Vic Nunes, CEO and Founder of QMed Innovations05.10.22
If you were given the opportunity to take a blank sheet of paper and design a new system to do business with your distributors and customers, what would it look like? Two things are certain: 1) It wouldn’t look anything remotely to how you interact with your customers today, and 2) data would be the centerpiece of your new system.
Developing this data-driven system requires a deep understanding of the orthopedic patient lifecycle. It all starts with a patient’s first orthopedic surgeon visit, then diagnosis, patient education, scheduling surgery, preparing for surgery (i.e., patient pre-op, hospital equipment, resources, etc.), and in-person coordination needed to have all of the equipment at the hospital, on time, and ready for the procedure.
Today, those processes are full of phone calls, messages, five-by-eight patient cards, hand-written notes, emails back and forth, chasing, checking, and double-checking, just to get it right on surgery day. Now, consider the number of people involved from that first visit to the day of surgery, surgeon’s office, hospital staff, distributor reps, orthopedic companies (warehouses, equipment loaners, customer service), external suppliers (FedEx, UPS), last-mile delivery and pick-up services. Hundreds of resources touch every patient, each surgery, every day.
Consider this: Over seven million people require orthopedic surgery annually. In that process, thousands of orthopedic kits get misplaced or stuck in the administrative abyss described above. This requires sales reps to function as logistics specialists, increases the risk of missed surgeries, and generates overnight shipping emergencies – all of which create additional costs and a constant reactive state. According to some industry estimates, orthopedic companies’ inability to manage surgical instrumentation effectively is costing the industry $3 billion per year. The process negatively impacts the bottom line and quality of healthcare delivery.
While this asset management system is rife with inefficiencies, orthopedic companies have developed advanced technologies and invaluable products that change lives and improve patients’ quality of life every day. Minimally invasive surgery and outpatient care have transformed the way we treat patients.
The time is now for these same companies to re-write how to best interact and serve their customers beyond medical products. By allowing technology to be front and center, they can lead the way to transformation throughout the entire supply chain - from the surgeon’s office to the orthopedic manufacturer. Now’s the time to transition to Industry 4.0.
A data-driven supply chain is based on collecting and analyzing orthopedic logistics information. Managing surgical supplies and instruments is dependent on a surgeons’ preferences – therefore data must be collected in every step of a surgical procedure journey to have the right equipment at the hospital at the right time and ready for surgery. How do we harness these data and which technologies should we look to? Here are some basic guidelines for developing a data-driven, IoT-based supply chain:
According to a recent LogiMed industry research study, inventory management, supply chain visualization, and data analytics are the top three areas in which orthopedic device companies plan to invest in the coming months. Executives of these forward-thinking companies, recognize that when data and metrics are accurate and functionally aligned, magic can happen. They are taking that blank piece of paper, to design a new system that embraces Industry 4.0 technologies and enable accurate surgical equipment/inventory tracking.
This translates into a more effective supply chain and inventory management plan. The result: game-changing asset management systems that effectively help to lower operating costs, reduce capital expenses, eliminate waste, and improve patient outcomes.
Vic Nunes is CEO and founder of QMed Innovations, which offers QVue, an autonomous cellular IoT-based reporting platform for global asset management in the orthopedic industry. Before launching QMed, Mr. Nunes spent more than 30 years in executive positions for companies such as DePuy Synthes, a Johnson & Johnson company.
Developing this data-driven system requires a deep understanding of the orthopedic patient lifecycle. It all starts with a patient’s first orthopedic surgeon visit, then diagnosis, patient education, scheduling surgery, preparing for surgery (i.e., patient pre-op, hospital equipment, resources, etc.), and in-person coordination needed to have all of the equipment at the hospital, on time, and ready for the procedure.
Today, those processes are full of phone calls, messages, five-by-eight patient cards, hand-written notes, emails back and forth, chasing, checking, and double-checking, just to get it right on surgery day. Now, consider the number of people involved from that first visit to the day of surgery, surgeon’s office, hospital staff, distributor reps, orthopedic companies (warehouses, equipment loaners, customer service), external suppliers (FedEx, UPS), last-mile delivery and pick-up services. Hundreds of resources touch every patient, each surgery, every day.
The Cost of Chaos
For the majority of orthopedic manufacturers, distributors and providers, the system is programmed chaos. It’s built on inefficiencies, tribal knowledge, and localized rules of engagement among hospitals, surgeons, and sales reps. It works for the most part, but at what cost?Consider this: Over seven million people require orthopedic surgery annually. In that process, thousands of orthopedic kits get misplaced or stuck in the administrative abyss described above. This requires sales reps to function as logistics specialists, increases the risk of missed surgeries, and generates overnight shipping emergencies – all of which create additional costs and a constant reactive state. According to some industry estimates, orthopedic companies’ inability to manage surgical instrumentation effectively is costing the industry $3 billion per year. The process negatively impacts the bottom line and quality of healthcare delivery.
While this asset management system is rife with inefficiencies, orthopedic companies have developed advanced technologies and invaluable products that change lives and improve patients’ quality of life every day. Minimally invasive surgery and outpatient care have transformed the way we treat patients.
The time is now for these same companies to re-write how to best interact and serve their customers beyond medical products. By allowing technology to be front and center, they can lead the way to transformation throughout the entire supply chain - from the surgeon’s office to the orthopedic manufacturer. Now’s the time to transition to Industry 4.0.
Data Fuels Industry 4.0
Industry 4.0, commerce’s fourth Industrial Revolution, focuses on interconnectivity, automation, machine learning, and real-time data. When applied to orthopedic and medical device asset management, Industry 4.0 technology enables timely communication, accurate analytics and reporting, efficient logistics, and lower operating costs. Harnessing the data that fuels Industry 4.0 technologies to create a data-driven supply chain is the holy grail of game-changing asset management.A data-driven supply chain is based on collecting and analyzing orthopedic logistics information. Managing surgical supplies and instruments is dependent on a surgeons’ preferences – therefore data must be collected in every step of a surgical procedure journey to have the right equipment at the hospital at the right time and ready for surgery. How do we harness these data and which technologies should we look to? Here are some basic guidelines for developing a data-driven, IoT-based supply chain:
- Eliminate any additional infrastructure investment by leveraging existing IoT networks and Cloud-based solutions to capture real-time data and analytics on surgical trays such as daily location data, number of surgical tray turns, autoclave and wash events, and notifications with calibration and inspection data.
- Adopt infallible asset management technology that integrates proprietary cellular IoT for complete visibility and detailed insights to be shared with distributors, healthcare providers, and ultimately, the end-user.
- Employ an autonomous solution that does not require manual data entry or scanning that gathers data and analytics on surgical trays
- Secure a solution that provides a dashboard to customers based on their role and responsibilities.
According to a recent LogiMed industry research study, inventory management, supply chain visualization, and data analytics are the top three areas in which orthopedic device companies plan to invest in the coming months. Executives of these forward-thinking companies, recognize that when data and metrics are accurate and functionally aligned, magic can happen. They are taking that blank piece of paper, to design a new system that embraces Industry 4.0 technologies and enable accurate surgical equipment/inventory tracking.
This translates into a more effective supply chain and inventory management plan. The result: game-changing asset management systems that effectively help to lower operating costs, reduce capital expenses, eliminate waste, and improve patient outcomes.
Vic Nunes is CEO and founder of QMed Innovations, which offers QVue, an autonomous cellular IoT-based reporting platform for global asset management in the orthopedic industry. Before launching QMed, Mr. Nunes spent more than 30 years in executive positions for companies such as DePuy Synthes, a Johnson & Johnson company.
