Time to Market
The client was a Fortune 100 manufacturer and distributor of medical devices and drugs. Historic product introduction cycles for the company's disposable medical devices were averaging 34 months. At the same the time between introduction and obsolescence of these devices in the market was dropping as a low as 26 months. On several occasions the company had begun development of devices for emerging procedures only to have those procedures become obsolete by the time the product was introduced to the market almost three years later.
We helped the existing product development process. The technical process of developing the products was well integrated. However the lead for getting the product to market passed through several individuals during the life of development. We were able to find opportunities in coordination of service and support groups with challenge provided by meeting regulatory requirements. We also saw significant opportunities in supply chain for materials and components. We introduced a model that had single individual follow a product from inception to market introduction, focused supply chain to reduce the need to introduce new suppliers and created alignment with service and support groups by tying their compensation to the time to market for new products.
Results were reviewed after the first full year after deploying the new approach. Time to market decreased from an average of 34 months to less than six months with cycle. Increased speed to market allowed the company to move from a quick follower to a first to market pricing model increasing margins by over 55%.
Contact Us to discuss how this can be your success or read more about it in our Operational Services description.
We helped the existing product development process. The technical process of developing the products was well integrated. However the lead for getting the product to market passed through several individuals during the life of development. We were able to find opportunities in coordination of service and support groups with challenge provided by meeting regulatory requirements. We also saw significant opportunities in supply chain for materials and components. We introduced a model that had single individual follow a product from inception to market introduction, focused supply chain to reduce the need to introduce new suppliers and created alignment with service and support groups by tying their compensation to the time to market for new products.
Results were reviewed after the first full year after deploying the new approach. Time to market decreased from an average of 34 months to less than six months with cycle. Increased speed to market allowed the company to move from a quick follower to a first to market pricing model increasing margins by over 55%.
Contact Us to discuss how this can be your success or read more about it in our Operational Services description.
