How do medtech CEOs take their companies to superior performance? (Part 1)

According to McKinsey, for a CEO to beat the odds, there are six key areas of the job¹. They are:

  1. Corporate Strategy: Your priority = beating the odds

  2. Organizational Alignment: Manage achievement and health with equal tenacity

  3. Team and Processes: Put dynamics before tactics

  4. Board Engagement: Enable the BOD to help the business

  5. External Stakeholders: This is a long game focus on ‘Why?’

  6. Personal Working Norms: Delegate relentlessly. Do only what only a CEO can do.

Making these decisions isn’t easy. Here is how we advise our clients to do it…

In recent strategy research, the Medi-Vantage team was asked to assess change compared to 2022, and how our clients should change their internal investments in 2023. In a shift away from 2022 (where R&D and Innovation ranked as a top investment) most medtech CEOs and C-Suite members surveyed realigned their internal investments to sales and marketing. There was an expectation that employee headcount would decrease in 2023 with CEOs and C-suite members reporting the impact of deliberate attrition and forced attrition.

Top business priorities for CEOs were ranked as:

  • digital and technological capabilities (including AI),

  • customer experience,

  • innovation,

  • human capital,

  • supply chain and logistics,

  • cybersecurity and big data, and

  • adaptation to uncertain external environments.

When queried, almost 100% of CEOs and C-Suite members indicated that supply chain issues will continue to impact their businesses and the global economy well into 2024.

Reforming relationships post-COVID is key

One CEO client told me that she thought the WFH model was a good one, but she was worried that it was not sustainable. In an industry like medical devices that is dependent upon relationships with physicians, surgeons, hospital administrators, nurses, and patients, getting the insights we need to create new medical devices can be challenging. Voice of the customer has re-emerged as a robust tool to expand those relationships and advance the insights that we must have to develop innovative new products for our medical device customers.


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OUR LAST THREE PROJECTS WERE:

  • M&A due diligence analysis: strategic fit for a new disruptive product

  • Go to market strategy for a medtech start up

  • Medtech price sensitivity analysis - hospital administrators and CFOs


Footnotes

  1. The mindsets and practices of excellent CEOs, McKinsey & Company (October 25, 2019)