ResMed’s new factory brings it closer to meeting CPAP demand after Philips recall

The AirSense 11 CPAP system [Image courtesy of ResMed]

The opening of a new plant — billed as the biggest of its kind on Earth — brings ResMed closer to catching up with skyrocketing CPAP demand.

That was one of the big takeaways from ResMed CEO Mick Farrell’s talk at the annual J.P Morgan Healthcare Conference in San Francisco yesterday. The San Diego–based company has found supply chain challenges hindering its ability to meet the demand that surged after a serious recall forced competitor Philips out of the market.

“Every month and every quarter we get closer to meeting that demand,” Farrell said.

ResMed held a grand opening for the 270,000-square-foot Singapore plant in November. Farrell yesterday described it as the biggest respiratory devices manufacturing facility on the planet.

“We have the capability in that plant to take the whole of the market’s need…

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Three reasons to use styrenics in next-generation medical devices

A mixture of various enhanced and transparent specialties resins [Image courtesy of INEOS Styrolution]

Styrenics is a common material used in a diversity of medical applications across the entire healthcare industry, and there are many good reasons why.

Alexander Silvestre, INEOS Styrolution

Styrenics and plastics in general have a well-established position as key raw materials within the healthcare industry. Now, more than ever, in the face of evolving technology and human health, supply-chain reliability, and a clearer focus on sustainability, design engineers are finding value in styrenics as foundational building blocks for undertaking projects to refine existing applications and/or in the development of next-generation medical devices.

1. Versatility of styrenics

Styrenic materials are ideal for an abundance of diverse medical applications thanks to their physical attributes, ease of processing …

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Cardinal Health wants to bring hospital-level care into the home

Cardinal Health (NYSE: CAH) announced today that it is launching a pilot chain supply chain network to enable hospital-level healthcare in people’s homes.

The Dublin, Ohio–based medical device and pharmaceuticals supplier is launching the Velocare supply chain network and last-mile fulfillment service through a strategic partnership with Boston-based Medically Home. Early this year, Cardinal Health joined Baxter, Global Medical Response, the Mayo Clinic and Kaiser Permanente to invest $110 million in Medically Home.

Under the strategic collaboration, Cardinal Health at-Home Solutions is now supporting a Medically Home health system customer with Velocare.

More about Cardinal Health’s Velocare

Cardinal Health already had capabilities including global logistics and distribution expertise. In addition, it manages a large network of suppliers and vendors. Also, it has access to a wide range of home-based care providers.

The Velocare pilot …

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Conmed pulls 2022 guidance due to software implementation

Conmed (NYSE:CNMD) announced today that it is withdrawing its full-year outlook over problems implementing software at its main distribution facility.

Largo, Florida-based Conmed last month issued its guidance with a reduction from previous projections. This came on the back of an underwhelming third-quarter performance that saw its stock dip by nearly 8%. However, shares of CNMD have been on the rise since then.

CNMD shares ticked up 1.3% at $90.24 apiece in midday trading today. MassDevice’s MedTech 100 Index — which includes stocks of the world’s largest medical device companies — was up more than 6%.

More about Conmed pulling is 2022 guidance

In October, the company cut its now withdrawn guidance for the full year, with the high end of its EPS expectations falling particularly far. It projected adjusted EPS to fall between $3.21 and $3.28. The company previously projected a range of $3.25 to $3.45. However, the low end of its revenue guidance rose. T…

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GE HealthCare moves to secure contrast media supply

GE Healthcare says its contrast media products are used in more than 100 million procedures globally every year. [Image courtesy of GE Healthcare]GE HealthCare today announced a long-term agreement with Chile-based mining company SQM to secure its supply of iodine for vital imaging agents.

The chemical element is a key ingredient for contrast media products. Health providers worldwide use contrast media in X-Ray and Computed Tomography (CT) procedures. The medtech giant is seeking to stabilize contrast media supplies. Supply chain disruption related to contrast media caused thousands of Americans to have to wait for exams earlier this year.

Under the new agreement, SQM will increase the supply of iodine raw material year-on-year.

“We’re pleased to continue our relationship with GE Healthcare — a key customer for us for more than 40 years,” said Pablo Altimiras, EVP of Iodine and Nitrates, SQM.

“As one of the largest producers of iodine wo…

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What’s next for the medical device supply chain?

A host of medical device companies with manufacturing in Puerto Rico found their supply chains impacted by Hurricane Maria in 2017. It was a harbinger of what was to come. [Image is public domain]Recent hurricanes in Florida and Puerto Rico provide yet another reminder that the medical device supply chain remains vulnerable to climate change.

The COVID-19 pandemic presented its challenges. But as our sister Medical Design & Outsourcing site reported last year, expect superstorms, fires, droughts and other extreme events driven by climate change to continue to strain the supply chain.

Problems may even get worse.

