The medical device outsourcing market has been estimated to hit a value of US$47.3 billion by 2018, primarily driven by the need to reduce costs, improve product quality and accelerate time-to-market (TTM).
The medical device market is one of the fastest growing and the most dynamic sector in the life sciences industry due to its high profit margins and the increasing demand for advanced medical devices. The medical device industry consists of three major participants - medical device manufacturers, product outsourcing companies, and service outsourcing companies.
These three participants have together increased product efficiency and reduced costs by improving the product lifecycle management in medical device manufacturing.
The medical devices industry, in recent times, has grown considerably owing to technological advances and growing demand for sophisticated equipment. However, the competition in the market has also grown exponentially, posing challenges for medical device manufacturing companies such as cost, product innovation, time to market, and stiffer regulatory impositions.
Outsourcing aids the medical device manufacturing industry to overcome these challenges by offering expertise in product design, regulatory consulting, testing and validation, product implementation and strategic consulting services.
In the medical device industry, rapid time-to-market (TTM), time-to-volume (TTV), and time-to-profit (TTP) are key essentials for manufacturer competitiveness and customer satisfaction.
Shorter product lifecycles, incrementally higher levels of technology sophistication, and the shrinking window of opportunity exert pressure on the ability to quickly bring products to the market, and gain first mover advantages.
The US currently represents the largest market worldwide, while Asia-Pacific is forecast to become the fastest growing market with a CAGR of 15.1% through to 2018.
Cheaper production of devices coupled with adherence to stringent international quality standards marks the emergence of Asia as the most desirable production hub.
Some of the key market players in the global medical devices outsourcing market are Accellent Inc., Active Implants Corporation, CIRTEC Medical Systems LLC, MDMI Technologies INC, Micro Systems Engineering GMBH, Creganna - Tactx Medical and Avail Medical Products.
For more information on the medical device outsourcing market, see the latest research: Medical Device Outsourcing Market
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