Medtech industry is making switch to value-based innovation
Posted on 10.10.2013
New report confirms need to push forward with MedTech Industry Strategy
Brussels, 10 October 2013 – The Executive Summary of research by Boston Consulting Group (BCG) and MedTech Europe, an alliance of European Medical Technology Industry Associations, indicates that the medical technology industry in Europe is changing the way it is doing business and is progressing towards making value-based innovations available to patients. By focusing on the value of its technologies, the medtech industry is contributing to steering Europe’s healthcare systems onto a sustainable path. MedTech Europe will continue to inform on the importance of executing the MedTech Industry’s 5-Year Strategy. The Executive Summary was launched today at the European MedTech Forum 2013 and precedes the full report which will be available by mid-November on reforminghealthcare.eu.
In October 2011 the European Medical Technology Industry launched its 5-year Strategy, recognising the need to change its innovation model by focussing on the value technologies can offer. Today, the Executive Summary of a follow-up report “Slow Burn – The Need to Transform the Medtech Model in Europe” complements the Strategy. The report by BCG and MedTech Europe concludes that most companies are indeed moving to make value-based innovations – therapies which either deliver improved health outcomes at similar costs, or similar health outcomes at lower cost compared with current therapies – available to European patients and Europe’s healthcare systems. Given the continuing pressure on healthcare budgets, it is critical that this evolution is maintained and expedited. MedTech Europe will therefore continue to promote the Strategy premise.
“We are pleased to see that this report reaffirms that our industry understands the need for change and is acting upon it. The European Commission has on several occasions stated that a healthy population is a precondition for economic prosperity and by developing value-based innovations, our industry is doing just that – producing technologies which benefit patients, society and the European economies,” Serge Bernasconi, Chief Executive Officer of MedTech Europe commented on the findings of the report.
This commitment was echoed last week at the European Health Forum Gastein when Vytenis Povilas Andriukaitis, Lithuania’s Minister of Health and currently holding the EU Presidency, stated that the idea that health is just about expenditures has to be considered as a relict of the twentieth century. Similarly, US economist Prof. Uwe Reinhardt stated at Gastein that innovation in healthcare should slow down costs rather than accelerating them.
“Through our interviews with 50 senior industry leaders and external stakeholders, we found that most medtech companies have now taken steps to weather the current economic storm. Whether these changes will contribute to keeping companies healthy in the future will depend largely they continue to respond in the coming years to the pressures around them,” Nicolas Kashaner, Senior Partner and Managing Director BCG Paris explained.
The full report will be launched mid-November and will include case studies, a list of the interviewees and more detailed data.
The Executive Summary and by mid-November the full report are, together with the Industry Strategy “Contract for a Healthy Future” available for download on www.reforminghealthcare.eu. Additionally, this website features a video explaining the medtech industry’s strategy, and a publication on value-based innovation.
About Medtech Europe
MedTech Europe is an alliance of European medical technology industry associations. The Alliance was founded by EDMA, representing the European in vitro diagnostic industry, and Eucomed, representing the European medical devices industry. Other European medical technology associations are welcome to join the Alliance, established to represent the common policy interests of its members more effectively and efficiently.
Our mission is to make value-based, innovative medical technology available to more people, while supporting the transformation of healthcare systems onto a sustainable path. We promote a balanced policy environment that enables the medical technology industry to meet the growing healthcare needs and expectations of its stakeholders. In addition, we demonstrate the value of medical technology by encouraging our members to execute the industry’s 5-year strategy. For more information, visit www.medtecheurope.org.