1. Mounting pressure from healthcare providers to reduce the overall cost of healthcare service delivery has resulted in medical device firms
increasingly looking towards efficiency and reduction of costs associated with sourcing materials and component parts for medical
technologies. Executives responsible for strategic sourcing of materials and components have, as a result, taken a variety of steps to
streamline operating costs, leveraging new procurement technologies and strategies to marginalize costs while mitigating the risks of utilizing
lower cost components. As pressure to reduce costs continues to play a pivotal factor for medical device strategic sourcing teams, gathering
for the 2nd Annual Medical Device Strategic Sourcing Conference will provide teams with an opportunity to gather to discuss and debate not
only the challenges faced but also practical strategies for maintaining the highest level of product quality at a reduced cost through
unparalleled sourcing tactics.
From high level risk mitigation strategies in working with a global supplier base to addressing instability in foreign exchange markets, the
2016 conference program will take topics to the next level, ensuring a unique and strategic level of program content. Interactive workshop
presentations will delve into negotiation tactics that go beyond 101 considerations of price and delivery. Integrating supplier selection,
contracting and monitoring methods will also sharpen the toolkit of strategic sourcing executives looking to build successful long-term
relationships. Global considerations in both off-shore sourcing as well as the increasing ability to re-shore sourcing activities will also be
actively addressed throughout the meeting.
Jon Behm
Vice President, Strategic Sourcing
CARDINAL HEALTH
Carl Resteghini
Vice President Global Sourcing
MEDTRONIC
Karen Weinstein
Vice President, Chief Procurement Officer
HOLOGIC
Anna Sharda
Director, Global Sourcing & Procurement
BAXALTA US, INC.
Distinguished Speakers Include: Speakers Pending Confirmation Include:
2ND ANNUAL
MEDICAL DEVICE STRATEGIC SOURCING CONFERENCE
JANUARY 11-12, 2016 | ATLANTA, GA
Progressing Global Strategic Sourcing to Advance the Development of Medical Devices
and Build Enhanced Supplier Partnerships through Cost Reduction Programs, Robust Risk
Management Initiatives and Tactical Supplier Selection
Program Overview:
500 N. DEARBORN STREET, SUITE 500 CHICAGO, IL 60654 (P) 312.822.8100 (F) 312.602.3834 www.q1productions.com
Director, Strategic Sourcing BOSTON SCIENTIFIC
Director, Procurement Latin America BD
Sourcing Director, Operations MEDTRONIC
Strategic Sourcing & Lean Supply Chain WELCH ALLYN
2. 2ND ANNUAL MEDICAL DEVICE STRATEGIC SOURCING CONFERENCE
JANUARY 11-12, 2016 | ATLANTA, GA
500 N. DEARBORN STREET, SUITE 500 CHICAGO, IL 60654 (P) 312.822.8100 (F) 312.602.3834 www.q1productions.com
SESSION ONE
ADDING VALUE BY INVOLVING PROCUREMENT AND SUPPLIERS IN PRODUCT DEVELOPMENT
Leaving an organization unattended to design the unattainable could be detrimental to product development and go-to-market schedules.
Including procurement earlier in product design timelines can ultimately reduce cost and mitigate risk, as strategic sourcing can provide a
realistic perspective on the ability to acquire needed components for a new medical device. To deliver this type of value, demonstrating the
benefits of working alongside product engineers becomes of utmost importance.
Getting a seat at the table: early sourcing participation with product engineering
Value propositions to showcase the importance of procurement’s involvement
Selecting appropriate supplier partners for high-level collaboration on product development
SESSION TWO
PRIORITIZING SUPPLIER ATTRIBUTES TO SELECT EXCEPTIONAL PARTNERS TO MANUFACTURE QUALITY COMPONENTS
Narrowing down pools of suppliers to identify the best selection to purchase components from can be challenging, as many suppliers may
have the preferred price or technological capability required. However, procurement teams can effectively sift through supplier options to
select optimal partners by analyzing key data about supplier capabilities, financial standings, popularity within industry, and likelihood of
qualification. Selecting optimal suppliers or even giving new business to established supplier partners ensures that procurement teams
maintain a number of suppliers that organizations are capable of managing, reducing the need for future consolidation and amendments.
