35 minute read
Health
economy, including in Mexico, is beginning to turn around. Companies are gaining confidence to invest in their business again.
The pandemic also increased demand for omnichannel solutions at an unexpected rate. Omnichannel relates to different ways in which you can receive an order, such as through a call center or an app. You then need to decide how this order will be filled, for which there are different options, from warehouses to stores or suppliers. Finally, the question is how to deliver the order, whether through a courier or other means. It was clear that during the pandemic, many companies faced this challenge since the only way to get products out was via online shopping. We worked with customers to implement these e-commerce solutions, especially by increasing warehouse capacity. Some customers told us they sold up to 10 percent more through e-commerce in 2020. For clients that were not involved in e-commerce, it was a challenging situation. The companies that had solutions already in place responded better to the pandemic.
We also saw a trend in implementing routing solutions as companies contemplated delivery issues for an increase in orders. Omnitracs, a solution from our partner, helps our customers to decide how to send their orders by using specific routes and transportation types. Furthermore, companies needed greater proof of delivery. We offer solutions that allow the carrier to update its status. We expect these trends to continue in the months to come.
Q: What are your near-term plans and expectations?
A: This year has made everyone understand the importance of logistics, which are more crucial than ever. For many customers, their supply chain became the only option to reach their customers. All different aspects of the supply chain, including planning, warehousing, transportation, proof of delivery and e-commerce became highly important. I believe we will see this trend develop. Companies will continue to invest in their supply chains, which is good for our industry. We also think that the digitalization of this supply chain will evolve quickly. Many players were not able to invest in 2020 but as soon as the economy recovers, they will move to digitalize their supply chain and invest more than ever. As a result, we expect to grow between 15 and 25 percent once the economic recession ends. Order management systems will grow in popularity, as they help retailers to manage omnichannel challenges via their inventories and shipments. Customers today want to know how much product is left and when they will receive it once they purchase it. We think this will be an important trend.
Read the complete article
More about this person
Read the complete article The space you need, for as long as you need it, with 24/7 access. That is the basis of self-storage solutions for both individuals and businesses looking for valuable extra space within large cities. According to Mordor Intelligence, the self-storage market is expected to reach a value of US$115.62 billion by 2025. This market is mostly driven by the increasing urbanization and the cost of living in big cities.
In Mexico, U-Storage is the market leader of this segment with more than 11,500 customers, 74 percent of which are individuals or families, while 26 percent are businesses related to logistics, lastmile deliveries, e-commerce and shared-economy, among others. “We are democratizing storage spaces to make them accessible to any customer. Our added value comes from our strategic location within major cities close to high-demand and highconsumption areas for e-commerce platforms and individuals looking for additional storage space,” says Diego Ysita, CEO of U-Storage. Available spaces in U-Storage can go from 2 to 200m2 that can be leased through flexible monthly contracts. Users can book their storage space remotely, choosing as much space as they need and signing the contract at the chosen facility.
There is still room to grow for the self-storage market, however. According to the Mexican Association of Self-Storage (AMDAAC), in 2019, the national self-storage industry counted almost 200 locations, and more than 25 percent of them located in the Mexico City metropolitan area. Mexico has only 260,000m2 of self-storage space available, while in the US there are 158.8 million m2.
Exact Storage Control Systems to Prevent Product Loss
Javier Calero Vice President Commercial, GNK Logística
Keeping Mexican and Regional Supply Chains Alive
Getulio Centanaro Vice President of Sales, Aeroméxico Cargo
Drilling Service Providers Close Waste Management Loops
Emmanuel Montaño Director General, Consorcio EMCRO
Balancing Realities with Possibilities in the Offshore Sector
Rodolfo Alfonso Esquivel Director General, Grupo Roales
Transtek: Long-Term Vision For Sustained Growth
Antonio Flores Founder and CEO, Transtek
COVID-19 and USMCA: Automotive Industry’s Perfect Storm
Alexis Enciso CEO, Corporativo Enciso
Livingston International: a Partner to Comply with Trade Rules
Rody Camacho Director of Trade Consulting, Livingston International
Logistics Services Act as an Extension of the Client
Alejandro López Director General, Grupo TM
U-Storage: from Pioneer to SelfStorage Market Leader
Analysis 12/09/2020
Artificial Intelligence: Key Tool for Logistics Players
Article 04/28/2021
8Health
Reinvention is the current task of the healthcare industry. New alliances, investment and innovation are seen as the way forward after dealing with insufficient care systems and distanced providers. A year into a global pandemic has set, a new path for the industry has been set and its leaders have been actively responding to the challenge. From the accelerated development of technology to the establishment of innovative, inclusive financing models to broaden access, the sector is moving at a high speed to meet everyday needs with long-lasting sustainable solutions.
