Advancing Effective Risk Management in Medical Device and Technology

By: George Mathew

Risk management involves understanding and evaluating potential threats or opportunities and developing strategies to mitigate or capitalize on them. The goal of risk management is to minimize potential negative outcomes while maximizing potential positive outcomes. It helps you navigate through uncertain situations and make informed decisions to protect yourself or your organization. Risk management in medical devices is crucial for the healthcare sector as patient safety is an utmost priority, in relation to medical devices the prime risk concerns are the quality of the equipment that is procured and the response time of the suppliers to its demand. Analyzing the potential risks associated with the procurement of medical equipment is necessary to start the reaction before time.

Effective medical device risk management

Supplier product quality assessment:

A pharmaceutical facility’s first priority is product quality since subpar equipment runs the risk of endangering the life of a critical patient. Compromising with the best quality supplier can result in a loss of reputation, assessment of the supplier’s product quality and then selection of the best few is an effective risk management technique. The quality of the supplier’s product reflects the dedication of the vendor toward his work, a dedicated and professional vendor always maintains their quality of work. Assessing equipment quality guarantees the finest treatment of the patients with the help of A-one quality medical devices.

Supplier response time analysis:

For managing the risk of delay in procurement, analyzing the response time of the potential suppliers can minimize the risk. The healthcare institution must evaluate the supplier’s prior performance records, obtain delivery schedules from them, and search for the ideal vendor who delivers at the scheduled time. Timely deliveries and responses can accelerate the process of procurement and most times quick treatment can result in less time for the recovery of a patient, early treatment can be achieved by on-time procurement of supplies.

Risk evaluation:

Identifying the severity and occurrence probability of risks will make it easier for the facilities to quantify and evaluate them on time. Managing risk can be a time taking process if not evaluated in the required time. An effective risk management technique is evaluating the hazardous situation prior to its occurrence and taking necessary steps or measures to combat the risk. If the severity of the impact on the procurement process is analyzed by the healthcare sector, then immediate decisions can be made to minimize the effect.

How SpendEdge can help with medical equipment risk assessment

Supplier landscape analysis:

 

We narrow down the potential supplier base by clearly analyzing the previous information of the vendors and streamlining the suppliers who can provide standard product quality. Gauge supplier capabilities based on key performance indicators, due diligence in the vendor onboarding process, and frequent verification of vendor data prevent you from supplier sub-standard product quality. You can identify the suppliers who can provide the best quality even in times of emergencies or volatile market conditions. Supplier landscape analysis conducted by us can provide you with the list of available suppliers who can confirm the consistently high quality of medical devices.

Supplier performance analysis:

Our reports provide you with the past performance of the potential suppliers who stay ahead of the curve when it comes to on-time deliveries and responses, they ensure delivery of products on the promised time. You can sort suppliers based on operational and functional capabilities then rank them to identify the best-fit suppliers and get additional information about the most suitable suppliers for engagement. Gain valuable insights into prevalent market conditions which can ease supplier negotiations, supplier suitability can be evaluated using our information on strategic moves.

Supplier risk management:

Our experts leverage statistics and techniques to make accurate predictions for multiple supplier risks and assign risk scores based on probability and severity. Supplier risk intelligence service can help you get alerts on vendor risks and will enable you to build up your onboard certified vendors. We help understand the mitigation measures adopted by suppliers to combat the risk, you can stay ahead of the competition by capitalizing on technology-enabled risk insights. Formulate decisive and sound measures to deal with procurement disruptions through our reports, this can ensure your growth with cost savings.

Success story; How SpendEdge helped one of its clients with risk analysis in medical devices

Medical device risk assessment is significant for healthcare facilities because while procuring, the pharma industry may face difficulties like substandard quality or delay in deliveries. A pharmaceutical company must take the necessary steps to combat these medical devices’ supply chain risk.
Along the same lines, a pharmaceutical business contacted SpendEdge for assistance as they were dealing with a number of supplier concerns, such as late answers from the vendor and subpar product quality. They were interested in learning more about how the supplier market has changed.
To tackle these risks and help them in risk management we employed supplier risk intelligence to help the client get alerts on vendor risks. We leverage information and statistics to assist the company in analyzing the past performance of potential suppliers to collect knowledge about product quality and their response times. Our supplier market analysis provided the company with information on how the supplier market was changing.
The company was able to manage and minimize the risk in the procurement of medical devices through our expertise.

 

For any similar kind of issues, get in touch with us now, and make use of all our services to experience positive outcomes. 

George Mathew

Vice President, Sourcing and Procurement Intelligence

 

George is a procurement specialist at Infiniti Research and provides advisory services to clients across the pharmaceutical, CPG & FMCG, energy, and automotive sectors. He specializes in the procurement areas of industry benchmarking, cost modeling, rate card benchmarking, negotiation advisory, and supplier intelligence.