5 Challenges Medical Technology Companies Must Address within Digital Healthcare
Source：Medical Product Outsourcing
From：Taiwan Trade Center, Chicago
Update Time：2023/04/11
Healthcare services being given remotely and via digital settings
The medical technology (medtech) industry has had to adapt to rapid changes in the healthcare environment. The information for this article comes from interviewing thirty C-Suite medtech and pharma leaders, surveys from more than 150 medtech executives and analysis of over one hundred merger and acquisition deals. The main consensus was that changes and innovation within digital health will be key in transforming healthcare.
The first challenge is facing a consumer patient. Patients want and demand treatment that is on par with their experiences in retail shopping. Patients are more in control of their health and to serve their needs, medtech companies should have an “outcomes first” mindset. Over 50% executives surveyed believe that the customer’s voice needs to be strengthened. Building a team with consumer product, medtech and technology experience is crucial.
The second challenge is providing healthcare services everywhere. Healthcare has increasingly moved from the traditional hospital setting to outpatient, at-home care, remote and digital settings. Physician’s offices are being stocked with smaller, connected instruments with rapid diagnostic tests and at-home tests with virtual assistance have gained popularity in the pandemic. This will impact payment and contracting models as well as the size/incentives of sales teams. For example, large diagnostic instruments are usually sold with a five-to-ten-year contract to large hospitals. However, small rapid instruments can be sold to thousands of physician’s offices and at-home tests can be sold to millions of consumers. Hiring people skilled in design and technology that can work with engineering, regulatory and therapeutic areas will be critical.
The third challenge is expanding digital health when there is incomplete data or no access to data. There is also ambiguity within data privacy guidelines among medtech, hospitals and the government.
The fourth challenge is developing products and treatment for the entire care pathway. To meet this, Philips, Baxter, Medtronic and Smith & Nephew have acquired digital health companies. When partnering with other companies, companies have to spend a large amount of time to ensure that the prospective company has the required level of data privacy and protection compliance. A standard for data privacy would be beneficial to all parties.
The fifth challenge is regulatory pathways and regulatory bodies. The survey reflected that medtech executives had a concern with regulatory uncertainty in regards to digital health. Guidance and regulation should be developed as digital healthcare progresses.
Source: https://www.mpo-mag.com/contents/view_online-exclusives/2023-03-27/5-challenges-medtech-must-address-to-transform-health-care?utm_campaign=MPO+eNewsletter&utm_medium=email&_hsmi=252453223&_hsenc=p2ANqtz-_lzuE68QBRcaZc2U-6zeIYMxosuBYAVgu0DqaQZu5YBRrVJLVCDBzo29Vc5yf8XoNw-Lq8O6feHVBOAfgTEZK19kVpKw&utm_content=252453223&utm_source=hs_email