Mexico has also been carrying a heavy burden of chronic diseases that it hopes to tackle with preventive and personalized approaches. Technology integration creates an opportunity for the sector to build an entire medtech ecosystem that can later grow into a unified health system to end with Mexico’s highly fragmented nature in healthcare. Providers in the sector are taking advantage of growing opportunities in R&D, multisectoral alliances and new markets to improve patients’ lives.
8Health
140 Analysis
Medical Devices, Pharmaceutical Production Pillars for Recovery
141 Conference Highlights
Healthcare Industry: Lessons Learnt from the Pandemic
142 View From the Top
Fernando Cruz | Country President and Head of CA and Comms. at Novartis Group Mexico
143 View From the Top
Sandra Ramírez | General Manager of Bristol Myers Squibb Mexico and Colombia
144 View From the Top
Leticia Zermeño | Director of Grupo CPQ
145 View From the Top
Efrén Ocampo | President of Grupo Neolpharma
147 View From the Top
Ana Riquelme | Executive Director of AMID
148 View From the Top
Héctor Barillas | Director General of bioMérieux
149 Analysis
Addressing Financial Hardship Through Tailored Plans
150 View From the Top
Eduardo Lara | Vice President, Head of Health Latin America of RGA
151 View From the Top
Alessio Hagen | Director of Digital Cities for Latin America of Dell Technologies
152 View From the Top
Ricardo Moguel | Country Manager of Doctoralia
154 Content Links
Read the complete article As its vaccination campaign moves forward, Mexico is crafting its recovery strategies to help the economy get back on track. Many industries will contribute, including healthcare, which is set to have a significant role, according to insiders interviewed by MBN. In particular, medical devices and pharmaceutical production will help push the country toward the new normal.
According to AMID, medical devices production in Mexico exceeds US$15.22 billion in value and generates more than 130,000 jobs. It also represents 0.3 percent of total GDP and 1.5 percent of manufacturing GDP. According to CANIFARMA, the pharmaceutical industry represents an average of 1.2 percent of national GDP and 7.2 percent of manufacturing GDP.
Industry Strengths The relevance of these sectors points to their role in Mexico’s post-COVID-19 economic recovery. According to North American Production Sharing, the country’s position as the third-largest medical devices exporter, Mexico’s leadership in FDA, CE & ISO 13485-certified manufacturing processes and the high percentage (70 percent) of plants operating in controlled environments — most having class 10,000 or class 100,000 clean rooms — are among the country’s main advantages in terms of production.
The Mexican pharmaceutical industry is also becoming increasingly specialized. Learning key lessons about critical processes in manufacturing and supply, while also designing key pharmaco-vigilance standards has been critical in this sector, said Deyanira Chiñas, Commercial Director of T5DC, during Mexico Health Summit 2021. The country is making important advances in personalized treatment and medication for personalized health conditions, she highlighted.
Opportunities, Challenges The medical devices sector has two clear growth axes: increasing local consumption of medical devices and strengthening the country’s already established relationship with the US. “AMID wants to attract more investment to Mexico to continue manufacturing for foreign companies. We want to pour that investment into local medical devices companies,” said Ana Riquelme, Executive Director of AMID.
Growth in the pharmaceutical industry, on the other hand, is conditioned by the highly uncertain environment the government has created around medicine purchases. Patrick Devlyn, President of the Health Commission at CCE, highlighted what the private sector sees as a major setback for growth: the government’s enacted changes to the LAASSP that opened the door to acquiring medicines through UNOPS, which generated a great deal of uncertainty among suppliers that could no longer plan their inventory, investment or time of production. Authorized third parties have also been limited in their functions, which has led to delays in COFEPRIS’ approval times. Finally, many projects under a public-private partnership scheme have been canceled.
Graciela Teruel
Director of EQUIDE at Universidad Iberoamericana
Bertha Mancilla
Jorge Valdez
David Barros Sierra
Juana Ramírez
CEO of Grupo SOHIN
Read the complete article Taking the pandemic as a learning experience is key to address its impact and to strengthen the industry for future challenges. “Billions of pesos have been invested in global R&D. However, Mexico has not followed the example of other countries,” said Sonia
Pérez, Executive Director of UDIBI-IPN. “The pandemic did serve us to determine our needs from a scientific standpoint and to realize Mexico’s 100 percent dependency on foreign technology.”
