers, ranging from high-end to mass-market equipment. High-end equipment consists of the latest diagnostic and treatment technologies, which are usually contained only in imported products, while mass-market equipment incorporates older technology used for basic screening and treatment. The ongoing healthcare reform in China is expected to reform and reshape the market in fundamental ways. The medical device industry will largely be dominated by three significant changes over the next couple of years. This includes:

  • Rising importance of the midmarket
  • Growth of local companies
  • Revamping ways in which medical device products are sold

Although these changes will create huge opportunities for medical device companies, they also come with a set of challenges that could affect both MNCs and local players in the medical device market. In order to thrive, international medical device manufacturers must defend their leadership position at the premium end of the market against stronger local rivals while expanding their reach in the fast-growing midmarket. On the other hand, local companies in China’s medical device market must focus on developing the products, skills, and talent required to succeed at the upper end of the midmarket and some premium segments as well.

In this article, our healthcare industry experts reveal some key strategies to survive in China’s medical device market.

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Strategies for MNCs’ in China’s medical device market

Focus more on midmarket

To be in head to head competition with local medical device companies, it is vital for MNCs’ to capture share in the midmarket. To achieve this, companies must start by developing a mid-market portfolio that meets the demands of patients and healthcare providers in China. They can choose to opt for an organic new product development, joint ventures, or acquisitions. Furthermore, building a go-to-market model that is not only sufficient but is also highly efficient can also prove to be helpful. Making changes to the go-to-market model, manufacturing, and sourcing, with a focus to lower costs is paramount for winning in the midmarket.

Stronger skills and strategies in government affairs

Although some top medical device companies have established strong relationships with central and local government agencies in China, it is not so across the board. Stronger skills sets and well-defined strategies in government affairs is paramount to shape regulatory policies on product registration, pricing, and compliance.

The changing landscape in China’s medical device market will create immense opportunities for companies in the sector. Get in touch with our industry experts to gain detailed insights on how we have helped top companies across industries to improve their key capabilities and capitalize on the right opportunities.

Strategies for local companies in China’s medical device market

Make strategic investments

Companies in China’s local medical device market that want to establish their position in the middle and premium ends of the market must upgrade the quality of their existing products and emphasize on developing new and innovative offerings. Local players can also consider partnering with R&D centers or setting up joint ventures with MNCs’ in the medical device industry to gain access to advanced technologies.

Enhance skills and processes

Venturing into the premium products market will require local medical device companies to have a more sophisticated sales and marketing operation than the existing ones in place. The excessive reliance on distributors in many cases must be reduced, instead, direct relationships can be built with key accounts through their own salesforce.

Want to know more about venturing and investing into new markets? Learn more about how our market entry solutions can help your business.

medical equipment manufacturing market

How CEOs Can Navigate Digital Disruption in the Future of Medical Devices

The medical device landscape is fast evolving. Quality remains paramount in the medical devices industry despite external pressures changing market dynamics. Apart from the ease of use, clinical efficacy, and safety of medical devices, healthcare providers are now looking for better outcomes, lower costs, and patient satisfaction. The future of medical devices will largely revolve around strategies to meet these changing demands. Designers and usability experts in the medical device industry are already trying to reduce device complexity and variability to attain improved reliability, better patient outcomes, and enhanced overall performance. Recognizing its importance in order to survive in the long run, CEOs of companies in the healthcare industry have declared innovation as a top priority in the future of medical devices. Based on their expertise in working with medical device companies across geographies, experts at Infiniti Research examine how medical device companies can define a winning strategy and design an at-scale digital transformation.

How can medical device companies get started on building better customer experiences and succeed in the future of medical devices? Request a free proposal from our medical devices industry experts to know how our solutions can help.

medical devices (1)Understand stakeholder actions

CEOs of medical device companies have started acknowledging the power of digital and advanced analytics in revamping the future of the medical devices industry. As a result, they are increasingly investing into related capabilities. However, it is important to note in order to execute big changes and for it to deliver the desired results, it needs to be woven into the DNA of the organization. Digital health companies can help provide consistently delightful experiences to key stakeholders including patients, clinicians, providers, and caregivers. This means that in the future of medical devices, creating intelligent and personalized products can deliver improved clinical value. Furthermore, this can also help to reimagine processes and dramatically reduce costs and accelerate the decision-making process. To achieve this, companies in the sector must continuously evaluate stakeholder actions and across the value chain to define the pace and direction of their responses.