Prioritizing criteria for supplier selection based on component type and specifications
Conducting potential supplier analysis efficiently, through internal or external platforms
Identifying current suppliers to fill new orders to reduce future need for supplier consolidation
SESSION THREE
ADVANCING SUPPLIER QUALITY: THOROUGHNESS IN VETTING POTENTIAL SUPPLIER PARTNERS
Quality of manufactured medical devices is the responsibility of every team within a medical device organization, and procurement teams are
no exception as they preemptively manage risk and assure quality of supplied products during the selection process. To proactively discover
quality suppliers, procurement must analyze how potential partners align with internal quality assurance goals, identify supplier transparency
of tiered suppliers and review metrics on previous quality issues. Gathering and analyzing data can be time consuming, but implementing
effective risk management can streamline the process and enable swifter decision making without compromising thorough investigation.
Analyzing supplier attributes and data that directly impacts product quality
Increasing transparency through contract wording and establishing optimal relationships
Selecting software systems to assist with analytics and align with corporate quality goals
SESSION FOUR
CALCULATING TOTAL COST OF OWNERSHIP TO IMPROVE STRATEGIC SOURCING DECISIONS
Ensuring that component costs align with organizational goals is a key function of sourcing, but comprehending the breadth of information
that must be taken into account when calculating the total cost of supplied products can be challenging. Determining total cost enables
sourcing to develop accurate cost models around components and reduce expenditure over time by making stronger procurement decisions.
Clarifying product attributes that have the strongest impact on total cost will improve procurement ability to pinpoint attributes that indicate
potentially increased costs down the road as a result of quality issues or import restrictions.
Determining total cost of ownership prior, during and after sourcing new components
Identifying factors impacting total cost, such as tax, shipping costs, regulatory, and risk
Utilizing total cost calculations to aid decision making and select preferable components
SESSION FIVE
EXCEPTIONAL SUPPLIER CONTRACTS TO ENABLE STREAMLINED EXECUTION OF QUALITY MANAGEMENT PRACTICES
After identifying the best source for medical device components, procurement teams develop clear contracts that outline deliverables the
supplier(s) will be responsible for, as well as quality and manufacturing standards to streamline the roles of supplier quality teams. Developing
a comprehensive contract to ensure risk management in a supplier network requires the inclusion of expectations for time tables and
deadlines, product quantities and quality standards. Additionally, this session will delve into tactics that can be used to clearly communicate
this information, including wording choices, layout, the contract review process, and ways that procurement can be involved after contracts
are finalized to ensure agreements are upheld.
Incorporating language that translates to LEAN fulfillment requirements
Ensuring supplier compliance with contracts from a procurement stance
Combatting supplier resistance or misunderstandings regarding detailed contracts
500 N. DEARBORN STREET, SUITE 500 CHICAGO, IL 60654 (P) 312.822.8100 (F) 312.602.3834 www.q1productions.com
3. 2ND ANNUAL MEDICAL DEVICE STRATEGIC SOURCING CONFERENCE
JANUARY 11-12, 2016 | ATLANTA, GA
500 N. DEARBORN STREET, SUITE 500 CHICAGO, IL 60654 (P) 312.822.8100 (F) 312.602.3834 www.q1productions.com
SESSION SIX
IMPLEMENTING A ROBUST RISK MANAGEMENT PROGRAM FROM A STRATEGIC SOURCING STANDPOINT
While supplier quality teams utilize risk management to proactively assess quality issues that may arise during manufacturing, strategic
sourcing can also implement a robust risk management program to evaluate suppliers from the outset. Factors to be considered when
analyzing potential supplier risk includes financial standing, sub-tier supplier pool, possible legal issues, medical device industry experience
and more. With comprehensive contracts in place, procurement can certainly create a buffer for mitigating risk; taking the extra step to further
assess suppliers based on quality, compliance, financial and business risk will ensure continuity within the supply chain.
Identifying supplier risk during the sourcing phase
An effective process for evaluating business risk
Available software to streamline supplier risk management
SESSION SEVEN
WORKSHOP: NEGOTIATION TACTICS TO IMPROVE LEVERAGE & INCREASE BENEFITS OF SUPPLIER PARTNERSHIPS
For procurement teams, negotiation is one of the most valuable tools utilized to amend contract agreements, ensure quality of supplied
product, and reduce the cost of sourced components. There can be situations that arise outside of typical negotiations that require advanced
strategy to successfully manage, including creating leverage in a negotiation where there may not be much to begin with or re-negotiating with
suppliers that have been acquired from a smaller organization, among many other unique circumstances. Learning skills and tactics that can
be utilized to successfully navigate challenging scenarios such as these will enable procurement leaders to maintain current supplier
agreements or get more out of supplier partnerships without increasing cost.