According to Pérez, lack of investment is what stops the country from moving from manufacturing to technology development.
Graciela Teruel, Director of EQUIDE at Universidad Iberoamericana, addressed the topic of turning research projects into actual products. Pérez said Mexico has the needed infrastructure, professionals and regulatory entities to participate in product development. However, there needs to be an intermediary that is ready to commercialize products. “Regulation also has to adapt to respond to advances in product development” said Bertha Mancilla, Director of the Immuno-Oncology Business Unit of Bristol Myers Squibb (BMS) Mexico. “Innovation needs not just investment but working with local industries to be able to land it and transform it into solutions.” Mancilla highlighted BMS has collaborations with local institutions and other private companies in projects that enables R&D seeds to bloom. However, these should no longer be isolated efforts, she said.
About collaboration, Jorge Valdez, Dean of Tecnológico de Monterrey School of Medicine and Health Sciences (TecSalud), explained that one effective way to begin is through local and state projects. “That way, you can easily measure the impact and therefore, be able to set the ground to scale the projects to a federal level.” This scheme was used in COVID-19 vaccine developments, for instance by Curevac and the University of Oxford and AstraZeneca. “We need to let go of the absurd idea that we are two different entities. In Mexico, the public and private sector are heavily divided, regardless of the industry, which has been proven to be absurd.”
David Barros Sierra, Chief of Operational Division at the Direction of Economic and Social Benefits of IMSS, said Mexico’s dependency on foreign markets was evidenced in every aspect of healthcare, from supply to technology development following the pandemic. “However, it also made everyone reflect and look at the strengths of our local industry,” he said. Public-private financing is a catalyst for innovation and research projects. However, Mexico has a fragmented system that creates a barrier in terms of data delivery, which reflects heavily in transparency.
Fernando Cruz
Medicine Is Only Effective When Accessible: Novartis
Read the complete article
More about this person Q: Novartis recently announced an alliance with IMSS to support digital patient care. How will this support patients and doctors?
A: Novartis has been exploring the benefits of telemedicine and how it contributes to the work and education of health professionals. The purpose of our IMSS alliance is to enable this institution with digital tools, such as telemedicine, to properly reach patients, especially at this challenging time when it is difficult to arrange presential visits to the doctor’s office. Through this alliance, we are offering a telemedicine platform called Consultorio Móvil, which enables doctors to host remote consultations with patients without mobility complications or COVID-19 contagion risk.
Q: Novartis is also collaborating with the National Cardiology Institute (INC) in its heart failure research. What is the importance of investing in local research?
A: Cardiovascular diseases are a matter of public health due to their prominence in the country. Through INC, Novartis acts as a facilitator for its research goals. Investment in this type of clinical research is essential because, within health economics, this activity is one of the highest investment multipliers. For every dollar invested, the economic trickle down is above US$3.5, which is above the ratio of manufacturing plants. Another benefit is that it generates a virtuous circle for Mexican scientists participating in clinical protocols with state-of-the art technology and firstgeneration information that allows information exchange.
A third advantage is the potential that the country has to become a world-class reference for pharmaceutical R&D. Novartis invests around US$8-9 billion per year in R&D and we bring to Mexico around US$6-10 million per year. This low number is associated to the approval processes for clinical protocols in Mexico, which could be significantly improved. If these were accelerated, Mexico could create the ideal environment for R&D as we have one of the largest public health institutes in IMSS, a decent number of qualified medical professionals and a wide number of patients in need of solutions. Collaborative work with the authorities to create a regulatory framework that responds to R&D needs would transform this potential to real opportunity. Novartis is interested in building a virtuous circle, hoping it will encourage other actors in the industry to invest and ask for this regulatory framework.
Q: Novartis is working with CureVac to produce a COVID-19 vaccine. What is Novartis’ role in this alliance?
