The greatest risk about outsourcing is gaining that particular hired help who speaks your exact business language. This means your customer relations and market presence will not be compromised but instead is enhanced.
It is therefore important that you learn what is the making of the contract manufacturer who will partner in your endeavors to increase your revenue, polish your brand, and reflects your image. This task is complicated further by the delicate nature of medical devices and their importance to human life.
In medicine, very few things do not border on the thin line of life and death and this is no exception. In order to lighten your load, the list below is a checklist as you scout for your manufacturer. Know the qualities that make up the best in the field and in the process get your best!
Top characteristics of a great medical device company
1. Transparency and credibility
A good medical device manufacturer embraces the qualities of clearness in functioning. They provide you real time information on your orders and keep you well informed of any changes.
Manufacturing is the factory of any business. Therefore, when you outsource this function you lose what is termed as the eyes to your factory floor. The production processes occur far from your scope of visibility. To get rid of all blind spots it is therefore important you deal with a transparent company.
In order to measure this in your scouting check on their IT infrastructure as this is responsible for information regulation and outflow.
2. Seamless Inventory Collaboration
Managing inventory can be a headache especially when the items are not under your own roof. The fact that you will outsource does not mean you will not have to deal with inventory on that end. The products at the end of the day are ours and not the CM’s and it is better when you deal with the inventory. Production in the large scale is much more complicated when products are released from different sites let alone one.
A medical device manufacturer should have the ability to collaborate all the inventory lists under your production giving you an easier job. It also speaks a statement on their credibility. Inventory should be accurate and timely regardless on the dispersion of production sites.
3. Swift Delivery Performance
The market is susceptible to fluctuations given the different needs in the demand. A device may be fully developed and ready for manufacturing only for client demand changes to alter the product details.
Although this is not the norm, it is not an abnormal occurrence and a good company has the necessary measures to cushion such changes. The CM should be able to swiftly factor in these changes and still perform well in product delivery.
Why is swift delivery critical? Regardless of the numerous changes, your client will still hold you responsible. You need not risk your customer relations and satisfaction.
4. Ability to deal with NPI demand
New product introduction is critical to any OEM and a good analysis of market trends is important. Failure to gauge the latter will cause a massive flop of the introduced product and consequently losses on your end.
Many a times, the markets only offer a minimal window to introduce products. Opportunity comes knocking only once and a failure to get the door results in great potential losses. Such a move is fatal to your company.
What you require from the CM is the ability to rise to the occasion as fast as possible and meet the throbbing demand at once. This ability is determined by the quality of management and technology in the incumbent CM.
5. Geographic presence in key markets
An added and strategic advantage is the location of a CM in your current market. It is better to look for a CM in your market areas rather than in your base. It provides great ease in speedy distribution of products and fast assessment of their performance. Any hitch is readily responded to and adjusted.
In the end, it gains you massive profits through the saved time and money.
If you can find a CM with branches in your strategic markets then you are in the best position possible.
Many other factors come into play when determining an outstanding medical device company such as the quality of the products, which is ultimately determined by their technology, but the above when well gauged in your scouting process will give you the best CM for your company.
Having worked with various medical companies, the writer, Chad, understands new product introduction and brand management. He is currently involved in researches related to contract manufacturing.