Case studies of challenging negotiation scenarios and solutions
Identifying tactics for use within high level negotiations
Interactive work-through of creating leverage during negotiation
SESSION EIGHT
REDUCING COST THROUGH LEAN PROCUREMENT AND FULFILLMENT STRATEGY
Decreasing environmental impact and cost can be daunting goals; however, there are lean systems available to assist in achieving these
reductions. Procurement can incorporate lean practices within sourcing strategy and developed contracts, among other tasks, to help support
organizational goals of lowering the amount of wasted product and cutting costs. Reviewing what these lean practices are, how lean processes
can be supported by procurement and identifying practical examples of implementation will enable medical device companies to recognize
strategies worth building into sourcing.
Defining lean systems and usability within procurement
Case study: becoming leaner through procurement strategy
Working with lean systems while complying to regulations
SESSION NINE
PANEL DISCUSSION: DEVELOPING A STRATEGIC SOURCING SYSTEM FOR GREATER ADAPTABILITY TO CHANGE
Maintaining flexibility within procurement teams and systems enables faster adoption of changes, reducing lag time and cost. Product quantity
needs are easier to meet if changes have faster turn-around, and ensuring that medical devices will continue to be available for patients is key
to maintaining market positioning. Collaborating with industry leaders to discuss currently utilized strategies that increase adaptability will
enable participants to develop workable insight for the implementation of positive change.
Identifying common stumbling points that hold up progress
Solutions to streamline changes and concurrently manage risk
Communicating flexibility needs to suppliers and internal stakeholders
Anna Sharda
Director, Global Sourcing & Procurement
BAXALTA US, INC.
Sessions continue on next page
4. 2ND ANNUAL MEDICAL DEVICE STRATEGIC SOURCING CONFERENCE
JANUARY 11-12, 2016 | ATLANTA, GA
500 N. DEARBORN STREET, SUITE 500 CHICAGO, IL 60654 (P) 312.822.8100 (F) 312.602.3834 www.q1productions.com
SESSION TEN
IMPLEMENTING MUTUALLY BENEFICIAL COST REDUCTION TACTICS ALONGSIDE SUPPLIER PARTNERS
Procurement teams combat rising cost pressures in the medical device industry by reducing expenditures despite the rising costs of many
components and the continued goal of purchasing high-quality components. In addition to sourcing equivalent components with a lower price
tag, procurement teams can collaborate with new and established supplier partners to identify areas for cost reduction. Streamlining technical
processes, optimizing manufacturing lines, and involving suppliers earlier within the design process are mutually beneficial arrangements;
however, some supplier partners may be reluctant to increase transparency. Identifying collaboration strategies that work best within various
partnerships will enable leaders to implement successful ongoing cost improvement programs.
Ensuring optimal prices by streamlining processes at supplier manufacturing sites
Communicating effectively to build trust and increase transparency in supplier reporting
Identifying real-world examples of successful collaboration to reduce expense
Anna Sharda, Director, Global Sourcing & Procurement
BAXALTA US, INC.
SESSION ELEVEN
UTILIZING ACCURATE METRICS TO EVALUATE SUPPLIER PERFORMANCE
Combining internal metrics with data gathered from suppliers to accurately evaluate performance can be challenging for procurement due to
supplier reluctance and inefficient data collection practices. Despite these barriers, medical device companies must find a way to develop a
clear picture of supplier performance to strategically focus efforts on improving sourcing initiatives and partnerships. Pinpointing data that
should be examined closely by procurement and how that data should be analyzed is critical to the implementation of supplier performance
metrics.
Reviewing metrics of greatest importance to procurement
Identifying effective and streamlined internal data management
Ensuring accuracy of data collected for metrics and evaluation
Supplier business reports: communicating supplier performance to other teams
SESSION TWELVE
LESSONS LEARNED IN SOURCING MEDICAL DEVICE COMPONENTS FROM CHINA
China has long been a go-to location for procurement teams due to reduced component cost and quality manufacturing available, and as
such, there have been many best practices developed that are utilized to streamline sourcing and reduce product cost when working with
suppliers in China. Reviewing up-to-date regulations that impact sourcing in China, as well as trends within component manufacturing and
procurement is also key as sourcing teams must remain current and adaptive to change. This session will identify the benefits of sourcing
components in China and provide strategies to combat language and cultural barriers that challenge procurement teams.
Incorporating changing regulations into supplier contracts for improved communication
Utilizing local suppliers for speedier product approval in China: win-win scenarios
Identifying supplier organizations with appropriate oversight: US/EU owned vs. locally owned
Jon Behm, Vice President, Strategic Sourcing
CARDINAL HEALTH
SESSION THIRTEEN
MOVING AWAY FROM ASIA: SUCCESSFULLY RE-SHORING MEDICAL DEVICE SUPPLIERS TO REDUCE EXPENDITURE
As pressures to reduce cost rise in the medical device industry, procurement teams must identify strategies that limit spend while maintaining
product quality. Sourcing products from China and other Asian countries was previously considered the most cost-effective sourcing option;
however, some procurement teams are shifting to purchasing device components from countries including Mexico, Dominican Republic, and
Costa Rica. While this re-shoring effort can reduce cost through the use of cheaper labor, there can be complications if a component is more
detailed and requires a manufacturer with a more educated workforce.