A: This is part of our effort to be a part of the solution to the COVID-19 pandemic. Since last year, part of these efforts focused on a coalition of 15 companies supported by the Bill and Melinda Gates Foundation and a British investment fund through which we all contributed from our fronts with what we knew best. In our case, this meant research. Novartis has heavily invested in researching COVID-19 therapies or treatments as, by nature, the virus is here to stay, just as viruses like influenza have. Therefore, finding a treatment is an essential part of this fight. Novartis is holding clinical trials for a number of drugs to find a treatment. On the vaccine front, Novartis wanted to support vaccine production to accelerate global vaccination campaigns. We just entered an agreement with CureVac to assign our manufacturing plant in Austria to the production of up to 150 million vaccines and contribute to the collaborative global effort of achieving immunization against COVID-19.
Sandra Ramírez
General Manager of Bristol Myers Squibb Mexico and Colombia
Equality Promotion Spurs Innovation
Read the complete article
More about this person Q: Bristol Myers Squibb (BMS) is one of the top pharmaceutical companies investing in R&D globally. How has this translated into better treatments for Mexicans?
A: R&D is one of our fundamental pillars to benefit patients. At BMS, we are pioneers in the introduction of immunotherapy in Mexico, which opens a whole spectrum of treatment opportunities for cancer patients. We are one of the leading R&D pharmaceutical companies in Mexico. In the last five years, we have invested over US$60 million in this area, which is reflected in the more than 40 clinical trials we have in the country. Oncology, immunology, hematology and multiple sclerosis are some of the areas we target, the latter being one of our global priorities.
Q: How has the acquisition of Celgene strengthened BMS’ leadership in science and innovation?
A: This acquisition was completed last year and turned us into a leading biopharmaceutical company with more structure, a wider science focus and an even more robust product portfolio. BMS is now positioned among the Top 5 pharmaceutical companies globally.
Q: How did BMS ensure treatment continuity for non-COVID-19 patients during the pandemic and how did the pandemic impact the company?
A: The personal and professional changes resulting from COVID-19 across the entire world were significant. For health systems, it created greater awareness to improve health provision. However, it also made us realize that health is a privilege not all can access, despite being a right for everyone. The pandemic also accelerated the digital transformation of the sector. For BMS, it was a year of intense learning to ensure treatment for all our patients, which we successfully achieved but not until we created strategies for them to easily access medicines in a timely way. Internally, we prioritized protection of our employees and partners and to ensure their health and, therefore, the health of our patients.
During the first month of the pandemic, our R&D team was not able to access the institutions where the clinical trials were taking place and this made us significantly change the way BMS operates. We decided to integrate technology across the entire value chain. We strengthened our approach with medical professionals via digital tools and we also changed our training programs to online modalities. Internally, we began improving our data platforms and supply chains. The entire BMS team faced this challenge with resilience and we have learned to overcome crises while growing and delivering solutions for our patients.
Q: What initiatives is the company integrating to follow up on therapy adherence?
A: We have an innovative project called Vamos Contigo, which is an assistance and patient education program to ensure access to therapies through complementary assets. This program was especially valuable during the pandemic to make sure patients had support from the company to ensure adherence to treatments and also for medicine supply continuity. BMS has a specialized team that makes sure to respect all legal and data protection clauses to guarantee a respectful relationship with the patient and treatment continuity.
Leticia Zermeño
Director of Grupo CPQ
Creating Shared Value in the Mexican Pharma Industry
Read the complete article
More about this person Q: How did the pandemic affect demand the company’s pharma, R&D and care areas?
A: Demand depended on the therapeutic area. Some of our products saw a 200 percent increase in demand while others were on standby. Pediatric drugs or treatments for common ailments, for example, faced weak demand because children were staying home most of the time. On the other hand, our antibiotics, corticoids, vitamins and antidepressants ingredients were our bestsellers. Other items indirectly related to COVID-19 also increased in demand, such as those to treat metabolic issues because the lockdowns generated sedentary habits
Q: Grupo CPQ works closely with generics manufacturers. How have the changes to the centralized purchasing scheme impacted supply?
A: Facing a new acquisition system forced us to improve and innovate. The industry is open to embrace the challenge and prove that Mexico can compete against other pharma clusters in the world. A fair ground for all players will be fundamental to guarantee quality medicines to the population and clear timelines and rules will help us focus our efforts on remaining competitive in cost, keep efficient deliveries and guarantee the quality of our products.
Q: How is Grupo CPQ integrating technology into its internal performance?