Build customer relationships

Customer experience and satisfaction are now vital for the success of any organization. Hospitals and other healthcare organizations are the key customers of medical device companies. To thrive in the future of medical devices industry, it is important to fine-tune commercial engines and optimize the cost-to-serve and cost-to-market models. Companies in the medical device organization can also optimize their microtargeting to reach the right physicians and providers based on volumes, outcomes, risk profiles, and purchasing behavior.

As global companies seek to make their products stand out in an increasingly crowded marketplace, innovation has earned a place on the CEO agenda. Gain more insights on how you can innovate your existing strategies and process to be in line with the changing market demands.

Create risk-sharing relationships

Risk-sharing is a way for medical device companies to build better relationships with providers. Some companies have already begun to embrace contracting, risk-sharing, and subscription-based solutions for providers. This requires robust approaches to measure, track, and underwrite outcomes in the real world.

Reimagine processes

To achieve success in the future of medical devices industry, companies can reimagine and automate end-to-end processes to unlock new insights and achieve greater efficiency. For instance, resorting to a digital supply chain can optimize supply chain costs and help medical device organizations to enhance customer service.

Learn more about our solutions for the medical devices industry.

medical device industry

Navigating Through the Present and Future of Medical Device Industry: In Conversation with an Infiniti Research Thought Leader

Abhishek Kumar, Manager – Custom Research (Market and Competitive Intelligence) at Infiniti Research has over 7+ years of cumulative experience. He is a thought leader in strategy consulting, market intelligence, and competitive insights. He has extensively worked with Infiniti’s clients in the healthcare and medical devices domain, specifically on topics relating to market entry, market potential, and emerging opportunities assessment. 

The medical device industry is characterized by its heterogeneous, innovative, and dynamic nature. As digital technologies are majorly transforming the healthcare sector, a revolution is underway to disrupt the future of medical device industry. However, introducing a new medical device technology in the market can be highly complex, requiring a clear understanding of premarket preparation and approval to the Food and Drug Administration (FDA). Furthermore, with the advent of various micro and macro medical device industry trends including enhanced buying power of payers or providers, complex regulatory scrutiny, and the introduction of new healthcare delivery models, medical device manufacturers are now struggling to develop effective market entry strategies. The key to dealing with the dynamism of the medical device industry and thrive in the future of medical device industry is to become agile innovators.

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What are the market dynamics affecting the medical devices marketplace?

Abhishek: Several market dynamics affect the performance of companies in the medical device industry. Let me list out a few, which according to me, have the biggest impact on companies in the sector. The level of scrutiny in regulations is seen to be increasing with each passing year. This often restricts the full flight of medical device companies. Also, emerging delivery models or business models introduced by competitors make the marketplace even more complex. For companies in the medical device industry, changing patient preferences and the emergence of new markets can undoubtedly create attractive opportunities, but they give birth to new market challenges. The future of companies in the medical device industry will largely depend on their ability to engage in constant innovations.

Although these dynamics often differ from one segment to another, collectively they lay the foundation of every medical device company’s strategy. It’s a no-brainer that every healthcare company needs to be on top of these developments so that they can better participate in this ever-changing market space. However, in my opinion, the biggest challenge is that it is not particularly easy to control or even respond to most of these factors that I have just mentioned. At a macro level, it appears that new product development is the most common response across companies and regions to deal with the market changes. No wonder R&D and new product development are top strategic priorities for most companies. Although innovations have made the medical space interesting, it has also made it extremely crowded. Several technologies are now being touted as the next best thing to hit the market and make it big in the future of medical device industry, but we will have to wait and see which of them will hit the mark.

Medical device companies that adapt to new market innovations will find enormous opportunities to grow and thrive. RFP to know how Infiniti’s solutions can help your business stay updated with the latest market trends and identify market opportunities before it’s too late!

Is it important for medical device manufacturers to track emerging technologies?

Abhishek: Absolutely. I think it is vital for forward-thinking medical device companies to keep a keen watch on the developments in the sector. Tracking new or emerging technologies can aid in decision-making relating to organic expansion of existing markets, opening up of new markets, and can even help you identify M&A opportunities. Sometimes, promoters of smaller companies are often looking for cash outs because they lack the setup needed for blockbuster success. On the other hand, sometimes large companies own important innovations but in the areas that are not really important for them. Competitors are often on the hunt to grab such opportunities and the first mover wins. So, it is important to keep track of emerging technologies in the medical devices industry. It is also a fantastic way to identify adjacent categories in the market where you can operate and even supplement the current product lines. Moreover, analyzing emerging technologies can open up a completely new market where you are not present right now.

Many companies in the medical device industry rely heavily on market research reports to study an innovative technology in the market. How reliable is it as a source of data and decision-making?

