MTC Strategy

Presentation
Industry and keydeliverables
Industry Backdrops:
● United states is the largest medical device market in the world:
• Size: $110 billion in 2014. Expected to reach $133 billion by 2016.
• More than 6,500 medical device manufacturers
• The sector employs almost half a million people directly & indirectly 2 million more
• Top 4 organizations cover $ 23 billion ( 24%)
• Industry under consolidation ( -0.6% YoY reduction in no. of manufacturers)
• Overall Growth 4.8% by 2020 for Industry – Specifically Growth of 7.6% in Medical device Distribution
Key Factors:
• Ageing Population in USA
• Increase in number of people coverage ( Due to Health Insurance Coverage Bill)
• Increasing of Process Innovation Requirements by Hospitals
Key Deliverables:
• Costs savings to cover Affordable Care Act (ACA) Medical Device Excise Tax of 2.3% of revenue
• Translates into over 10% reduction in MTC’s profits
Key Challenges

• Technological assistance in terms of Tracking & traceability

• Innovation in Supply chain management
• Innovative approach towards current Distribution Channels
o With Rationalized Costs
o Consolidation of channels
• Clarity on approach towards Focus Market Groups
o Regional Segmentation
• Management of Internal Dynamics
o Sales Agents’ Commission methodology
o Inventory Management
o Make-vs-Buy (Outsource) nodes in Supply Chain
Executive Summary – Proposals & Outcomes
Areas of Improvement
Resources Required
Risk & Mitigation
THANK YOU