A: Grupo CPQ integrates technology into our warehouse processes and inventory to deliver the best distribution results and avoid disruptions. Moreover, the continuity of our business would not have been possible without a technological shift. In terms of the pandemic, we have implemented virtual office and communications with our clients. Our communication with clients is essential to anticipate and prepare orders and we have achieved that just as well in the digital era. Webinars have been an effective communication source for our clients. They have also been of great use for the development of our staff. We also participate in virtual forums and we have noted their impressive reach in terms of audience.
Q: How is Grupo CPQ innovating its product portfolio or service offering to respond to industry needs?
A: Pharma has been our core business over the last couple of years; however, after COVID-19, we see great potential in prevention medicine. We have been proposing innovative ingredients to contribute to our clients’ efforts to expand their lines of preventive healthcare portfolio.
Products related to the immune system and to prevention have been booming in the market. To meet the demand Grupo CPQ is introducing a triple action ingredient, ResistAid® supports and improves the immune system. It is an antioxidant and prebiotic. The ingredient is a botanical extract that combined with a proper diet can reduce the incidence of colds as it improves the immune system. Vitamin D3 and Zinc are other ingredients in our portfolio for Immune Health that in synergy are very effective. Recently, we began distributing the Lipofoods® portfolio by Lubrizol, which includes encapsulated minerals and botanicals extracts with technology that improves their bioavailability and absorption.
Efrén Ocampo
President of Grupo Neolpharma
Local Production to Boost National Self-Reliance
Q: What are the goals for Grupo Neolpharma’s new injectables plant?
A: This plant will produce injectables that have been in high demand during the current COVID-19 pandemic. It will produce norepinephrine, midazolam and other anti-inflammatory medicines. This plant will also pack COVID-19 vaccines in large quantities of about 150 million vials a year. This would be the equivalent of a vial for every Mexican.
The new plant is now finished and has received COFEPRIS’ manufacturing authorization. But before we are able to begin production, we need to obtain the Good Manufacturing Practices certificate, which is being processed. The COVID-19 pandemic did delay the plant’s outfitting as many foreign experts were unable to travel to Mexico, which was necessary to install state-of-the art equipment.
We expect to be able to inaugurate the plant in April 2021 thanks to the hard work of all our collaborators. One of the main challenges of an injectables plant is training its operators as hygiene and safety protocols are much stricter than in a solids plant.
Q: How will the new plant allow the company to expand its presence in the Mexican and foreign markets?
A: When the plant is fully operational, we will first focus on the Central America and Mexican markets. Our current injectables plant is at overcapacity, which led to this investment. From the design stage, we conceived that this plant would eventually manufacture products for the US. While this will not be an immediate outcome, we spent the entirety of last year training over 50 employees in the intricacies of manufacturing for the US market. This will ensure that our local production meets the needs of that market. As we have one plant in the US, we are fully aware of the processes required to produce in accordance with the FDA.
Q: How is Grupo Neolpharma helping to fight the COVID-19 outbreak in Mexico?
A: We have made several medicines readily available to Mexicans, such as azithromycin, paracetamol and others used by the government to fight the COVID-19 pandemic. Grupo Neolpharma has also worked with researchers and universities in the development of a COVID-19 vaccine, including UNAM and a university in Queretaro. Our biotechnology plant is able to manufacture the proteins necessary to produce COVID-19 vaccine. At this point, we have created enough doses for pre-clinical studies in animals to determine safety and effectiveness. We are ready to support Phase 1 and 2 clinical trials.
However, Mexico’s government offers little support for medical research into vaccines. One doctor working on the project told me that local universities have invested about US$1.5 million in the development of a COVID-19 vaccine. In comparison, the US government gave a single pharmaceutical company over US$1 billion in grants. While there is little support in the project from local authorities, we are sure to finish our Phase 1 and 2 clinical trials.
Read the complete article
More about this person
More about this company Q: How were Grupo Neolpharma’s API production capabilities affected by COVID-19?
A: Mexico is dependent on APIs from China, India and increasingly from the EU. COVID-19 had a significant impact on the global production and supply of APIs. For example, India, a large manufacturer, saw its exports affected. Due to the increased attention to medications, India’s government had to issue a new approval process for the export of APIs, which affected our manufacturing operations. These circumstances helped us recognize that there are significant opportunities to manufacture APIs in Mexico and eliminate our reliance on foreign countries. Minister of Economy Tatiana Clouthier is strongly supporting the local manufacturing of APIs as it is becoming increasingly apparent that countries should be more autonomous in their API production. This has benefited Grupo Neolpharma and we are now tripling API production at one plant.