Abhishek: As rightly pointed out, most companies tend to rely on published information, market research reports or internal market intelligence data to gather information on new products or technologies in the medical device industry.

There is nothing wrong in this approach, but mostly, the information attained through these sources can prove to be insufficient and misleading. Often published resources are voiced out to what the technology owner chooses to publish outside mandatory filing. Here, the information is often scattered in bits and pieces and insufficient to deliver a complete picture. Furthermore, this data often fails to provide a country level data distillation. A common misconception is that market research reports cover all the info relating to most of the tech innovations but if u dig slightly deeper, it appears that quality of data is sometimes questionable. As we are part of the market research industry, we are aware that a lot of these reports are an outcome of market models that aim to cover several things at the same time.

Get in touch with our experts to know how we help the C-suite to keep track of emerging opportunities and secure additional revenue growth for their business.

webinar (2)In that case, what is the best way to study the market for a new technology in the medical device industry?

Abhishek: When starting the study of the market for an innovative technology that has the potential to disrupt the future of the medical device industry, the very first step should be to understand the lifecycle stage of the technology. It could be a very new technology that has been just been commercialized, or a more mature but recent technology which off late has started seeing some tailwinds. This categorization is important to plan the analysis, methodology, and information sources. It also helps understand the different variables that need to be studied, the kind of questions that need to be answered, and several more other areas. In the case of a new product that has only been partially commercialized, real data that has been reported in public or private domains must be collected. This data can be in the form of patient/disease data from public registries, data from physicians’ practices, or even microdata published by global health ministries. Inputs from MedTech companies can also be collected to get supply-side information.

Learn more about Infiniti’s solutions for business.

medical device packaging

Debunking Three Common Myths About Medical Device Packaging

The lifecycle of launching a new medical device into the market includes a significant number of milestones that can either facilitate or hinder the launch date of the product. One of these milestones that has a critical impact on the time-to-market strategy is medical device packaging. Although it may seem that medical device packaging is the last thing on the mind of manufacturers, this is not the case. Packaging is a highly crucial element of the final output of medical devices. This is largely because the packaging not only ensures that the medical device is protected from any external damage, but it also plays a vital role in upholding the quality standard of the product till the time they are put to use.

In this article, we put some common misconceptions about medical device packaging to rest and also explain the key best practices involved in an ideal medical device packaging.

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Medical device packaging only needs to be tested once

If a particular medical device packaging pouch or box is already in use, there are chances that you tend to ignore testing this packaging again. Although it might be possible to leverage the previous testing results partly, it is important to re-perform these tests. This is because there is more to testing medical device packaging than merely testing whether the pouch seals meet a minimum peel strength requirement.  It is also vital to test the chances of the device puncturing the pouch or whether the packaging can damage the medical device. In addition, while undertaking transit testing, if your device is sterile, it must be proved that the device packaging will maintain sterility for the shelf-life of the device.

Medical device packaging is easy

It is a common misconception that medical device packaging is easy and does not require a lot of thought. But the truth is, if medical device companies wait till the end to decide on their packaging strategy, chances are that their time-to-market is going to be delayed. Medical device manufacturers must understand that packaging it is critical to keep the device sterile and functional, and packaging plays the most important role here. The first design drafted for the medical device packaging might not pass testing or may be cost-prohibitive. It may require several complex iterations.

Medical device packaging decisions can wait until the end

It is a common misconception that since packaging is one of the last stages before launching the product, the decisions relating to packaging can wait till the end. However, as mentioned earlier, medical device packaging decisions might not be as easy as you expect it to be. Pushing these decisions to the last minute could delay the product launch. Furthermore, for the US as well as the European market it is imperative for medical device packaging to adhere to ISO 11607-1 and ISO 11607-2 standards.

Facing difficulties in identifying a good packaging strategy and meeting packaging standards in the industry? Request a free proposal to know how our solutions can help you solve such roadblocks.

Medical device packaging best practices

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The US Medical Device Industry: How to devise a Market Entry Strategy

With an enormous market size of $156 billion, the medical device industry in the United States remains the largest in the world. Companies in the medical device industry consist of articles, instruments, apparatuses, or machines that are used in the prevention, diagnosis or treatment of illness or disease, or for detecting, measuring, restoring, correcting, or modifying the structure or function of the body for some health-related purpose. Although patients are the end-users of medical devices, manufacturers ideally focus their efforts towards selling their products to healthcare providers who in turn use them to serve the needs of patients.

