High demand for gastrointestinal (GI) screening and intervention procedures resulted in the market experiencing a high growth rate prior to the recession, according to a new report from iData Research Inc., Vancouver, Canada. In 2011, the U.S. market for GI endoscopic devices was valued at nearly $1.7 billion, the report cites. And market expansion will only continue to grow, driven by procedural growth and higher GI disease incidences—which will result in growth returning to pre-recession levels by 2018.
As such, medical products manufacturers need to be prepared with the right onslaught of software tools to fuse their business processes together into one intuitive dashboard for time-efficient management.
In the field
One way that some medical manufacturers manage their operations—including their databases, transactions, invoices and payments in real-time without the need for manual processes—is through Enterprise Resource Planning (ERP) systems. As software continues its shift to a services model, so too will a number of ERP systems transition to the cloud. And for EndoChoice, a medical manufacturer which provides devices, diagnostics and procedural support for specialists treating a wide range of GI diseases, the trend to cloud-based services and technologies will only continue.
“Bandwidth and data storage out in the cloud has become so inexpensive that the trend will head even more in that direction,” confirmed Lou Malice, Chief Operating Officer, EndoChoice Inc., Atlanta. “More and more software and capabilities will head out to where all you really need to own is the capability to access the Internet. There are still a lot of people that have some fear around the idea of doing this within healthcare industries. But as time passes and people move forward and get more comfortable with this concept, they will understand that owning a lot of infrastructure and servers in their buildings and all the associated people that are required to maintain all those pieces of hardware—that model is going to slowly go away,” said Malice.
Launched in 2008, the Inc. 500 company grew to be the sixth fastest-growing healthcare company in the U.S. (EndoChoice was recognized by Inc. magazine in 2010 and 2011). This comes as no surprise with industry veteran Malice on board, who prior to EndoChoice served in another successful startup— American Breast Care LP, which he founded in 2003. And while the immediate implementation of San Mateo, Calif.-based NetSuite’s ERP system—which Malice utilized for American Breast Care—might have seemed the obvious choice to many, the developments in application service providers at the time steered him to explore his market options.
“I knew that when I would get my own startup, I would implement a very cost-effective way to get a high level of usability for users at a cost that we could afford,” Malice explained. “So I did my research at the time. We looked at Great Plains, Peachtree and some smaller accounting packages—and a lot of systems back in 2008 were still Citrix-client based type systems—they weren’t browser based. And so the usability wasn’t as easy as with NetSuite, which we chose because of all the different modules available and its capabilities to have a more state-of-the-art ERP system for a small company at a reasonable price.”
A promise to its customers
For NetSuite, the commitment to their clientele’s success continues to serve as a key factor to their growth and client base.
“We are committed to our customer’s success because they are using us as their business grows,” said Roman Bukary, General Manager, Manufacturing & Wholesale Distribution, NetSuite. “This is not marketing fluff—it’s the reality. No 2., NetSuite’s purchase price is part of their operating expense. It is not a one-time purchase that they make. It continues as part of their business so the more they grow, NetSuite is right there with them supporting their business. No. 3, you use it and deploy it to your people as you grow your operations. You don’t need to buy now for what you think you will need in three years time. When you grow, you are already there.”