Moreover, USMCA requires that North America increases its regional API manufacturing and supply capabilities, so we are exploring the construction of a new, larger manufacturing plant. For the construction of this plant, we are finalizing a loan agreement with the World Bank’s International Finance Corporation (IFC). To determine which APIs to manufacture at this plant, we are studying consumer habits in Latin America. We are considering medications in cardio-metabolic, obesity, central immune system, skeletal muscle and other specialties that have grown in prevalence during the pandemic. Before making a decision, we also need to consider changes to the current administrations’ healthcare policies.
Read the complete article
More about this person
Ana Riquelme
Executive Director of AMID
Domestic Medical Devices Consumption Propels Health, Investment
Read the complete article
More about this person Q: The medical devices manufacturing industry is expected to grow 6.1 percent, globally. How will this increase reflect in Mexico?
A: This growth has been driven by the manufacturing of personal protection equipment. These are high-tech supplies that Mexico is capable of manufacturing, such as specialized face masks. To complement our efforts and boost our manufacturing capacities, AMID has requested a meeting with the minister of economy to attract more final assembly processes to Mexico. To achieve this, Mexico would need to increase is medical devices consumption, as the final assembly is commonly done at the product’s point of sale to avoid damaging the device. One example is ventilators, which are 80 percent manufactured in Mexico. However, the final assembly takes place where the device is sold.
Mexico needs to improve its 43rd ranking in medical devices consumption versus it eighth place standing in production. The solution to this is simple: the government needs to understand the benefits of medical devices and allocate more budget to these solutions. The execution is difficult, however, and AMID has been working on this for several years.
Q: With COVID-19 vaccination campaigns, how has demand for syringes increased?
A: Traditionally, the acquisition of healing materials, including different types of syringes, was through public tenders that included around 4,500 SKUs the government required. Demand remained quite stable around that number. However, we were surprised to see that the SKUs posted for the latest UNOPS acquisition process totaled only 600. We communicated our concern regarding the drastic decrease from 4,500 to 600 SKUs. Also, we asked how the remaining codes would be covered but we have not received an answer. Prior to this situation, UNOPS hosted a meeting, which was very encouraging. However, there were many subjects left unsolved and unclear, such as the planning of the tenders, which they explained was done through INSABI, while UNOPS was only in charge of fulfilling the request.
Usually, there is a trend in the number of syringes requested by the government through the centralized purchase scheme, which we estimate should have increased at least by 35 percent this year, considering the current vaccination program for COVID-19. With this number, we wanted to be very conservative, but with the missing 3,900 SKUs and the lack of answers from the public sector, this forecast seems to have turned around. We are still waiting for the information of an alternative acquisition or an explanation for this missing supply of syringes that will certainly be needed this year. We need this information to begin redirecting our efforts in case the acquisition has been covered by the government. If that is the case, we would begin exporting the syringes we have because the national demand would be covered. Many AMID members are multinational companies, so export requests for this device are already on our doorstep.
We had the same problem with ventilators last year, when many health systems globally had to respond to the growing peak of contagion and severe COVID-19 cases. During this period, we waited for the government to request ventilators but the industry could not wait forever. It was in our best interest to supply the local government first and we did approach officials. However, we received no answer until months after.
Héctor Barillas
Director General of bioMérieux
Bringing Attention Back to Diagnostic Priorities
Read the complete article
More about this person Q: What is the difference between COVID-19 monitoring tests and the diagnostic COVID-19 tests that bioMérieux has developed?
A: The main difference relates to the moment when they are necessary. Monitoring tests offer a perspective on the development of a confirmed COVID-19 case, whereas our diagnostic tests, whether PCR or antigen, determine the presence of the virus. Monitoring tests are useful to mandate hospitalization according to factors such as high D-Dimer protein presence. These tests allow doctors to prescribe anticoagulants or autoinflammatory drugs to prevent severe progression.
Q: What are bioMérieux’s reinvestment plans following the success of its COVID-19 tests?
A: North and South America played an important part in our rapid success. Our global plan targets the antimicrobial resistance awareness fight. Therefore, we will focus our efforts on educating doctors on the necessary use of antibiotics. We are still working to identify areas of opportunity or areas of reinforcement within our bimolecular and immunology portfolio.
One strategy to recover sales in our regular market is antimicrobial stewardship programs. Through this, we support governments on the use of antibiotics prescribed by doctors. This will drive our microbiology portfolio to regain a strong position in the market, which we lost due to the limitations of the pandemic. Microbiology tests are routinary and as lockdowns and restrictions lift, these tests are likely to bounce back in terms of sales.