Majority of the companies in the US medical device industry are concentrated in regions known for other high-technology industries, such as microelectronics and biotechnology. The states with the highest number of companies in the medical device industry include New York, California, Florida, Michigan, Pennsylvania, Massachusetts, Minnesota, Illinois, and Georgia. Compared to several other industries including telecommunications, automotive, and defense, the medical device industry invests a higher percentage of their yearly revenues into product innovation, reflecting the competitive nature of the industry and constant innovation and improvement requirements of existing technologies.

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3 Key Medical Device Reimbursement Challenges Manufacturers face Globally

Medical device reimbursement is the payment made by a third party private or public insurer to a health care provider in exchange for the costs or payments incurred by the provider for performing the required procedure or using a medical device. There are three goals for any medical device reimbursement strategy, universal coverage from all insurers in all patient care settings, adequate physician and institutional reimbursement, and unambiguous coding. Reimbursement is the primary issue on every investor’s mind, and it is one of the first things healthcare companies think about when developing new products or medical devices. If the coverage under medical device reimbursement has no certainties, it becomes very difficult for companies to analyze the return on investment. This obstructs venture funding and also limits innovation. Consequently, it pulls back the patients from leveraging the benefits of advanced and new technologies. Thus, medical device reimbursement and coverage of payers play a very important role in making or breaking a medical device. There are several challenges associated with medical device reimbursement for manufacturers, which varies from countries to countries. In this article, we hGet More Infoave listed down some of the most common challenges that every manufacturer faces in medical device reimbursement. Also, we have suggested a few solutions to deal with those challenges.

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Top 3 Medical Reimbursement Challenges for Medical Device Manufacturers and Their Impact

With respect to medical devices, reimbursement can be defined as the payment paid by a third-party public or private insurer to a health care provider in return for the payments or costs incurred by the provider for using a medical device or for performing the required procedure. If the coverage under reimbursement has no certainties, it becomes difficult to analyze return on investment. This creates obstacles in securing venture funding and also limits innovation. This, in turn, pulls back the patients from getting the advantage of new technologies. Thus, reimbursement and coverage of payers have a crucial role to play in making or breaking a device. There are many challenges associated with medical reimbursement for medical device manufacturers, which varies greatly from country to country. But there are a few common challenges that are shared by many countries. Here are the top three.Contact US

Medical Reimbursement Challenges

The gap between the value of a technology and reimbursement levels

In many countries, rates of medical reimbursement are not based on value, rather it is cost-based. The rates of reimbursement are fixed by the government body in most of the countries. This body mainly comprises of government officials or clinicians and they decide on what the rates of reimbursement should be for specific medical devices and procedures. Such decisions are not based on the technology of the manufacturer or the feature of the device but are driven by standing formulas. This means that such a medical reimbursement is a reflection of the cost to use a certain device or procedure and does not reflect the technology used in it. But here is the challenge to match reimbursement levels with the kind of technology used in the medical device because this balance is very essential to get a positive outcome and ensuring the availability of advanced medical technologies to the patients in the future.Request Proposal

Cuts in government medical reimbursement spending

The government in countries like E.U, U.S, China, and Japan are looking for various ways to cut down on their expenditure to prevent the costs of healthcare crossing their limits. This also includes cutting down on medical reimbursement amounts. Several governments have already initiated the process to reduce their spending on the reimbursement of medical devices and this has reduced the total healthcare spending.

Opacity and complexity of reimbursement process

Medical reimbursement process is considered to be the most opaque and complex process that stops medical devices from getting exposed to advanced technologies. In many countries, there are even many stakeholders involved in the reimbursement process who interact with the companies. Many times, medical reimbursement decisions can be lengthy, uncertain, opaque and even unpredictable. Therefore, for companies to invest in new technology without knowing the amount of reimbursement becomes very difficult.Get More Info

Impact of Medical Reimbursement Challenges  

#1. Difficult to get good ROI

The gap between reimbursement rates and technology makes the investment risky for the manufacturer. The risk of ROI makes them apprehensive towards experimenting and working on innovations in medical devices.

#2 Providing quality

The opaque and lengthy system of the medical reimbursement process makes it quite difficult for the manufacturer to produce quality medical devices and provide valuable services.

#3 Difficult early diagnosis and preventive care

The government’s decision to cut down on healthcare expenditure, especially when it comes to medical reimbursement for devices and procedures, leads to difficulty in diagnosis at the early stage of disease like breast cancer, which needs a screening.

Therefore, to avoid such instances manufacturers need to take steps for their participation in the formulation of medical reimbursement rules. This will further help in advancing the innovation process in medical devices and attaining financial goals.


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