Medtech and payers start thinking about health economic outcomes, but doctors haven't
Medtronic's CEO Omar Ishrak recently voiced the effect that this is having on the medtech industry by pretty much saying that they have to stop viewing themselves as a device provider, and start viewing themselves as a health care solutions provider. While this is a bold statement for a company that well, manufactures devices, he's right. ?The true value of the procedure occurs after it's complete,? said Ishrak.
Until recently, however, determining cost-effectiveness over an entire treatment cycle was something that medtech manufacturers gave little thought to. For example, this paper from L.E.K. Consulting discusses how hospitals have indicated that medtech companies aren?t really meeting their needs for providing clinical and cost data?there is therefore a great opportunity for medtech companies to forge stronger relationships with hospitals on this front to get ahead of their competitors. According to one quote from a hospital CEO in the L.E.K. Consulting paper: ?It would be great if medtech companies would take a more coordinated approach and assess our needs before providing their offering. So far, no one is doing this.?