Moreover, our antimicrobial stewardship initiative integrates health systems. We mostly work with hospitals. However, we are also close with pharma companies because they can provide enough medical information on their drugs to support doctors’ decisions regarding antibiotic prescriptions. This collaborative effort brings the industry closer to value-based healthcare models. bioMérieux’s goal is to improve the patient’s life though useful solutions, which involves having a timely and precise diagnosis. The outcome can only be seen by monitoring treatment adherence.
Q: How has bioMérieux ensured the continuity of antimicrobial initiatives with governmental institutions during the pandemic?
A: Adding hospitals to our educational strategies was difficult to achieve during the first months of the pandemic. We conducted a study on COVID-19’s impact on antimicrobial resistance in Latin America and the results, unfortunately, were negative. It is understandable that hospitals abandoned certain areas during the pandemic because the workloads were immense and hard to balance.
Q: How did bioMérieux overcome global supply chain disruptions during the pandemic?
A: This specifically impacted our R&D, especially when we were working on COVID-19 diagnostic tests. We were lucky to have contracts that prevented a crisis or significant disruption. Also, our US stock and supply allowed us to continue operating regularly. The main challenge was to ready our supply and stock, but we did not face major disruptions.
Addressing Financial Hardship Through Tailored Plans
Read the complete article Healthcare evolves through new care trends, therapies and devices. Habits also transform and adapt to innovative care approaches propelled by technology. With each new evolution and transformation, a third element is also necessary to ensure quality and personal patient care: financing.
According to AMIS, the average out-of-pocket expenditure in the country is MX$4,388 (US$183) a year to treat diseases and maintain personal health. The lack of an insurance culture is widely known, as these products are considered a premium service resulting in a private health insurance penetration rate of 8 percent. Mexico offers considerable public health coverage, which is used by 52 percent of the population, while 48 percent pay for any illness, accident or health complication through private insurance or out of pocket. Spending on health (public and private) in Mexico represents 5.8 percent of the national GDP. The country ranks second in private spending on health, only behind the US, which lacks a public healthcare system.
Financing in Mexico Despite Mexico’s need for health financing, insurance rates fall short. In an interview with MBN, Eduardo Lara, Vice President, Head of Health Latin America at RGA, said that the success of private health insurers depends on the public health system. Private insurers do not participate in Mexico’s public health system, which is why their participation and penetration is low.
According to Lara, beyond designing a product, a crucial point for health insurance is financing. In Mexico, the typical customer is used to having either everything covered or nothing. “We should look at medical insurance as a financial instrument that serves to avoid a financial catastrophe when medical attention is required,” he said. Alejandro Sancen, Director General of MASZ, told MBN that the problem is that private insurance only focuses on accidents and major medical expenses but not on primary conditions.
What Are Companies Doing? MASZ, for example, runs an evaluation with cancer patients around their case and the status of their disease to offer a certain level of coverage. When the patient starts showing recovery, the insured sum increases. “If someone has a case of severe diabetes, their coverage sum is going to be very low,” Sancen explains. “But when the patient starts stabilizing their glucose levels and getting better, coverage goes up.”
RGA, meanwhile, is adapting its products to what younger generations are looking for, while addressing true health hurdles of the population, like chronic diseases. RGA combined these two ideas and introduced a new digital product for patients with a chronic disease. Lara said that this model builds an ecosystem for the user through ally companies. “Beyond being an insurance product, this is an integral solution for patients with Type 2 diabetes to offer advice, nutritional plans, media guidance, medical appointments and support from different actors interacting on the same platform,” said Lara.
Eduardo Lara
Behavioral Data for Predictive Coverage Products
Read the complete article
More about this person Q: RGA carried out a global study to measure the potential financial impact of the COVID-19 pandemic. What did you find?
A: Thanks to our global support and our local experience we can say that regarding life insurance, we have noticed that, just as with the Spanish flu, COVID-19 will most likely have an impact on the life expectancy of an entire generation. This will couple with the number of deaths and the side effects of the virus among people who overcame the infection. The latter does impact individual life expectancy so we need to consider it. Regarding health insurance, we have mixed findings depending on the region and the type of coverage of the user -always healthcare is local-. Hospital expenditure has a different impact on insurers depending on several factors such as hospital or deductible levels. What we have found more frequently are expenditures under the deductible level, which means expenses are covered by the user.
