Successful healthcare Business Models-

Medical Devices Manufacturing

Dr. G.S.K. Velu

Managing Director –Trivitron healthcare Pvt Ltd

Successful healthcare Business Models-

Self Reliant and Outward Looking

MEDICAL

TECHNOLOGY /

HEALTHCARE

Accuracy

Affordable

Available

Awareness

Indian Healthcare

Pharmaceuticals

• Estimated at around USD 79 billion • Over 80% private, 12% state Govt and 3%

by insurance funding

• Cardiovascular, Diabetes, Cancer, Ophthalmology & Gastroenterology are top 5 segments by volume and value growth

Source: IDFC Securities Hospital Sector November 2010

Val in USD Billion

• Healthy spending- Significant hospital growth

• Patient growth (domestic and

international)

• Growing demand for healthcare

Insurance

Indian Healthcare-growth trend

Source: WHO World Health Stat 2010

E& Y research ; ET-Assocham

Healthcare industry, Aug 2009, CRIS INFAC

Indian Medical Technology Industry

- An overview

Indian Medical Devices Industry-

Market size and forecast 2009-2013 (USD Mil)

Source: Technavo analysis report

• Indian Medical equipment and

devices market is estimated at

USD 6.3 billion in 2010

• Not on the list of Govt. priorities.

• 80% of medical technology needs is met by imports.

• MNCs been given trading freely without any investment in

infrastructure/local manufacturing

• Ambiguous regulatory environment

• No specific ministry/ department to promote/control MT Industry

Indian Medical Technology – Current Industry Landscape

Source: NIPER / Price Water Copper House

Concern: Due to import dependency & prohibitive cost, MT is not available and accessible to large segments of the population

Successful Healthcare Business Model -Medical Technology Manufacturing

Successful Healthcare Model- Medical devices manufacturing

Skill Education

Innovation

Manufacturing • Should be self reliant & outward looking • Should make healthcare affordable & available • Sustained skill education /upgradation

Successful Healthcare Business Model –

Challenges and Solutions

90% Import Dependency

No distinct status for the

industry

Ambiguous regulatory framework

Lack/poor availability of clinical engg

resources

Lack of indigenization of

high end MT manufacturing /

Innovation

Lack of govt. support/

incentives

High capital requirement

Indian Medical Technology Manufacturing- Challenges

Lack of skilled Manpower/ Industry Academia collaboration

High quality software & engineering professionals

Govt. support for Frugal Innovation

MT innovation eco-system

Inadequate Industry- Academia relationship

Brain drain from top institutions

Lack of awareness / availability of angel funds

Indian Medical Technology Innovation Challenges

Cluster of MT Parks

Encourage relevant R&D through financial support

Skill Development institutes focused on MT

industry

Transparent and conducive regulatory

policies

Discourage Free Access to MNC trading /

compulsion to local manufacturing

Preferential access to domestic players in State

/ Central Medical Equipment, Devices etc.

Tenders

Waiving of custom duties on raw material Imported for manufacturing

Industry-Academia Relationship for skill Development / training

Proposed Navigation- Indigenization of MT manufacturing &

Innovation/ Skill Development

www.trivitron.com

Path breaking Initiatives

www.trivitron.com

Winning Global Acclaim

Trivitron Healthcare has been awarded the coveted GIL; Growth,

Innovation and Leadership Award 2010 by “Frost & Sullivan” establishing

our efforts to put India on global map of Medical Technology

www.trivitron.com

The largest medical technology company of Indian origin focused in

providing quality medical technology solutions and services to the

emerging as well as the developed markets across the globe.

About Trivitron

TRIVITRON

Manufacturing Innovation International

Partnerships

Own and collaborative manufacturing / Innovation with international players www.trivitron.com

What we do

www.trivitron.com

Trivitron Innovation Centre (TIC)

• A dedicated research center with a state-of-the-art bio-medical engineering lab &

researchers

• Is a centre of excellence for design and development of medical technology products that are cost-effective as well as of the highest quality.

www.trivitron.com

Trivitron Value Pyramid

2020 - Game Changer

“Inventions”. Introduce unique

Concepts, products. Have own Design centre.

Design through

innovations for

value adds.