Identifying cases where re-shoring could reduce cost
Case study: navigating a re-shoring effort
Addressing common hesitations: corruption and safety concerns
SESSION FOURTEEN
CURRENCY HEDGING AND PROCUREMENT: PREDICTIVE ANALYSIS TO ENSURE STABLE COMPONENT VALUE
Predicting fluctuations in currency value, also known as hedging, can allow sourcing to strategically preserve the value of purchased goods
and ensure cost savings. Currency variations are common, as demonstrated in recent months in Europe, and understanding the financial
standings of key markets and identifying trends for each is key for sourcing to develop detailed analysis of true cost. Clarifying the purpose of
currency hedging for sourcing and incorporating hedging into procurement tactics will allow for more strategic component purchasing.
Assessing current and predicting future global currency value trends
Maintaining purchase value of procured goods by incorporating hedging
Situations where currency hedging may not be of highest priority
5. 2ND ANNUAL MEDICAL DEVICE STRATEGIC SOURCING CONFERENCE
JANUARY 11-12, 2016 | ATLANTA, GA
500 N. DEARBORN STREET, SUITE 500 CHICAGO, IL 60654 (P) 312.822.8100 (F) 312.602.3834 www.q1productions.com
SESSION FIFTEEN
PANEL DISCUSSION: OPPORTUNITIES AND CHALLENGES FOR COST-EFFECTIVE GLOBAL COMPONENT SOURCING
With cost serving as a major driver, medical device companies often source for product components on a global scale, as many foreign
countries provide a cost-effective alternative to domestic manufacturing and suppliers. While many companies continue to source in China,
strategic sourcing executives are always searching for the next best option in procuring high quality materials at a lower expenditure. Through
interactive dialogue and an opportunity for sharing recent experiences in international sourcing, medtech manufacturers can uncover trends
in global procurement along with best practices for sourcing in less sought after countries, the impact of tax inversion on device procurement
and the increased stringency of global regulations on import/export activities.
Sourcing successes in foreign countries including Brazil, India & Russia
Tactics to streamline global supplier pools without reducing product quality
Clarifying impact of US and global regulations on medical device sourcing
Carl Resteghini, Vice President Global Sourcing
MEDTRONIC
Jon Behm, Vice President, Strategic Sourcing
CARDINAL HEALTH
Karen Weinstein, Vice President, Chief Procurement Officer
HOLOGIC
SESSION SIXTEEN
INTEGRATING SUPPLIERS AND SOURCING STRATEGIES AFTER MERGERS & ACQUISITIONS
As mergers and acquisitions remain frequent within the medical device industry, strategic sourcing must establish tactics that streamline the
consolidation of suppliers and fusing of procurement processes to reduce risk of supply delays and quality issues in the wake of organizational
change. Inundation of new suppliers and differing internal procedures can be challenging to navigate as leaders balance relationship building
and maintenance alongside development of effective procurement systems. Learning to respond seamlessly post-merger or acquisition
enables direct sourcing to ensure high quality products and develop practices that establish longevity and continued success within newly
bridged companies.
Strengths within a merged or acquired company to increase negotiating leverage
Consolidating suppliers post-merger to streamline sourcing workloads
Effective change management during M&A to maintain strong partnerships
Carl Resteghini, Vice President Global Sourcing
MEDTRONIC
SESSION SEVENTEEN
DEVELOPING AND MAINTAINING EXCEPTIONAL RELATIONSHIPS WITH SUPPLIER PARTNERS
Strong relationships with vendors can have many benefits including improved negotiation, reduced risk, and greater supply chain
transparency. With large quantities of suppliers and procurement responsibilities, it can be challenging to juggle schedules to find time for
building relationships with suppliers. As such, identifying attributes of key suppliers worth investing time into building relationships through in-
person visits and increased collaboration on component supply will allow procurement to prioritize these efforts.
