of Value Engineering to Deliver Costoptimized Medical Device Manufacturing
The entire medical device manufacturing landscape is dominated by regulatory norms EU MDR 2017/745, and big investments in manufacturing, branding, and distribution.
• Cost optimization often takes a back seat. But, with global MedTech giants outsourcing manufacturing to reduce cost is primary focus.
• Value Engineering in Medical Devices is the key to strike a balance between innovation, cost, and quality.
• The critical analysis of the manufacturing process and product to find out potential areas where investments can be optimized without compromising the quality and functionality.
Myths of Value Engineering to Deliver Costoptimized Medical Device Manufacturing
1. Value Engineering is about putting quality at stake
2. Value Engineering can be considered at the end of the manufacturing process
3. Value engineering negatively impacts user experience
4. Value Engineering is only about maximizing the ROI
5. Value Engineered Medical Devices do not deliver on innovation & creativity
6. Cost optimization & Cost reduction are same
Value engineering does not mean putting quality at stake. Rather it means finding potential quality alternatives that can be put into use to optimize cost.
This may include areas like vendor analysis, de-conceptualizing the design to reduce the number of parts required, and eliminating unnecessary functionalities that offer no value to the end-user.
• Value engineering is a continuous evaluation from day one to optimize the manufacturing cost.
• All aspects of design, engineering, quality maintenance, regulatory, supply chain, and branding necessary to pen down a more concise list of everything you do to identify areas of cost-cutting.
• Every component substitution, or additional feature must be analysed to enhance cost optimization and subsequently boost product value.
• it’s important to understand that unnecessary features that are rarely used by the endconsumer only add to the cost.
• It’s completely fine to get rid of the unwanted features so that the product manufactured offers a substantial value to the end-user. Add more
• Yes, the core purpose of value engineering is maximizing ROI but it doesn’t mean it’s only ROI that matters.
• The critical analysis during value engineering also reveals several other areas of improvement.
• Analysis everywhere opens ways for improvement.
• Innovation is compromised for medical devices where value engineering is paramount.
• An innovative in medical device requires enormous cost but that’s not always the case.
• Often value engineering involves optimizing the design on various grounds to make it more user-friendly.
• This means value engineering can also be the reason for an innovative product.
• Cost optimization in general is understood as the technique to reduce the overall manufacturing costs.
• For instance, you might come apportioned in one area can be utilized in other area to improve overall product appeal.
• In an organization shifting, reducing, or adding cost at any step, all fall under cost optimization.
• The muscle sculpting device came to Johari’s desk with a very high manufacturing cost.
• The client also had a major concern about entering the European market with this product. With current pricing and given features this did not look feasible.
• At Johari labs, engineering team critically tore down every module of the product to revisualize the model at an optimized cost.
• Leveraging an authorized network across multiple geographies.
• The industrial design & user interface were enhanced by adding smart idSoftware solution.
• Additionally, utilizing the regulatory experience with European markets.
• All together the device was a market success and widely accepted in its domain.
• The functionality and competitive pricing have made it one of the preferred choices amongst the market bulk buyers and end-users.
• It’s a popular belief that opting for a cost-cutting strategy is needed only when an organization is undergoing a financial crisis.
• It’s important to have a proper cost-cutting strategy in place to ensure better value at all times.
• Medical Device Manufacturing domain requires a proper strategic plan to timely evaluate the costs at various levels.
• Prevents sudden loopholes and keeps improvements aligned functioning.
As a growing organization Johari Digital Healthcare Ltd adopts a value engineering approach to deliver quality at an optimized cost. Balancing investments & technology is an art and as a 40+ years global Medical Device Manufacturing company, Johari excels at it. Schedule a consultation for value engineering in your existing medical device.