Major medtech companies are taking steps to respond to the challenge. For example, Medtronic’s Supply Chain EVP Greg Smith overall has been driving changes with a team that is mostly new to the company. Medtronic has co-located over 100 Medtronic employees with top suppliers and worked directly with commodity and raw material suppliers, CE…

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Three considerations for reshoring your medical device components and assemblies

Validation is a critical process to keep patients and end users safe. Proper documentation of tooling maintenance and repairs, adjustments to process and part design will help facilitate a successful and efficient validation process. [Photo courtesy of Beacon MedTech Solutions]

Reshoring medical devices — moving production back to the United States — requires strategic and complex navigation.

John Banks and Richard Landry, Beacon MedTech Solutions

Reshoring is a topic of conversation with almost every biopharma, life sciences and medical company currently outsourcing production of thermoplastic or silicone parts, products and assemblies to overseas molders.

Just look at the numbers. The Reshoring Initiative released data showing that reshoring and foreign direct investments are projected to drive an additional 350,000 U.S jobs in 2022, a record high.

The reasons for this growth are numerous. C…

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How Boston Scientific is managing labor shortages with cobots and Spanish

Boston Scientific Global Operations EVP Brad Sorenson [Photo courtesy of Boston Scientific]

Boston Scientific (NYSE: BSX) executives said two labor-shortage strategies are paying off in a big way for the medical device maker, which has around 41,000 employees across the globe.

Collaborative robotics and Spanish-speaking shifts are helping Boston Scientific deal with a global labor shortage that’s been especially acute in the U.S.

That’s according to Global Operations EVP Brad Sorenson and Supply Chain VP Paudie O’Connor, who recently spoke with DeviceTalks Editorial Director Tom Salemi about the difficulty of hiring workers.

“It’s hit us everywhere. Part of that was just general wage inflation. Although we don’t like the cost of that per se, that’s relatively easy to deal with, right? You give people raises and at least the supply continuity problem goes away,&#…

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Medtech relief efforts begin after Hurricane Fiona hits Puerto Rico

Hurricane Fiona is still dropping rain on Puerto Rico as it moves toward the Dominican Republic, as seen in this Sept. 19, 2022 satellite imagery. [Image courtesy of the National Oceanic and Atmospheric Administration]

Power crews are restoring electricity in Puerto Rico after Hurricane Fiona struck with heavy rains and winds five years after Hurricane Maria made landfall.

Many large medtech companies have manufacturing operations in the U.S. island territory.

Medtronic (NYSE: MDT) has not received any reports of significant damage to its five facilities in Puerto Rico and planned to restart operations today if employees are safe and can report to work, the company told Medical Design & Outsourcing. The company also has a manufacturing facility in the Dominican Republic.

“Given the path of Hurricane Fiona, our teams have been monitoring and are continuing to monitor both Puerto Rico and …

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Medline invests $500M to bring medical supply inventory to $4B

Medline said it purchased another $500 million worth of medical supply inventory, bringing its total on-hand inventory over $4 billion.

Northfield, Illinois-based Medline — which manufactures and distributes healthcare products — said it purchased the products at the end of June and called the investment another step to fight global supply chain challenges.

“Our inventory management strategy has always been designed with one goal in mind — ensure that the right products are available at the right time to meet the demands of our customers and the patients in their care,” Medline Group Division President Jim Pigott said in a news release this week. “This latest investment reflects our ongoing pledge to provide reliable, superior service to healthcare systems across the continuum of care.”

Medline is the fifth-largest medical technology industry company in the world with more than $20 billion in annual revenue and 30,000 employees, according to Medi…

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Nelipak Healthcare Packaging receives ISCC Plus certification

Nelipak today announced that two of its North American facilities have received International Sustainability and Carbon Certification (ISCC) Plus certification.

The packaging manufacturer created a mass-balance model for sustainable packaging at the facilities — in Phoenix, Arizona and Whitehall, Pennsylvania — said Nic Hunt, senior director and head of global sustainability at Nelipak.

“Increasing the use of sustainable packaging solutions is a top priority for many of our customers,” Hunt said in a news release. “Working with our supply chain partners, Nelipak has collaborated to increase the use of recycled content.”

Nelipak expects to expand the mass-balance model to its other sites across North America and Europe.

ISCC Plus is a globally recognized third-party certification system for tracking recycled and bio-based materials through the supply chain, Nelipak said.

“This third-party validation is a critical step to developi…

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R.R. Donnelly & Sons helps to accelerate COVID-19 test delivery to U.S.

R.R. Donnelly & Sons (RRD) announced today that it used its supply chain capabilities to accelerate the delivery of rapid COVID-19 tests to the U.S.

The company, which specializes in helping medical device clients optimize their supply chain, said in a news release that it leveraged its ISO 13485 accredited facilities and ability to scale quickly to facilitate Siemens Healthineers’ time-sensitive effort to deliver its COVID-19 antigen self-tests to the U.S. market.

RRD and Siemens Healthineers collaborated to upscale with uncertain demand amid the COVID-19 pandemic. The company said that, during the omicron variant peak in January 2022, Siemens looked to make tens of millions of tests available to the U.S. through state, federal and local partnership efforts. It sought to expand warehouse space to meet the demand and accommodate the massive volumes of its product.

“It was critical to find a supplemental supply chain and warehouse solution that …

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