Building a foundation for good communication and collaboration
In-person and remote communication tactics to strengthen relationships
Maintaining partnerships despite outgrowing supplier capabilities
SESSION EIGHTEEN
UNDERSTANDING GUIDANCE IMPACTING PROCUREMENT TO STREAMLINE SUBMISSIONS ALONGSIDE REGULATORY
Gaining approval for new medical devices and process changes can be time consuming and slow down manufacturing lines, which impacts
the distribution of vital technologies to patients and healthcare providers. Procurement provides key information that is used in
documentation submitted by regulatory for approval, and understanding guidance directly impacting sourcing initiatives streamlines approval
processes. Clarifying guidance will allow procurement to work more effectively within regulated quality and supplier standards, enabling swifter
turn-around after product or process changes.
Identifying guidelines for supplier diversity, purchasing controls, quality regulations and conflict minerals
Significance of regulations for direct sourcing and sharing information with regulatory
Streamlined communication between procurement and regulatory on submitted documents
6. 2ND ANNUAL MEDICAL DEVICE STRATEGIC SOURCING CONFERENCE
JANUARY 11-12, 2016 | ATLANTA, GA
500 N. DEARBORN STREET, SUITE 500 CHICAGO, IL 60654 (P) 312.822.8100 (F) 312.602.3834 www.q1productions.com
Materials Manager, Abbott Vascular
Manager, US Supply Chain, Abiomed
Strategic Sourcing Manager, Acist Medical
Director, Sourcing, AstraZeneca
Sourcing Project Lead, Device Development, Bayer Healthcare
Deputy Director, Device Sourcing, Bayer Healthcare
Strategic Sourcing Director, Boston Scientific
VP Global Procurement, BSN Medical
Sr. Global Procurement Manager, BSN Medical
Supplier Manager, Procurement, Coloplast
VP Global Regulatory Affairs, ConvaTec
Director, Procurement, Curbell Medical
Supply Chain Manager, Edwards Lifesciences
Sr. Manager, Supply Chain Planning, Edwards Lifesciences
Sr. Manager, Strategic Procurement, Greatbatch Medical
Strategic Sourcing Leader, Halyard Health
Supply Chain Manager, Instrumentation Laboratory
Group Chief Procurement Officer, Johnson & Johnson
Sourcing Manager, Johnson & Johnson
Director, Strategic Sourcing, Lake Region Medical
Sr. Director, Procurement, Lake Region Medical
Sr. Strategic Sourcing Manager, Medtronic
Sr. Director, Corporate Procurement, Microport Orthopedics
Director of Purchasing, Olympus Surgical Technologies
Sr. Manager, Advanced Procurement, Ortho Clinical Dx
Sr. Director, Strategic Procurement, Siemens Healthcare
Sr. Commodity Manager, St. Jude Medical
Sr. Program Manager, Supply Chain, Tandem Diabetes Care
Director, Global Strategic Sourcing, Teleflex Medical
VP Strategic Sourcing, Teleflex Medical
Global Director, Supply Chain, Terumo Medical
Sr. Materials Manager, Terumo Medical
Supply Chain Manager, W.L. Gore & associates
VP Strategic Sourcing, Welch Allyn
Associate Director, Global Sourcing, Zimmer
Director, Supply Chain, Zoll Medical
PREVIOUS ATTENDEES INCLUDE:
ATTENDEE PROFILE:
Participants at the 2nd Annual Medical Device Strategic Sourcing Conference
will represent leading medical device corporate executives responsible for the
direct sourcing of component parts for high risk medical technologies. With a
speaker platform representing dozens of years of combined experience in
strategic sourcing to drive costs and maximize efficiency, attendees will
participate in order to learn from leading experts across the field. Job titles and
functions represented will include:
Strategic Sourcing
Global Sourcing
Sourcing
Procurement
Supply Chain
SPONSORSHIP OPPORTUNITIES:
A wide range of sponsorship opportunities exist at this time, allowing supplier
partner organizations a platform to engage with participants at a high level,
intense networking program. From exhibits to keynote presentations, Q1 is
working with leading organizations to bring new products, technologies and
services to the forefront of executive’s attention. Products & services of interest
to participants at this time include:
Streamlined Procurement Technologies
Procurement Intelligence Software
Global Strategic Manufacturing Sourcing
Healthcare Supplier Negotiation Platforms
Component & Supplier Manufacturers
ABOUT THE ORGANIZERS:
Q1 Productions designs and develops webinars, training courses, conference
programs and forums aimed at specifically targeted audiences in order to
provide strategic and timely information. Through a rigid production process
focused on end-user research and design, our team is able to understand the
immediate business concerns of today’s leading executives. Whether focusing
on new or pending legislative issues, enhanced business processes or
technologies that will drive efficiency and customer service, our programs
provide solutions to the urgent needs of our attendees.
CHICAGO
500 N. Dearborn, Suite 500
Chicago, IL 60654
Phone: 312.822.8100