The 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.
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.
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.
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.