We have seen that in Mexico average costs for a COVID-19 case is around MX$480,000 (US$23,600), whereas the most expensive COVID-19 hospitalization case paid by the insurance industry was around MX$30 million (US$1.5 million). However, the impact of the overall costs of COVID, are more impacted by frequency rather by severity. In fact, the overall result in 2020 for the majority of health insurance companies in Mexico was positive. For 2021, we expect a similar positive scenario but this will depend on how the vaccination campaigns unfold. On the other hand, last year’s postponed surgeries are expected to occur this year, which will level out insurance claims.
Q: What has been RGA’s financial strategy for a COVID-19 response?
A: As a life and health specialized reinsurer creativity and digitalization have been the core of our strategy. Technology has allowed business continuity and quick responses. Almost all health insurance companies are offering telemedicine consultations and digital interaction with users. RGA has been interested in improving our customers’ experience with our services through a digital offering and this has resulted in new product developments that involve digital tools. Users and insurance companies are both seeking innovative coverage plans that also involve technology to enable practical access and usability.
Q: RGA introduced in Latin America a new digital product for patients with a chronic disease. How has this product performed?
A: The product has been performing extraordinarily. While I am not the leader of this project, I can share that this recently launched model won RGA the Most Innovative Insurer Award. This is a global competition organized by an American company. The project also received a project award from RGA’s headquarters. This model, created by RGA, builds an ecosystem for the user through ally companies. Strategic partners include insurance and tech company, laboratories, doctors and medical associations, such as the Mexican Society of Nutrition and Endocrinology. Beyond being an insurance product, this is an integral solution for patients with Type 2 diabetes to offer advice, nutritional plans, media guidance, medical appointments and support from different actors interacting on the same platform. If the patient were to present a severe complication, the product also offers insurance coverage. However, the target of this product is to nurture better habits and a culture of prevention.
Alessio Hagen
Director of Digital Cities for Latin America of Dell Technologies
Interconnected Digital Systems Reduce Expenditure, Inequality
Read the complete article
More about this person Q: How is Dell Technologies making the concept of a digital city a reality for Latin American countries?
A: In Latin America, we work according to the digital agenda laid out by public policies. A digital city rests on different pillars, among them health, education and security. The goal is to make these available to every citizen. In health, this would mean universal access. For citizens, apps are the easiest way to access digital services and we need to start mapping cities’ needs to develop key verticals for digitalization. In healthcare, for instance, telemedicine is one of the verticals. This has involved the integration of an additional app to manage patients’ Electronic Clinical Records (ECR) and access digitized studies. With these actions, we are empowering citizens with their own data and also, interconnecting healthcare services from diverse provider entities.
Q: How has Dell Technologies worked to implement a digital agenda in Mexico?
A: We have worked on the development of hospital interconnection for a Public Health Institutions in Mexico and patient registration. Moreover, we have developed Efficient Consumer Response and worked with state governments to develop diverse projects for public health institutions for projects on telediagnostics, teleradiology and telemedicine. To build this solutions, Dell Technologies works with different segments of the sector to fit all the puzzle pieces and create the best solutions for the health system in Mexico. In addition, I would highlight that rural zones are also a concern and priority for us. We have worked on projects that drive telemedicine access in different Mexican States.
Q: In Mexico, how has Dell Technologies worked to connect the fragmented Mexican health system?
A: Dell Technologies has mainly worked with Government Resource Planning (GRP) on projects for a government management system that allows for interoperability among many segments. In Mexico, there has not yet been a project to interconnect the health system. However, we have worked on the management and interconnectivity of different public health institutions.
One example of a complete interconnected health system can be seen in our project with the government of the Dominican Republic. We are developing a GRP platform to interconnect the country’s entire health system. We are working with the governments of Brazil and Colombia on similar platforms.
Q: How could smart cities be a tool to foresee and prevent threatening events?
A: One example is what Dell Technologies is doing with the government of Brazil. When a positive PCR COVID-19 test is registered, we send alerts and recommendations to the user. We can even send out a kit for the person with essential tools to measure vital signs, such as an oximeter and a thermometer. The user can register vital signs on the platform if their mobile device is not able to do it by itself. If the user registers low oxygenation levels, an ambulance is sent to the location. This initiative has been of great help in reducing the burden on hospitals by keeping patients at home when possible.
